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BlueStone's pre-IPO glow up; PE funds go tech shopping
Ahead of its listing, BlueStone is poised to become India's next unicorn through a secondary deal. This and more in today's ETtech Morning Dispatch.
Also in the letter: ■ Google bets on India■ ETtech Done Deals■ 'Safety Charter' for India
BlueStone set to enter unicorn club on road to IPO
Gaurav Singh Kushwaha, CEO, Bluestone
Omnichannel jewellery retailer BlueStone is set to become India's newest unicorn, with a secondary deal valuing the company at around $1.2 billion, ahead of its public listing.
Tell me more: The private wealth management arms of 360 One and Centrum Wealth are in advanced discussions for secondary deals valued at Rs 300–350 crore. Both platforms intend to offload their holdings to clients before the Bengaluru-based firm debuts in the public markets.
In numbers: The deal values BlueStone at Rs 10,500 crore ($1.2 billion), reflecting a 30% increase from its Rs 8,100 crore (approximately $970 million) valuation in the August 2024 funding round.
Lucrative returns: Singapore-based RB Investments will completely exit the company through these transactions. Holding a 2–3% stake, RB is anticipated to achieve a 10–12x return on investment.
Catch up, quick: BlueStone submitted the draft prospectus for its IPO to Sebi in December and obtained regulatory approval in April. The offer comprises a fresh issue of shares worth Rs 1,000 crore and an offer-for-sale (OFS) of nearly 24 million shares. Investors including Accel, Saama Capital, IvyCap Ventures, and Kalaari Capital will partially or fully divest through the OFS.
PE funds pick up significant stakes in fast-growing tech firms
Private equity funds are acquiring significant stakes in rapidly growing technology firms across high-growth sectors. At least four deals have been finalised since the start of 2025, according to investment bankers and industry executives.
Deals book: New Mountain Capital acquired a 70–75% stake in Access Healthcare
Kedaara Capital invested $350 million in Impetus Technologies
HIG Capital picked up a stake worth C$1.3 billion in Converge Technology Solutions
Agilitas PE bought a stake worth 300 million euros in Tietoevry Tech Services.
Players on the pitch: Active dealmakers include PE funds like Blackstone, Carlyle, EQT Partners, Barings PE Asia and Chryscapital. Most of the recent activity has concentrated on digital engineering and healthcare revenue cycle management (RCM), with at least 70 to 80 new buyers entering the market, said Shobhit Jain, head of enterprise, technology and services at Avendus Capital.
Investor interest: This burst of dealmaking follows a strong run of 21 PE-backed deals valued over $300 million between January 2024 and March 2025. By comparison, only nine such deals were recorded in the previous year.
But why? India's software products market is projected to grow from $15 billion in FY23 to $44 billion by FY31, according to a March report by SaaSBoomi and 1Lattice. This projection underscores the rising investor confidence and the increasing scope for tech-focused investments.
Google 'very bullish' on India, says new country head Preeti Lobana
Google remains "very bullish" on India despite macroeconomic headwinds and a slowdown in consumption, Google India country manager Preeti Lobana told us in her first interview since taking charge. Sectors such as gaming, edtech, ecommerce, and quick commerce continue to experience rapid growth, she said.
Growth engines: Google is doubling down on its "One Google' approach and artificial intelligence (AI) to drive growth in India. This includes offering a comprehensive suite of solutions—advertising, cloud, and payments—to serve both large enterprises and small businesses. Lobana said Google remains committed to building India-first products.
AI strategy: Lobana dismissed concerns about AI chatbots threatening Google's core search product. The company has weathered every major tech shift and emerged stronger, she said. Google is adapting its products to reflect changing consumer habits, including support for longer, more conversational queries. The AI mode in Search will roll out in India shortly, she confirmed.
MakeMyTrip plans $3 billion buyback; China's stake to fall below 20%
India's largest online travel platform, MakeMyTrip, plans to raise $3 billion through a mix of equity and debt to buy back shares from China's Group. The deal will reduce stake from 19.99% to 45.34%, making it the biggest-ever fundraise by a listed Indian new-age company.
Driving the news: board representation will drop from five directors to two. Meanwhile, MakeMyTrip cofounders Deep Kalra and Rajesh Magow, who hold 4.6% voting rights, will retain the right to appoint three independent directors.
Backstory: first invested in MakeMyTrip in 2016 via $180 million in convertible bonds. It later acquired Naspers' 42% stake in 2019 through a share swap.
Adding context: The buyback follows scrutiny over Chinese ownership amid data security concerns. Rival EaseMyTrip's founder had flagged board influence, which MakeMyTrip dismissed as a 'motivated accusation.'
By the numbers: $1.4–1.6 billion via primary equity issuance
$1.25 billion via convertible notes, plus a $187.5 million greenshoe option
FY25 gross bookings: $9.8 billion; profit: $95.3 million
Q4 FY25 gross bookings: $2.5 billion; profit: $29.2 million
The big picture: Several Indian startups, including Paytm, Zomato, and Dream Sports, have also cut Chinese holdings in recent years.
Secured lender Techfino raises Rs 65 crore from Stellaris, Saison Capital: Non-bank lender Techfino raised Rs 65 crore in equity funding from Stellaris Venture Partners and Saison Capital, the venture arm of Japan's Credit Saison.
Razorpay invests $30 million into consumer payments startup Pop: Fintech major Razorpay has invested $30 million in consumer payments platform Pop to help merchants manage rising customer acquisition costs and boost user rewards.
Why it matters: Razorpay is doubling down on loyalty and commerce tools after acquiring PoshVine earlier.
Other Top Stories By Our Reporters
Google releases 'safety charter' for India: The internet major released a 'safety charter' for India to tackle online scams, enhance cybersecurity for government and businesses, and promote responsible AI.
Salesforce eyes manufacturing boom in India through AI and cloud solutions: While manufacturing has lagged behind banking and financial services in adopting digital platforms, the situation can be improved with enhanced data and insights, said Arundhati Bhattacharya, Salesforce's president and CEO for South Asia.
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Updated On Jun 18, 2025, 07:16 AM IST
