In a significant development for the Indian e-commerce landscape, BigBasket, an online grocery platform backed by the Tata Group, is gearing up for an initial public offering (IPO). According to a statement from the company’s top official, the IPO is expected after BigBasket achieves profitability, likely within the next six to eight months.
BigBasket IPO Date on the Horizon
BigBasket’s co-founder and CEO, Hari Menon, revealed that the IPO is anticipated in 2025, with the Tata Group guiding and advising the company through the process. While the exact details of the IPO remain undisclosed, Menon suggested that it would involve both primary and secondary share sales.
Addressing the need for capital, Menon stated that the company plans to secure funds from the Tata Group before the IPO. The capital will primarily be directed towards ongoing investments in technology, marketing, and hiring.
BigBasket’s Growth and Revenue Projections
For the current fiscal year (FY24), BigBasket is eyeing a robust revenue growth of 30-35% over the previous fiscal year, targeting a topline of approximately Rs 12,000 crore. Menon highlighted that a significant portion of the revenue, over 70%, is generated through the slotted business, BigBasket Super Saver, while the relatively newer segments BB Daily and BB Now contribute the remaining 30%.
Expansion into Frozen Food and Future Focus
BigBasket is set to make a mark in the frozen food segment with its recently launched product line, Precia. Menon envisions sales of up to Rs 150 crore from Precia by 2026, focusing on frozen peas, mixed vegetables, snacks, and sweets. The company plans to allocate substantial investments to marketing Precia’s offerings.
Contrary to broader e-commerce trends, Menon stated that BigBasket has no intentions of venturing into the broader e-commerce space. The company remains committed to its core business of being a grocer and is exploring an offline presence through a pilot project to test the omnichannel format.
As BigBasket charts its course towards profitability and a potential IPO, it adds an intriguing chapter to Tata Digital’s foray into the competitive online grocery market.
