Groww IPO (via its parent company Billionbrains Garage Ventures Ltd) is one of the most anticipated events in India’s fintech space. It is not an IPO from just any other company, but from a company that has grown rapidly, evolving from a simple mutual fund app into a full-fledged investment ecosystem. In this blog, we will walk you through Groww’s story, the objects of the offer, the industry overview, the company’s financials, and what it might mean for you as an investor.
So buckle up….let’s start.
Groww IPO Details
| IPO Name | Groww |
| IPO Open & Close Date | Nov 04 – Nov 07, 2025 |
| Issue Price Band | ₹95 to ₹100 per share |
| Lot Size | 150 Shares per lot |
| IPO Type | Fresh Issue & OFS |
| Allotment Date | Nov 10, 2025 |
| Listing Date | Nov 12, 2025 |
| Retail (Min) Lot Size & Amount | 1 lot & ₹15,000 |
| Retail (Max) Lot Size & Amount | 13 lots & ₹1,95,000 |
| Small HNIs (Min) Lot Size & Amount | 14 lots & ₹2,10,000 |
| Small HNIs (Max) Lot Size & Amount | 66 lots & ₹9,90,000 |
| Big HNIs (Min) Lot Size & Amount | 67 lots & ₹10,05,000 |
| Listing | NSE & BSE |
About Groww
The company was started in 2016 by four former Flipkart veterans, Lalit Keshre, Harsh Jain, Neeraj Singh, and Ishan Bansal. Initially, it was a mutual fund investment platform, designed to make investing easier for the average retail investor. However, over time, the platform has expanded to provide services in stock trading and investment, F&O, IPOs, basically building a one-stop app for investment.
Here’s what makes Groww interesting:
- Only investment app in India to cross 100 million cumulative downloads as of June 2025.
- Its SIP inflows have grown strongly: In FY2025, it had SIP inflows of ~₹340 billion, which was about 11.76% of the industry’s ~₹2,894 billion.
- It’s capturing a meaningful chunk of new investors: for example, ~2 million new SIPs in June 2025 (about one out of three new SIPs).
- Groww is India’s largest retail investment platform ( NSE active clients) with ~12.6 million active clients, as of June 30, 2025.
Retail Cash Segment (Equity)
| Period | Industry Retail Cash ADTO (₹ billion) | Groww Retail Cash ADTO (₹ billion) | Market Share |
|---|---|---|---|
| FY 2024 | 357.27 | 45.23 | 12.66% |
| FY 2025 | 475.02 | 91.72 | 19.31% |
| Q1 FY 2025 | 519.94 | 81.61 | 15.70% |
| Q2 FY 2025 | 571.55 | 101.25 | 17.71% |
| Q3 FY 2025 | 434.90 | 93.94 | 21.60% |
| Q4 FY 2025 | 371.30 | 89.62 | 24.14% |
| Q1 FY 2026 | 451.10 | 106.74 | 23.66% |
*ADTO – Average Daily Turnover
Interpretation of the above numbers
- In the Cash Segment, the market share has increased from 12.7% in FY 2024 to 19.3% in FY 2025.
- Quarterly data shows continuous growth, from 15.7% in Q1 FY 25 to 24.1% in Q4 FY 25, a sharp gain of nearly 8.4 percentage points within one year.
- In Q12026, the company has maintained strong momentum with a 23.7% share in the retail cash segment. It implies that Groww is handling roughly one in every four rupees traded by retail investors in the cash segment.
Retail Derivatives Segment (F&O)
| Period | Industry Retail F&O ADTO (₹ billion) | Groww Retail F&O ADTO (₹ billion) | Market Share |
|---|---|---|---|
| FY 2024 | 602.58 | 45.73 | 7.59% |
| FY 2025 | 690.23 | 78.47 | 11.37% |
| Q1 FY 2025 | 791.67 | 76.62 | 9.69% |
| Q1 FY 2026 | 642.81 | 92.77 | 14.43% |
Interpretation
- Groww’s share in the retail F&O market also grew strongly, from 7.6% in FY 2024 to 11.4% in FY 2025.
- In Q1 FY 26, its market share further jumped to 14.4%, showing faster penetration among retail F&O traders.
- This growth indicates retail traders are increasingly adopting Groww’s platform not just for the Cash segment, but also for derivatives.
Objects of the Offer
It will be a mix of Offer for sale (OFS) and a Fresh issue. The company has proposed to utilize the proceeds from the IPO for the following objectives.
| S. No. | Particulars | Estimated Amount (₹ million) |
|---|---|---|
| 1 | Expenditure towards cloud infrastructure | 1,525.00 |
| 2 | Brand building and performance marketing activities | 2,250.00 |
| 3 | Investment in one of our Material Subsidiaries, GCS (an NBFC), for augmenting its capital base | 2,050.00 |
| 4 | Investment in one of our Material Subsidiaries, GIT, for funding its Margin Trading Facility (MTF) business | 1,675.00 |
| 5 | Funding inorganic growth through unidentified acquisitions and general corporate purposes | To be determined |
Industry Overview
- As of June 30, 2025, India’s equity market (across exchanges) reached a market capitalization of ~₹462 trillion. It is the fourth-largest market after the US, China (including Hong Kong), and Japan.
