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Integrated Platform Riding India’s Digital Commerce Wave

Shiprocket Ltd. is India’s leading technology-driven e-commerce enablement platform, serving MSMEs, D2C brands, and large retailers. Founded in 2011, it operates an asset-light, API-led ecosystem that connects merchants with logistics, warehousing, payment, and technology partners. Its core business focuses on domestic shipping and post-order logistics, while emerging services include fulfilment, crossborder shipping, hyperlocal delivery, digital marketing, checkout solutions, and business financing, helping merchants improve efficiency, enhance customer experience, and scale across channels and markets.

* India's online retail Gross Merchandise Value (GMV) is expected to grow at a robust ~20-25% CAGR over CY25-30, reaching Rs 19-23 trillion, driven by increasing digital adoption, a growing online consumer base and continued innovation across business models and categories. (Source: Redseer research)

* The company reported a strong 24% revenue CAGR over FY24-26, reaching Rs 2,024cr in FY26, supported by volume growth and the rapid scaling of crossborder and value-added commerce services.

* Shiprocket’s core business provides end-to-end domestic shipping and post-order logistics solutions, while its emerging business focuses on growth and expansion services such as cargo & fulfilment, cross-border commerce, ads & marketing, capital solutions, and hyperlocal deliveries for merchants.

* The company’s digital-first merchant acquisition strategy, supported by a simple, reliable, and secure platform, enabled strong organic merchant onboarding, attracting 2.34 million average monthly visitors in FY26 while reducing Customer Acquisition Cost (CAC) to Rs 2,829 per merchant from Rs 4,101 in FY24.

* With 214,769 active merchants in FY26, Shiprocket strengthened its ecosystem through the integration of Pickrr and further enhanced operating efficiency, enabling 96.73% of core business merchant onboarding without support intervention.

* The total debt stood at Rs 345cr in FY26 (D/E at 0.2x), and upon utilisation of net proceeds from the IPO for debt repayment (~Rs210cr), the debt-to-equity ratio will be negligible.

* At the upper price band of Rs 97, Shiprocket is valued at ~3.6x FY26 EV/Sales on a post-issue basis, which is at a discount to the listed peer. The company has shown strong growth through expanding merchant adoption and a diversified platform across logistics, fulfilment, cross-border commerce, marketing, and financial services. Its asset-light, technology-driven model supports scalability and efficiency, while debt reduction from IPO proceeds is expected to improve profitability. Hence, we recommend a ‘Subscribe’ rating for medium to long-term investors

Purpose of IPO

The offer consists of a fresh issue of Rs 885cr and an offer for sale (OFS) of Rs 732cr. The purpose of the issue is to i) fund growth initiatives in emerging and core businesses (Rs 366cr, including Rs 206cr for marketing and Rs 160cr for technology infrastructure), ii) debt repayment (Rs 210cr), and iii) support inorganic growth through acquisitions and meet general corporate purposes. The seller also includes LR India Fund, Tribe Capital, MCP3 SPV, Moore Strategic Ventures, Agility International Investment, and 500 Startups.

Key Risks

• Persistent losses (EBITDA loss: Rs 67cr; Adj. PAT loss: Rs 76cr in FY26) may constrain liquidity and financial flexibility.

• Heavy reliance on the top five courier partners (~85% of FY26 shipments) creates concentration and service disruption risks.

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SEBI Registration Number: INH20000034