Indian digital mapping firm MapMyIndia filed its DRHP documents on August 31, 2021. The initial public offering (IPO) will see an offer-for-sale up to 7,547,959 equity shares by selling shareholders, according to the draft red herring prospectus (DRHP).
The selling shareholders include Rashmi Verma, and investors Qualcomm and Japanese map maker Zenrin. However, the company did not disclose the details of the IPO.
PhonePe holds 36.11 percent of equity shares on fully diluted basis and Zenrin invests 17.82 percent. Founders Rashmi and Rakesh Verma hold 17.66 percent and 14.11 percent in fully diluted stories, and Qualcomm's at 8.48 percent.
Moneycontrol earlier reported that the company was targeting an IPO of Rs 1,200 crore valuing the company at Rs 5,000-6,000 crore.
“The objects of the Offer are to carry out the Offer for Sale of up to 7,547,959 equity shares by the Selling Shareholders and achieve the benefits of listing the Equity Shares on the Stock Exchanges,” the DRHP read.
According to the DRHP, the total Indian addressable market of digital maps and location-based intelligence services is expected to grow to $7.74 billion in 2025 at the CAGR of 15.5 percent CAGR from 2019 to 2025.
The company registered Rs 192 crore in revenue for the year ending March 31, 2021, up from Rs 163.5 crore the previous year in FY20. The company’s profits doubled in FY21 to Rs 59 crore, from Rs 23 crore in FY20.
MapMyIndia is one of the few profitable internet companies that are going for IPO. Other profitable companies that are going for IPO are Nykaa, and CarTrade, which was listed recently. After Zomato’s successful listing in July 2021, other companies that are looking at IPO include Paytm, PolicyBazaar, and Droom.
MapMyIndia (MMI) was founded in 1992 by Rakesh and Rashmi Verma. The company has a 90 percent market share in the automotive space and counts top automakers such as BMW, Tata, Honda and Toyota as its clients. The company also powers, maps of Apple and Amazon’s Alexa.
It also works with startups such as ride-hailing firm Ola, digital payments major PhonePe and cycle-sharing platform Yulu as well as government organisations like the Central Board of Direct Taxes for their mapping product. The company has recently started focusing on the consumer-map business, which is dominated by Google.
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