IPO-Bound AceVector Nets ₹189 Cr From Anchor Investors

AceVector, the parent company of Snapdeal, has successfully secured ₹189 crore from anchor investors ahead of its upcoming IPO, set to launch tomorrow, September 25. The company offered 5.91 crore shares to these anchor investors at ₹32 per share, which is the top range of the IPO price band. Only two domestic mutual funds, Helios Mutual Fund and Taurus Ethical Fund, took part in the anchor round, collectively acquiring 93.75 lakh shares, or 15.87% of the allocation.

Helios invested 62.48 lakh shares through two schemes, while Taurus purchased 31.25 lakh shares worth ₹10 crore. The largest anchor investor, Negen Undiscovered Value Fund operated by Negen Investment Trust, secured 1.25 crore shares, or 21.16% of the round, for ₹39.99 crore. Other anchor investors included Singularity Growth Opportunities Fund II, TIMF Holdings, and others.

With the anchor round finalized, AceVector's ₹420 crore IPO will open for public subscription on September 25 and conclude on September 29. The company anticipates listing on stock exchanges on October 5. This is AceVector's second attempt to go public, following the shelving of earlier plans in 2022. SoftBank-backed Starfish I Pte Ltd, AceVector's largest shareholder with a 30.68% stake, has reduced its proposed offering by 34.8% to 2.76 crore shares from the initially stated 4.23 crore shares in the company's draft prospectus.

Three Nexus-affiliated entities will collectively sell 86.96 lakh shares, down from the previously proposed 1.33 crore shares. Foxconn-backed FIH Business Global will also sell 17.41 lakh shares. Individual investor Priyanka Shreevar Kheruka, who intended to sell 19.37 lakh shares in the draft prospectus, will not participate in the offering.

Other selling shareholders comprise Jason Ashok Kothari, Rupen Investment and Industries, and Centaurus Trading and Investments. AceVector plans to utilize a significant portion of the fresh capital to bolster Snapdeal, its value-oriented e-commerce platform. The company has allocated ₹132 crore for marketing and business promotion until FY29, which includes ₹40 crore in FY27, ₹55 crore in FY28, and ₹37 crore in FY29.

This investment will be used for digital and social media campaigns, influencer-driven promotions, product discovery, performance marketing, with a focus on strengthening Snapdeal's presence among value-conscious consumers in Tier 2 and smaller cities. Additionally, AceVector will invest ₹50 crore in Snapdeal's technology infrastructure, focusing on cloud computing, storage, networking, software, and related technologies.

These investments will bolster customer engagement and retention through personalized recommendations, improved shopping experience, and A/B testing. The remaining funds exceeding ₹100 crore from the IPO will be directed towards acquisitions, though specific targets have not been identified, and the deployment will be contingent on emerging opportunities post-listing.