Metrics Year US Japan China India Market Cap-to-GDP Multiple 2024 1.9x 1.7x 0.8x 1.3x Mutual Fund AUM (as % of GDP) 2024 132% 60% 22% 20% Equities as % of Household Assets 2024 22% 18% 5% 6% Active broking Accounts penetration 2024 62% NA NA 5%
- The flow of household savings towards equities and mutual funds has also increased from ~5% in FY2020 to ~17% in FY2024, with equities as a percentage of household assets being ~6% in FY2024.
- In the last five years, there has been a significant growth in the number of investors in the capital market, but there still exists a significant growth opportunity in terms of penetration. Only 16 – 18% of the adult population in India has opened a demat account as compared to ~62% in the US.
- While India’s mutual fund AUM-to-GDP ratio increased from ~10.9% in FY2020 to ~19.9% in FY2025, it is significantly lower when compared to the AUM-to-GDP ratio of advanced economies such as the US at ~132% and Japan at ~60% in CY2024.
- On the mutual fund side: Direct plans account for ~47% of mutual fund AAUM as of March 2025.
- On the broking/trading side: Digital‐first platforms command ~76-78% of active clients on the NSE in FY2025, up significantly from ~38-40% in FY2020.
Interpretation
The industry is large, growing, and under-penetrated, all of which suggests that there exists a huge room for growth. Groww, with its digital orientation, aligns with the shift in how retail investors behave. But the competition is intense, and there are regulatory risks (in broking, especially in Derivatives).
Groww Financial Performance (₹ crore)
| Particulars | 3 months ended 30 Jun 2025 | 3 months ended 30 Jun 2024 | Year ended 31 Mar 2025 | Year ended 31 Mar 2024 | Year ended 31 Mar 2023 |
|---|---|---|---|---|---|
| Total Income | 948.47 | 1,047.58 | 4,061.65 | 2,795.99 | 1,260.96 |
| Profit / (Loss) | 378.37 | 338.01 | 1,824.37 | (805.45) | 457.72 |
Interpretation
- Strong Revenue Growth: Total income rose sharply from ₹1,260.96 crore in FY 2023 to ₹4,061.65 crore in FY 2025, that’s over 3× growth in two years.
- Profitability Turnaround: After a net loss of ₹805 crore in FY 2024 (mainly due to one-time tax and relocation costs), Groww rebounded strongly with a net profit of ₹1,824 crore in FY 2025.
- Jump in Net Profit Margin: FY 2025 (₹1,824 crore profit on ₹4,062 crore income) vs FY 2023 (₹458 crore on ₹1,261 crore income) shows a jump in net profit margin from ~36% to ~45%.
Conclusion – Groww IPO
So, should you invest in Groww’s IPO? Let’s weigh the pros and cons.
Pros
Strong brand & user base — Groww has grown rapidly among retail investors, suggesting good traction and recognition.
Profitable business model — Unlike many other fintechs in the past that have listed while they were still loss-making, Groww has moved into profitability, which reduces one big risk.
Market tailwinds — The Indian retail investing market is under-penetrated and growing, which gives Groww room to expand further.
Diversification of services — Groww is now not just a mutual fund app; it has broking/trading, margin trading (MTF), NBFC arm, etc., which could lead to multiple revenue streams.
Cons
Valuation may be high: If the IPO price happens to be expensive, it means most of the future growth may already be factored in, leaving less chance for quick upside.
Dependence on broking/trading revenues — A large part of Groww’s business is still tied to retail trading activity.
Competition is intense – Competition is very intense in India’s fintech/broking space. Groww will have to keep innovating, retain, and increase its user base to stay ahead.
Execution risk in new businesses – The NBFC arm, margin business, acquisitions etc. are growth enablers, but they might take time to scale or face regulatory hurdles.
The BIG question: Should you invest in the Groww IPO? The answer is “YES”. If the IPO is priced reasonably, then you could get in. But, if the valuation is high (aggressive price band), it might be wiser to wait and see how the public journey unfolds, and perhaps buy in later after one or two quarterly results. Also, it is recommended to read the RHP when it comes out, to know all the other conditions for the IPO.
Happy IPO Investing!
*Disclaimer: This blog is for informational purposes only and does not constitute investment advice. Investors should consult their financial advisor before investing.
About the Author
Sandip Desai is a stock market professional with over 18 years of experience in the Indian broking and investment space. He holds NISM certifications in Equity Derivatives, Currency Derivatives, Commodity Derivatives, and Mutual Fund Distribution. Sandip is passionate about simplifying financial concepts and helping investors navigate IPOs and capital markets with confidence.