Not listing this year, says boAt

New Delhi Audio and wearables brand boAt, which had earlier deferred its public share sale plans amid stock market volatility, is not in a hurry to go for a listing, and is looking at FY25-FY26 timeframe for the IPO, co-founder Aman Gupta said. Gupta said that his startup is well capitalised for now. There was a phase when startup IPOs were in fashion, but then the markets turned choppy, Gupta recounted.

“We don’t need to go for an IPO, as such. We can do that after a few years also. So, maybe FY25-FY26 is what we’re looking. We’re not in a hurry to list,” Gupta said. boAt’s listing is ‘definitely not this year’, he added. The entrepreneur and investor whose stint with Shark Tank India has made him a household name, was among the invitees at an official delegation during Prime Minister Narendra Modi’s recently-concluded visit to Paris.

At the Indo-French CEO Forum last week, Gupta spoke about the rise of entrepreneurship and changes sweeping the country, as well as the company’s own startup story being a testimony to how real the India opportunity is. On whether boAt will look at another round of capital raise before listing, Gupta said while the startup is not in need of funds per se, a lot will depend on how things move, and its own growth ambitions.

“We might look at it depending on where we are, and where our ambitions are... Never say never, but it is not like we need funds,” he said. In October last year, Imagine Marketing, the parent company of audio and wearables brand boAt raised Rs500 crore from existing shareholder, a Warburg Pincus affiliate, and new investor Malabar Investments. Announcing the fundraise at that time, the company had said the move will fuel expansion into the fast-growing smartwatches category, while cementing leadership in personal audio. During the interview, Gupta said the startup is adequately funded and well capitalised for now.

“There is a saying, which I believe in Lakshmi Ji ko kabhi mana nahin karna chahiye (don’t say no to Goddess Lakshmi). If there is money coming in, we will not say no, but do we need it? The answer is again, no,” he said. Stock market listing allows startups to give an exit to early investors, he explained. “Listing for a startup is not a question because if you have raised funds you have to give an exit (to investors) because everybody comes with fiduciary duty towards their investors. So, we have to do a listing, it is not about choice. It’s just about when,” he said. Earlier, the company had filed a draft prospectus with the market regulator Securities Exchange Board of India (Sebi) for a Rs2,000-crore initial public offering (IPO), but the company proactively withdrew its draft red herring prospectus (DRHP). During the time of fundraising announcement last year, Gupta had said: “We have established clear leadership in our core personal audio category and are the number two player globally in earwear. We now want to make smartwatches our second core and will replicate the boAt digital playbook to become global leaders in this category as well.”