Tiger Global-Backed Logistics Unicorn BlackBuck Eyes $300 Mn IPO In FY25

Flipkart-backed logistics unicorn BlackBuck is reportedly planning to go public in the next fiscal year (FY25) and is looking to raise as much as $300 Mn.

The startup has appointed merchant bankers and lawyers for the proposed initial public offering (IPO) and has initiated the preparations of its draft red herring prospectus, Moneycontrol reported. 

The unicorn is looking to file the DRHP with the full FY24 financial numbers and intends to launch its IPO in the second half of FY25, a source was cited as saying. 

BlackBuck plans to use the IPO proceeds to scale up its services business, which it has been focusing on ramping up in recent years, as well as to grow its core freight business.

As per the report, the IPO would comprise a fresh issue of shares as well as an offer for sale component. The final offering size will depend on the yet-to-be-finalised quantum of the secondary share sale. 

“These are early days and the company and its investors are still in discussions over the secondary share sale component of the deal,” one of the sources was quoted as saying.

BlackBuck was not immediately available to respond to Inc42’s queries on the development. The story will be updated on receiving a response from the startup.  

Founded in 2015 by Rajesh Yabaji, Chanakya Hridaya, and Rama Subramaniam, BlackBuck claims to be the largest online trucking platform in India, with over 90% market share of all online trucking activities. 

As per the startup, it has over 700K truckers and 1.2 Mn trucks on its platform, with over 15 Mn monthly transactions. It also has a services business that sells GPS tracking devices, FASTags and fuel cards.

BlackBuck counts the likes of Tiger Global, Accel, Sequoia, and Goldman Sachs among its investors. The startup entered the unicorn club in 2021 after raising $67 Mn in a funding round led by Tribe Capital, IFC Emerging  Asia Fund and VEF. Overall, it has raised a total funding of about $360 Mn till date.

The unicorn’s consolidated net loss rose marginally to INR 290 Cr in FY23 from INR 285 Cr in the previous fiscal year, while operating revenue declined 15% to INR 704 Cr from INR 832 Cr in FY22.

The development comes at a time when the number of new-age tech startups planning IPOs is on the rise after the lull of the previous two years. The likes of Ola Electric, Awfis, and FirstCry have filed their DRHPs with the Securities and Exchange Board of India (SEBI) in the last few months to go public. 

Last week, insurtech unicorn Digit Insurance also received the market regulator’s nod for its IPO.