Groww, a Bengaluru-based fintech company backed by Microsoft CEO Satya Nadella, is gearing up for an Initial Public Offering (IPO) and is poised to become the first Indian startup to go public after shifting its domicile from the U.S. to India. This move marks a significant milestone for the Indian startup ecosystem, reflecting growing confidence in the Indian capital markets.

Groww's IPO is expected to value the company at around ₹80,000 crore (approximately US$10 billion), making it one of the most valuable fintech startups in India. The company is likely to submit its updated draft red herring prospectus (DRHP) this week and hopes to go public by November 2025. The Securities and Exchange Board of India (SEBI) has already approved Groww's IPO plan. The offer will include both fresh equity shares and an offer for sale (OFS), where existing shareholders can sell their shares.

Founded in 2016, Groww has rapidly grown to become India's largest stockbroker, boasting around 15 million active users. The online investment platform allows users to invest in direct mutual funds, exchange-traded funds (ETFs), stocks, and IPOs. The funds raised from the IPO are intended to further expand Groww's business and enhance its technology.

Groww has demonstrated impressive financial growth, expecting a net profit margin of 44.85% for the financial year 2025. The company's profit jumped threefold to ₹1,819 crore, while revenue increased by 31% year-on-year to ₹4,056 crore. Groww also reported profit growth in the first quarter of FY26, despite challenges faced by competitors due to new regulations. These strong financial results could potentially push Groww's valuation even higher than the initial target of US$7-8 billion.

The upcoming IPO is a major moment for India's booming digital investing sector and could be one of the largest IPOs in the country's fintech space. The listing is being closely watched as a potential turning point for Indian fintech startups, especially after Paytm's ill-fated IPO in 2021. Unlike Paytm, Groww brings profitability to the table, which may reassure investors.

Groww's success can be attributed to several factors, including the increasing maturity of Indian capital markets, a streamlined IPO process, and a supportive regulatory environment. The trend of "reverse flipping," where Indian startups shift their domicile back to India from overseas, is gaining momentum as companies recognize the advantages of being headquartered in their primary market.

Several major investors are expected to reduce their stakes in the company through the OFS. Peak XV Partners is expected to lead the selling shareholders with 158.3 million shares on offer, followed by Y Combinator's YC Holdings II, with 105.5 million shares. Ribbit Capital is selling 65.7 million shares directly, with its GW-E Ribbit Opportunity V entity offloading an additional 52.5 million shares. Tiger Global's Internet Fund VI plans to sell up to 64.8 million shares, while Kauffman Fellows Fund is offering 27.5 million shares. The company's four co-founders—Lalit Keshre, Harsh Jain, Ishan Bansal, and Neeraj Singh—are each selling up to 1 million shares.

Groww's journey to becoming a public company has been marked by significant achievements and strategic decisions. The company has expanded beyond broking and mutual funds into wealth management, commodities, and margin trading. Its acquisition of Wisdom, which offers on-ground advisory operations, aims to support products like PMS, AIFs, and private equity. As of June 2025, Groww had 12.6 million active NSE clients, holding a 26.3% market share.

With strong financials, backing from prominent investors like Satya Nadella, Peak XV, and Tiger Global, and a growing user base, Groww is well-positioned to become one of India's leading public tech companies. The upcoming IPO will not only provide the company with the necessary capital for further expansion but also serve as a test case for the valuation of other Indian fintech unicorns.