One of the growing wearables brands, BoAt is all set to file Draft Red Herring Prospectus DRHP with market regulator SEBI with the aim of launching an IPO after receiving shareholders’ approval to go with the launch of an IPO. Previously in 2022, the company filed a DRHP to launch its IPO for ₹2000 crores, however, it withdrew the document due to the unappreciated market condition.
boAt is considering raising funds of ₹2000-₹2500 crore, from existing shareholders as of now, but the amount can vary depending on the company’s financial performance and market condition.
According to the sources, we got to know that for its IPO, the company appointed ICICI Securities, Goldman Sachs, and Nomura as their merchant bankers. We can expect to see the IPO launched by Fiscal year 2026.
Previously in 2022, the company filed a DRHP to launch its IPO for ₹2000 crores, in which, they planned to raise ₹900 as a fresh issue and ₹1100 crore as an offer-for-Sale by the private equity firm Warburg Pincus.
With the contribution of Warburg Pincus (an existing investor) and Malabar Investments (a new investor) helping BoAt raise $60 million by selling convertible preferred stock, estimating the company’s worth at least $1.2 billion.
Despite the stock market not on our side and is constantly on the downside, the BoAt company is still going forward to launch its IPO. Around 20 startup companies are planning to launch their IPO this year, but this might change as a result of poor market conditions according to the sources.
In the October-December 2024 quarter, BoAt held a 25.7% market share being one of the largest wearable companies in India. Last year, The company faced a lot of losses due to not getting enough consumer demand, especially their smartwatches, leaving them to struggle.
