Tech Firms Zepto, PhonePe Press Ahead with IPO Roadshows Despite West Asia Tensions and Market Volatility

Indian Consumer-Tech Firms Engage with Foreign Institutional Investors Ahead of IPOs

Companies: Zepto, PhonePe Industry: Consumer-Tech Market Conditions: Volatile global and domestic stock markets due to ongoing conflict in West Asia

Update: Major Indian consumer-tech firms, including quick-commerce player Zepto and Walmart-owned fintech firm PhonePe, have started engaging with foreign institutional investors to gauge demand for their respective initial public offerings (IPOs). These meetings are taking place across global financial hubs, including Singapore, Hong Kong, the UK, and the USA.

Market Outlook: The ongoing conflict in West Asia has led to extreme volatility in global and domestic stock markets, raising fears of supply chain disruptions and higher inflation across global economies, including India. Despite this, investors are open to meeting companies, and the two firms are planning to launch their IPOs around May or June, depending on the ongoing conflict.

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Zepto IPO Plans: Zepto is targeting its IPO launch in June, with the company going full steam ahead with its IPO plans. The reception from investors has been good, with the company growing faster than its peers and gaining market share.

IPO Size: The IPOs of PhonePe and Zepto are expected to be more than Rs 10,000 crore in size each, with the final fundraising amount and timelines depending on market conditions.

Regulatory Approval: PhonePe has received approval from the Securities and Exchange Board of India, while Zepto is yet to receive regulatory approval.

Market Trends: The Indian stock market is trading almost 11 percent down since the start of the calendar year, with the benchmark Sensex closing at 76,034.42 on March 12. The negative sentiment in the secondary markets is having a rub-off effect in the primary markets.

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