Snapdeal Ltd. (Snapdeal), in terms of revenue for the Financial Year 2020, has filed draft red herring prospectus for an IPO. The Offer comprises a fresh issue aggregating up to Rs. 1,250 crore and an offer for sale of up to 30,769,600 equity shares.
Snapdeal proposes to utilise the Net Proceeds of the Fresh Issue of Rs. 1,250 crore towards funding the following objects: 1. Funding organic growth initiatives – Rs. 900 crore; and 2. General corporate purposes (collectively, referred to herein as the “Objects”). In its DRHP, Snapdeal says that it is India’s largest pure-play value eCommerce platform, in terms of revenue for the Financial Year 2020. Further, with over 200 million app installations on Google Play Store, it is the most installed pure-play value eCommerce application and one of the top four online lifestyle shopping destinations in terms of total app installations in India, as of August 31, 2021. Snapdeal platform was also ranked by App Annie (a mobile market data and analytics platform) in the ‘Top Publisher Award 2020’ as among the top 10 shopping apps in India in terms of monthly active users (“MAUs”) for the year 2019.5
Snapdeal offer for sale of up to 3.08 cr equity shares
