Matrimony.com’s ₹500-cr IPO may hit market in Sept
MUMBAI: Popular matchmaking website BharatMatrimony.com’s parent company Matrimony.com Ltd is planning to go public in the first half of September, said three people aware of the development. The proposed Matrimony. com initial share sale is expected to be worth ₹500 crore, they said.
Matrimony’s business comprises two segments – matchmaking services and marriage services. The company operates multiple portals such as BharatMatrimony.com, CommunityMatrimony.com and EliteMatrimony.com.
Matrimony’s IPO will mark yet another Internet IPO in the Indian market, which has seen just a handful of such companies go public. Last year, e-commerce company Infibeam Inc. Ltd went public in a ₹450-crore initial public offering, which was subscribed 1.1 times. Also last year, anti-virus software maker Quick Heal Technologies raised ₹451 crore through its IPO. Earlier this year internet and telecom infrastructure original equipment manufacturer Tejas Networks Ltd went public.
Earlier instances of technology companies going public in India include the likes of Justdial Ltd and Info Edge (India) Ltd, while companies such as travel portal MakeMyTrip opted to list overseas on the US markets.
For Matrimony.com this is the second attempt at going public in recent times. It had first filed its draft IPO papers in August 2015, but did not go ahead with the share sale then.
The company re-filed its draft papers in May this year, post which it received regulatory approvals in July to go ahead with its public offering.
“Matrimony.com has finished its investor roadshows and they are looking to launch the public offer soon, in the first half of September, most likely in the second week. There has been a strong response to the company’s roadshows, so demand for the share sale should not be a problem,” said one of the three people cited above, requesting anonymity as he is not authorised to speak to reporters.
Matrimony.com will file its red herring prospectus with the regulators next week, he added. “The price band is under final discussions between the board and bankers and should be finalised early next week,” he said.
Matrimony.com Ltd declined to comment on queries relating to its IPO launch plans.
The IPO consists of a fresh issue of shares aggregating up to ₹130 crore and an offer for sale of up to 3.7 million shares. The offer for sale will see Matrimony’s investor Bessemer Venture Partners make a complete exit, while Mayfield will sell part of its stake. Matrimony.com will use proceeds from the share sale for advertising and business promotion activities, purchase of land for construction of an office in Chennai, andre payment of overdraft facilities.