AceVector’s IPO gave its selling shareholders a chance to monetise their holdings, with SoftBank-backed Starfish I Pte Ltd receiving ₹88.3 Cr from the OFS
The IPO offered markedly different outcomes for AceVector’s investors, with some individual shareholders booking multibagger returns while several institutional investors booked losses
Kenneth Stuart Glass netted the highest return at 5.42X, selling 13.2 Lakh shares for ₹4.2 Cr, while Laurent Bernard Amouyal booked a 4.38X return on his ₹72 Lakh share sale
Snapdeal parent AceVector’s initial public offering (IPO) provided an exit opportunity to several of its early investors and promoters, with SoftBank-backed Starfish I Pte Ltd emerging the biggest beneficiary of the offer-for-sale (OFS) component.
At the issue price of ₹32 per share, Starfish I, a SoftBank entity and the company’s largest shareholder, raked in about ₹88.3 Cr by selling 2.76 Cr shares, representing about two-thirds of the total OFS proceeds. The transaction represented an 0.08X return multiple on the shares being sold, according to AceVector’s RHP.
Starfish will continue to hold 11.3 Cr shares, valued at about ₹361.8 Cr at ₹32 apiece, after the IPO.
AceVector’s ₹420 Cr IPO comprised a fresh issue of ₹287 Cr and an OFS of up to 4.16 Cr shares worth about ₹133 Cr at the upper end of the price band of ₹30-₹32, valuing the company at ₹1,741 Cr.
AceVector’s IPO also provided partial exit to Nexus Venture Partners, although returns varied significantly across its investment vehicles.
Nexus India Direct Investments II sold 73.9 Lakh shares for ₹23.6 Cr, representing a 1.03X return multiple. The fund retains 3 Cr shares worth about ₹96.7 Cr at the IPO price.
Meanwhile, Nexus Opportunity Fund Ltd sold 8.4 Lakh shares for ₹2.6 Cr, representing a 0.14X return multiple, while Nexus Ventures III sold 4.6 Lakh shares for ₹1.4 Cr at a 0.07X multiple.
Together, the three Nexus entities sold 86.9 Lakh shares.
Other selling shareholders included FIH Business Global, Rupen Investment and Industries and Centaurus Trading and Investments. FIH sold 17.4 Lakh shares for ₹5.6 Cr, while Rupen Investment and Centaurus sold 2.7 Lakh shares each for about ₹86 Lakh.
The sharpest returns were booked by individual shareholders. Kenneth Stuart Glass sold 13.2 Lakh shares for ₹4.2 Cr at ₹32 apiece. The transaction represented a 5.42X return multiple, making it the highest return among selling investors.
Glass still holds 30.7 Lakh shares, worth about ₹9.8 Cr at the IPO price.
Meanwhile, Laurent Bernard Amouyal booked a substantial return on investment after selling 2.2 Lakh shares for ₹72 Lakh, representing a 4.38X return multiple. He retains 5.2 Lakh shares worth around ₹1.7 Cr.
On the other hand, former Snapdeal chief strategy and investment officer Jason Ashok Kothari sold 11.1 Lakh shares for ₹3.5 Cr, with a 0.78X return multiple, while retaining another 11.1 Lakh shares valued at ₹3.5 Cr.
AceVector
had earlier proposed a substantially larger OFS but trimmed the component by 34.9% to 4.16 Cr shares. Starfish alone reduced its proposed sale from 4.23 Cr shares to 2.76 Cr.
The company raised ₹13 Cr through a pre-IPO placement, which brought down the fresh issue to ₹287 Cr. The fresh capital is earmarked largely for Snapdeal, including ₹132 Cr for marketing and business promotion and ₹50 Cr for technology infrastructure, while the remaining proceeds are intended for acquisitions and general corporate purposes.
Founded in 2010 by Kunal Bahl and Rohit Bansal, AceVector started off as ecommerce platform, Snapdeal. Following the collapse of its proposed merger with Flipkart in 2017, it pivoted to a value-focused ecommerce model.
Besides Snapdeal, AceVector’s offerings include listed ecommerce SaaS company Unicommerce and consumer brands business Stellaro Brands. The group adopted the AceVector identity in 2022.
Ahead of opening the public issue for subscription, AceVector raised ₹189 Cr from anchor investors. Helios Mutual Fund and Taurus Ethical Fund were the only domestic mutual funds to participate, together picking up 93.75 Lakh shares, or 15.87% of the anchor allocation.
AceVector’s IPO closed on Tuesday (September 29), receiving 4.93X subscription. Investors placed bids for 36.61 Cr shares against 7.42 Cr shares on offer.
On the financial front, AceVector’s restated net loss narrowed nearly 64% to ₹45.5 Cr in FY26 from ₹126.3 Cr in FY25. Operating revenue rose 29.2% to ₹510.3 Cr from ₹395 Cr.
Source: Inc42
