Behind the Veil: InCred Holdings Plots its Course for a Multi-Billion Rupee Public Debut

In the bustling, ever-evolving landscape of India's financial markets, there's a certain buzz, a quiet yet undeniable anticipation brewing around InCred Holdings. It seems this diversified financial services group, quite the dynamic player, is preparing for a rather significant leap. We’re talking about an initial public offering, or IPO, and honestly, the papers have been filed — confidentially, mind you — with SEBI, India’s capital markets regulator. It's a move that suggests serious ambition, a clear signal they’re ready for the big leagues.

So, what exactly is InCred aiming for? Well, if all goes according to plan, they’re looking to raise a substantial sum, somewhere in the ballpark of Rs 3,000 to 4,000 crore. Now, for those tracking these things, that translates to roughly USD 360 to 480 million, a considerable chunk of change indeed. And it’s worth remembering that this isn’t their first rodeo with big money; back in December 2022, InCred managed to secure USD 110 million in a funding round, pushing its valuation past the coveted USD 1 billion mark, making it a certified unicorn. Yes, a unicorn seeking an IPO — quite the narrative, wouldn’t you agree?

But who exactly is InCred Holdings, beyond the impressive numbers and whispered IPO plans? In essence, it’s a financial powerhouse with a rather broad reach. The group offers a gamut of services, from consumer loans, which, let's be frank, are increasingly vital in a developing economy like India’s, to robust MSME (Micro, Small, and Medium Enterprises) lending. Beyond that, they’ve carved out significant niches in wealth management and, indeed, investment banking. The company operates under a well-structured umbrella, housing key subsidiaries like InCred Finance, its crucial non-banking financial company (NBFC), InCred Capital, handling wealth, asset management, and investment banking, and InCred Money, which delves into retail broking and distribution. It’s a comprehensive ecosystem, you could say.

At the helm of this burgeoning enterprise is Bhupinder Singh, the founder and a man with a rather distinguished pedigree, having previously served as the head of Deutsche Bank’s corporate and investment banking division for Asia Pacific. His vision, clearly, has propelled InCred from its inception to this pivotal moment, standing on the precipice of a public listing. It’s a testament to his leadership and, naturally, the diligent work of his entire team.

And honestly, the financial health of the company seems robust. For the fiscal year ending March 2023, InCred reported a rather healthy profit of Rs 123.8 crore, a significant turnaround from a loss the previous year, which is a detail not to be overlooked. Revenue, too, saw a strong performance, clocking in at Rs 606.8 crore. These figures, in truth, paint a picture of a company not just growing, but growing profitably, which is, dare I say, exactly what investors want to see.

This isn't an isolated event either. InCred is, in a way, joining a parade of Indian startups, many of them tech-focused, that have either gone public or are contemplating it. Think of names like Mamaearth, Boat, OYO, and Pharmeasy, to name just a few. The Indian market, it appears, is slowly but surely maturing, welcoming these newer, often digital-first, enterprises into the public fold. InCred’s confidential filing, a common practice in the US that’s gaining traction in India, simply means they're able to keep certain details under wraps for a bit longer, perhaps allowing for more flexibility in navigating market conditions or, indeed, perfecting their pitch before the full public glare.

The move certainly underscores the ambition driving InCred. With bankers like ICICI Securities, CLSA, Nuvama, and JM Financial reportedly on board, it seems the gears are already turning. For once, perhaps, it’s not just about raising capital; it’s about solidifying a position, enhancing credibility, and, ultimately, marking InCred Holdings as a major force in India’s ever-competitive financial services arena. And as always, we'll be watching closely to see how this exciting chapter unfolds.