OfBusiness Revives IPO Plans, Targets Up To $800 Million Public Issue

OfBusiness is once again preparing to tap the public markets after shelving its earlier listing plans. The SoftBank-backed business-to-business commerce and financing platform is working on a fresh initial public offering (IPO) that could raise as much as $800 million, according to people familiar with the matter.

The company is said to be aiming to submit its draft red herring prospectus (DRHP) as early as November. Discussions are still underway, and the size, timing and final structure of the proposed share sale could change before the filing.

IPO May Include Fresh Issue And Offer For Sale

People aware of the discussions said the proposed OfBusiness IPO is expected to comprise a fresh issue of up to $200 million, while the remaining amount could come through an offer for sale (OFS) by existing investors.

The offering would mark a return to the IPO market for OfBusiness, whose previous listing attempt was reportedly put on hold after market conditions weakened a few years ago.

Investment Banks Join The Process

To prepare for the public issue, OfBusiness has reportedly appointed a group of investment banks, including Axis Capital, Morgan Stanley, JPMorgan Chase and Citigroup.

Neither the company nor the banks had publicly commented on the reported plans at the time of writing.

Strong Investor Backing

OfBusiness counts several well-known global investors among its shareholders. Apart from SoftBank Group, the company has received backing from Tiger Global Management, Norwest Venture Partners, Matrix Partners and Falcon Edge Capital.

These investors could partially dilute their holdings if the offer for sale component forms part of the final IPO structure.

IPO Market Showing Signs Of Recovery

The renewed listing plans come at a time when India's primary market has started seeing improved activity after a relatively slow first half of the year.

Several large companies have returned to the IPO market in recent months, signalling improving investor sentiment. According to Bloomberg data, companies have collectively raised around $6.8 billion through IPOs so far this year, compared with a record $22.4 billion raised during the previous year.

About OfBusiness

Founded in 2015, OfBusiness operates a digital platform that combines raw material procurement with financing solutions for businesses, particularly small and medium-sized enterprises (SMEs).

The company supplies products across sectors such as metals, chemicals, agricultural commodities and apparel, while also offering working capital and credit products to help businesses manage their procurement needs.

Also Read - Upcoming IPOs This Week: Ardee Industries, LEAP India, Technocraft Ventures Among Seven New Issues Opening This Week