MapmyIndia is planning an IPO to raise $175 million.

 

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Based in New Delhi MapmyIndia, a digital-based mapping company is planning an initial public offering (IPO) in the near future.

The 1995-founded company is planned to raise $175 million in the public market and will publish a draught red herring prospectus with the market regulator, SEBI, detailing the offer as well as the company's financials and other information. For consumers' convenience, the business integrates its technology with Apple Maps and Amazon's Alexa, and it is trying to raise the above-mentioned amount at a valuation of $825 million.

When it raised financing from Flipkart in 2016, the company was valued at around $208 million (INR 16,00 crore).

According to a Bloomberg article, the IPO would be solely based on secondary shares, which are shares that are already held by existing investors, and the company will not issue any new shares — a common practice among companies applying for an initial public offering. MapmyIndia now joins a select group of profitable companies/startups, including Nykaa, a fashion e-commerce portal, and CarTrade, an online vehicle classified network.

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According to Tofler, MapmyIndia earned INR 148.63 crore from its operations in FY 20, with a profit of INR 25.34 crore. The company's net value at the time was INR 298.36 crore. Zomato, MobiKwik, Paytm, and Freshworks are just a few of the Indian tech startups that have recently gone public or are planning to go public in the near future.

MapmyIndia is a company founded by Rakesh Verma, who holds a master's degree in business administration from Eastern Washington University and previously worked as a general manager at Bank of India. It provides digital map data and APIs, GPS navigation, tracking, location apps, and other services.

Apart from Apple and Amazon, it also provides services to Uber, Mercedes-Benz, McDonald's Corporation, and e-commerce marketplaces including Amazon and Walmart-owned Flipkart.

Interestingly, Walmart and Qualcomm, a worldwide SOC provider, are also investors in the startup. The company's decision to go public comes just a few months after the Centre eased its restrictions on mapping and other geographic data. Indian enterprises were granted access to the Department of Science and Technology's geospatial data and services, which included maps, in February of this year.

(Source: Inc42)