Groww Looking To Enter Wealth Management Space Under A New Brand

Investment tech unicorn Groww is reportedly eyeing entering the wealth management segment under a new brand, W.

W will provide portfolio management services (PMS) and alternative investment funds (AIF), among others, to its 15 Mn affluent users, ET reported, citing sources.

Besides, the Tiger Global-backed company is also planning an acquisition for the wealth management business, as it looks to build an omnichannel presence for high-net-worth individual (HNI) clients, the report said citing sources.

“These are high-value transactions, and people would want to understand more and have a physical presence to reach out to before investing. The omnichannel play is also to build W’s own branding,” a source was quoted as saying.

Groww declined to comment on Inc42’s queries on the development.

This comes at a time when the company is gearing up for its initial public offering (IPO). It was said to be looking to file its draft papers by May this year for an over $1 Bn IPO.

Groww was said to have finalised four investment bankers – Kotak Mahindra Capital, JP Morgan, Axis Capital, Citi and Motilal Oswal – for its public listing.

Ahead of the IPO, the investment tech platform’s parent Billionbrains Garage Ventures Private Ltd issued bonus compulsorily convertible preference shares (CCPS) to existing investors Peak XV Partners, Ribbit Capital and Y Combinator recently.

Founded in 2017 by Lalit Keshre, Harsh Jain, Neeraj Singh, and Ishan Bansal, Groww provides an online discount broking platform enabling its users to invest in stocks, exchange-traded funds (ETFs) and IPOs. It also operates asset management company Groww Mutual Fund.

Further, the fintech unicorn’s bill payments platform Groww Pay Services received the Reserve Bank of India’s (RBI) approval to operate as a payment aggregator (PA) in April last year.

On the financial front, Groww Invest Tech, which operates Groww, reported a 119% growth in its revenue to INR 3,145 Cr in FY24 from INR 1,435 Cr in the previous year. The company claimed that it maintained operational profitability at INR 535 Cr in FY24 as against INR 458 Cr in FY23.