Snapdeal parent AceVector files updated DRHP for IPO with Rs 300-crore fresh issue

IIFL Capital Services, and CLSA India are appointed as merchant bankers for managing the AceVector IPO.

Kunal Bahl, Rohit Kumar Bansal, and SoftBank subsidiary Starfish-promoted AceVector, the parent company of e-commerce marketplace Snapdeal, has filed Updated Draft Red Herring Prospectus (UDRHP) with the SEBI on December 6 to raise funds via Initial Public Offering (IPO).

The IPO is a combination of fresh issuance of shares worth Rs 300 crore, and an offer-for-sale of 6.38 crore equity shares by existing shareholders.

Along with promoter Starfish, Nexus, Wonderful Star, Kenneth Stuart Glass, Priyanka Shreevar Kheruka, Jason Ashok Kothari, Rupen Investment, and Centaurus Trading will be selling shareholders in the offer-for-sale.

AceVector, which operates an asset-light digital commerce ecosystem through its subsidiaries - Snapdeal (e-commerce marketplace), Unicommerce (e-commerce enablement software as a service), and Stellaro Brands (consumer brands), has already received approval from the capital markets regulator for its confidential IPO papers in November.

The company filed the draft document via confidential route for its IPO in July this year. The SEBI has introduced this confidential filing system in 2022, which allows companies to submit draft red herring prospectuses (DRHPs) without making the details public until closer to the listing. The route gives issuers more flexibility to assess market sentiment before going ahead with an IPO.

As a part of its fresh issue component, AceVector may consider a pre-IPO placement of up to Rs 60 crore before the filing of Red Herring Prospectus (RHP) with the Registrar of Companies to launch IPO for the public subscription.

Promoters hold 66.43 percent stake in AceVector including Starfish's 30.68 percent shareholding. And the remainder 33.57 percent shares are owned by the public shareholders including Nexus India, eBay Singapore Services, Wonderful Star, Dunearn Investments, and PI Opportunities Fund.

AceVector that covers the entire e-commerce value chain across B2C and B2B segments catering to multiple stakeholders vertically (through both online and offline modes) and horizontally (consumers, sellers, brands and logistics providers) proposed to utilise Rs 125 crore of fresh issue proceeds for the marketing and business promotion expense of the Marketplace business.

Further, Rs 55 crore will be utilised for the technology infrastructure costs of the Marketplace business, and the remainder funds for inorganic growth, and general corporate purposes.

The Gurgaon-based company has posted loss of Rs 29.7 crore for six months period ended September 2025, narrowing from loss of Rs 113.2 crore in corresponding period of previous fiscal. Revenue during the same period soared 34.9 percent to Rs 244.4 crore, up from Rs 181.2 crore.

Loss in the fiscal year 2025 widened to Rs 138.9 crore, from loss of Rs 57.8 crore in previous year, however, revenue during the same period rose 4 percent to Rs 395 crore, against Rs 379.8 crore.

Of the three companies owned by AceVector, Unicommerce eSolutions is the only listed entity which shares closed at Rs 119.51 on December 5, against all-time high of Rs 264 (seen on August 20, 2024).

IIFL Capital Services, and CLSA India are appointed as merchant bankers for managing the AceVector IPO.