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Shadowfax IPO Dips: Logistics Firm's Debut Falters
28 Jan
Summary
- Shadowfax Technologies listed at a discount on stock exchanges.
- The ₹1,907.27 crore IPO saw a moderate subscription of 2.72 times.
- Profitability remains modest despite strong revenue growth.
Shadowfax Technologies' initial public offering (IPO) of ₹1,907.27 crore experienced a weak market debut on January 28, 2026. The logistics solutions provider listed at a discount on both the NSE and BSE, trading significantly below its issue price of ₹124.
The IPO itself garnered a moderate response, with an overall subscription rate of 2.72 times. While qualified institutional buyers showed decent interest, non-institutional investors exhibited tepid demand.
Founded in 2016, Shadowfax operates an extensive third-party logistics network across India, serving major e-commerce and food delivery platforms. The company has demonstrated strong revenue growth, with revenues reaching ₹2,485 crore in FY25.
However, profitability remains a concern, indicated by modest EBITDA and net profit margins of 2.3% and 0.3% respectively in FY25. Market analysts pointed to valuation concerns as a potential reason for the underwhelming listing performance.
The proceeds from the IPO were earmarked for expanding network infrastructure, lease payments for fulfillment centers, and marketing initiatives.
