Groww Utilizes 36% of IPO Proceeds, Holding Rs 645 Crore in Reserves

Groww Utilizes Only 36 Percent of Fresh Issue Proceeds

In the nearly three months since its initial public offering (IPO), Groww, the world's most expensive broking stock, has utilized only 36 percent of its fresh issue proceeds. The capital markets firm raised Rs 1,060 crore in the fresh issue portion, with Rs 371 crore being utilized since listing on November 11, 2025. This leaves nearly two-thirds of the funds raised, amounting to Rs 645 crore, unused as of the end of the financial year 2025-26. Of the total fresh issue component, around Rs 44 crore was for IPO proceeds.

The largest percentage usage was for investing in Groww's MTF business, with 51 percent of proceeds used at Rs 85 crore. Rs 67 crore of Rs 266 crore was also used for inorganic growth and general corporate purposes.

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According to the Securities and Exchange Board of India's current regulations, all mainboard issues that have a fresh issue size exceeding Rs 100 crore are liable to appoint a monitoring agency to track the utilisation of funds. The monitoring agency submits its report to SEBI on a quarterly basis until at least 95 percent of the proceeds of the fresh issue portion, excluding the amount raised for general corporate purposes, have been utilized.

Initial Public Offering and Share Performance

The initial public offering of Billionbrains Garage Ventures, the parent company of the popular broking platform Groww, raised Rs 6,632 crore. The issue comprised a fresh issue of shares worth Rs 1,060 crore, and an offer-for-sale of 56 crore shares, valued at Rs 5,572 crore. Since its debut on the bourses on November 12, shares of the firm have rallied around 44 percent, outpacing the benchmark indices Nifty 50 and Sensex.

Earnings Report

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Groww released its earnings report for the financial year 2026 and the quarter ended March on April 20. The company posted a consolidated net profit of Rs 686 crore for Q4 FY26, up 122 percent from Rs 309 crore reported in the same quarter last year. The company's total income rose by 81 percent to Rs 1,536 crore in the March quarter from Rs 850 crore it reported during the same period of previous fiscal year.