Japanese investment behemoth SoftBank appears to have concluded a second round of stock sales, divesting approximately $310 million in shares from the mother and child care e-commerce platform, FirstCry. The move comes as FirstCry is poised to file a draft paper for an initial public offering (IPO) later this week.
Sources reveal that SoftBank's recent share sale amounts to around Rs 630 crore, marking the second phase of divestment. In total, SoftBank has offloaded shares worth $310 million in two rounds. Notably, SoftBank initially invested $400 million in FirstCry when the platform was valued at approximately $900 million.
Reports from MoneyControl suggest that FirstCry is targeting a substantial fundraising amount of $500 million. Sixty percent of this capital is anticipated to be directed towards the offer for sale (OFS) component, with the remaining funds allocated to the primary segment.
While FirstCry's listing is expected post the 2024 general elections, Ola Electric has already initiated efforts to raise nearly Rs 5,800 crore through its IPO. Prior to the IPO proceedings, SoftBank demonstrated confidence in both FirstCry and Ola Electric by elevating their valuations, along with several other firms in its portfolio.
In a separate development earlier this month, SoftBank was potentially identified as the seller in a block deal involving shares worth $135 million (approximately Rs 1,125 crore) in the food delivery platform Zomato. These strategic moves underscore SoftBank's dynamic involvement in reshaping its investment portfolio, reflecting its ongoing optimism and strategic positioning in the market.
(With Agency Inputs)
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