KKR-backed Leap India picks bankers for IPO, to file DRHP in a few days

Mint

a day ago

Leap India, backed by global private equity giant KKR, has appointed UBS, Avendus Capital, IIFL and JM Financial as lead managers for its upcoming initial public offering, according to four people familiar with the matter.
'The company is set to file its draft red herring prospectus (DRHP) within the next few days, and has a target to list within the next six months," a person with direct knowledge of the development told Mint.
The supply chain solutions provider had earlier planned to raise ₹1,000 crore through an IPO in 2022, but those plans were put on hold after KKR acquired a controlling stake in the company in 2023. With the recent appointment of bankers, the IPO plans now appear to be back on track.
Leap India has even added Harinarayanan Nair and Sanjiv Gupta to its board as independent directors, meeting regulatory obligations ahead of its plan to go public, as per reports.
Two sources familiar with the development told Mint that KKR plans to partially exit its stake through the upcoming IPO. When asked whether this would be a full exit, one source responded, 'Not fully".
Although the final valuation will be determined post road shows and investor meetings, KKR is targeting anywhere between $2.0-2.5 billion in value for the company in the IPO, people aware of the development said.
One of the sources aware of the matter said that KKR, along with a few other private equity investors, is expected to sell a portion of their stake in the IPO.
KKR, IIFL Capital, Avendus Capital, JM Financial and Leap India did not respond to queries sent by Mint, while UBS declined to comment.
Since its inception in 2013, Leap India has raised a total of $214.47 million in equity funding, according to Tracxn. Key investors in these rounds include KKR, Morgan Stanley, Mayfield, TVS Capital Funds and Sixth Sense Ventures, the data showed.
Many private equity‑backed firms in India are increasingly opting for domestic listings because India's capital markets have matured significantly, offering deep liquidity, robust investor appetite and strong demand from both domestic retail and institutional investors. This depth allows PE investors to list via IPOs or offer-for-sales (OFS), and then gradually sell entire stakes over time, without materially impacting valuations.
For instance, Carlyle-owned Magnum Holdings unlocked value by offloading a 20% stake during Hexaware Technologies' IPO in February. Later in 2024, Accel, Alpha Wave, Elevation Capital and Prosus—among Swiggy's earliest believers—had also lined up to sell part of their holdings in the food delivery startup's IPO. The much-talked-about Swiggy issue was oversubscribed 3.59 times in November last year, and the stock listed at an 8% premium, highlighting the strong liquidity and depth of domestic investor demand.
Leap is a provider of asset pooling solutions for supply chains in India. Asset pooling allows companies to rent and share reusable logistics equipment—such as pallets and containers—rather than owning them, helping reduce costs and improve efficiency.
The company serves over 900 customers through 7,000+ touchpoints, operates 30 warehouses and fulfillment centres, employs over 3,250 people and partners with seven outsourced pallet manufacturing units across the country.
The company's revenue surged 44% year-on-year in FY24 to ₹371.9 crore, according to data shared by Tracxn. Earnings before interest, tax, depreciation and amortization grew 66% on year to ₹209.9 crore, while net profit shot up 313% to ₹37.2 crore.