Snapdeal's Unicommerce files for IPO

Snapdeal parent AceVector Limited-owned Unicommerce has filed for IPO draft papers with the Security Exchange Board of India (SEBI), as per a filing on Saturday.

The SoftBank-backed firm was established in 2012, and has been PAT-positive since FY21. 

Notably, the DRHP for Unicommerce does not include fresh issues, which means offer proceeds will be received by the selling shareholders.

The shareholding pattern shows that AceVector Limited holds over 38 per cent stake followed by SoftBank and B2 Capital Partners, with command 29 per cent and close to 10 per cent shares, respectively. Madhuri Madhusudan Kela, wife of the veteran investor has close to 2 per cent share in the e-commerce platform while Dilip Vellodi has over 3 per cent and Anchorage Capital, with close to 8 per cent, also commands significant stakes in the company.

SoftBank is offloading  1,61,70,240 shares through the offering, while B2 Capital partners will be giving up 22,10,406 equity shares.

Notably, Ola Electric and Firstcry, which are among the four predecessors filing for IPO before Unicommerce, are also SoftBank-backed.

Ahead of the IPO, the company has received investments from veteran investor Madhusudan Kela’s wife Madhuri Kela, American investment management firm Anchorage Capital, CitiusTech co-founders Rizwan Koita and Jagdish Moorjani, and Sutherland Global Services’ founder Dilip Vellodi.

The e-commerce SaaS platform has proposed to raise funds through an offer for sale (OFS) of up to 2,98,40,486 equity shares, the company has said.  

Unicommerce had a revenue growth of 52.56 per cent in FY23, and 47.55 per cent in FY 22. The platform has achieved an Annual Recurring Revenue (ARR) of Rs 103.74 crores, in the period ended September 2023. Its clients in India include noted names like Lenskart, Fabindia, Mamaearth, Emami, SUGAR boAt and Urban Company among others, processing close to 25 per cent order volume in 2022 as per a Redseer report.

IIFL Securities Limited and CLSA India Private Limited are the book-running lead managers of the issue.

As per the filing, Unicommerce eSolutions Limited is India’s largest e-commerce enablement Software-as-a-Service platform in the transaction processing layer in terms of revenue for the financial year ended March 31, 2022. The company is led by its Managing Director and Chief Executive Officer, Kapil Makhija. 

Unicommerce recently expanded its Board of Directors by inducting Manoj Kohli, Ullas Kamath, and Sairee Chahal as independent directors and Kunal Bahl & Rohit Bansal as non-executive directors.