Sebi approves confidential DRHP of Aman Gupta-led boAt

Imagine Marketing, the parent of wearables brand boAt, has received Sebi’s approval for its confidential draft red herring prospectus (DRHP), paving the way for the Aman Gupta-led company’s second attempt to go public.

In April this year, the Delhi-based company had submitted its IPO papers to the regulator through the confidential pre-filing route.

The consumer electronics brand company, co-founded by Aman Gupta and CEO Sameer Mehta, is looking to raise around ₹2,000 crore via IPO route, eying a valuation of over $1.5 billion. 

Founded in 2013 and having launched its flagship brand “boAt” in 2014, the Delhi-based company is making a second attempt to go public. The company had first filed for a ₹2,000 crore IPO in 2022, which it later withdrew citing tough market conditions. Instead of pursuing a listing, boAt raised ₹500 crore in private funding from existing investor Warburg Pincus and new investor Malabar Investments.

The planned ₹2,000 crore IPO included a fresh issue of shares worth up to ₹900 crore and an offer for sale of shares worth up to ₹1,100 crore, according to the company’s draft prospectus filed in 2022. The proceeds were intended for repayment and prepayment of borrowings. As part of the IPO, the co-founders had planned to pare their stakes by ₹150 crore each, while investor South Lake Investment intended to sell shares worth ₹800 crore.

According to the latest report by market research firm International Data Corporation (IDC), boAt held the top position in India’s overall wearables category with a 27% market share in 2024, followed by Noise (Nexxbase) with 12.2%. it offers a diverse product portfolio spanning audio devices, wearables, and charging solutions.

The company is backed by South Lake Investment Ltd (an affiliate of the Warburg Pincus Group), Qualcomm Ventures LLC, and Fireside Ventures Investment Fund I (Scheme of Fireside Investment Trust). It currently operates offices in Delhi, Mumbai, and Bengaluru.

On the financial side, the Warburg Pincus-backed firm cut its net loss by 47% to ₹53.6 crore in FY24, from ₹101 crore in the previous year. The startup also turned EBITDA positive in FY24, reporting an operating profit of ₹14.04 crore compared to an EBITDA loss of ₹50.21 crore in FY23. Revenue, however, fell 5% to ₹3,121.6 crore from ₹3,284.7 crore a year earlier.

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