Shadowfax Technologies Ltd, a leading logistics company in India, has launched its initial public offering (IPO) today.
The company aims to raise up to Rs 1,907.27 crore, which includes:
Fresh issue: Rs 1,000 crore to fund company growth
Offer for sale (OFS): Rs 907.27 crore, where existing shareholders sell their shares
The IPO is open for subscription from January 20 to January 22, 2026, and the company is expected to list on BSE and NSE on January 28, 2026.
As of 11:00 am on Day 1, the IPO has received muted demand, with overall subscription at just 0.10 times.
Subscription Status: Who Is Bidding?
Qualified Institutional Buyers (QIBs): The largest portion of the IPO has not seen any bids yet, showing limited institutional interest.
Non-Institutional Investors (NIIs): Subscribed 0.06 times.
Big investors (above Rs 10 lakh) have shown very weak interest at 0.02 times, while Rs 2–10 lakh bids fared slightly better at 0.13 times.
Retail Individual Investors (RIIs): Subscribed 0.44 times, with most demand coming through cut-off price bids, indicating that small investors are hoping for allotment at the final price.
The price band is fixed at Rs 118–124 per share, with a face value of Rs 10.
Retail investors can buy a minimum of one lot (120 shares), which requires an investment of Rs 14,880 at the upper price.
Grey Market Premium: Modest Listing Gains
Unlisted shares of Shadowfax are trading at Rs 130 in the grey market, about 4% higher than the IPO price of Rs 124.
This suggests modest listing gains for investors.
The allotment date is set for January 23, 2026, and the listing will happen on January 28, 2026.
Grey market premiums reflect investor sentiment and can change daily.
How Shadowfax Plans to Use the Funds
Shadowfax will use the fresh issue proceeds mainly to expand its logistics network:
Rs 423 crore for capital expenditure (new first-mile, last-mile, and sorting centers)
Rs 138.6 crore for lease payments on infrastructure
Rs 88.6 crore for branding and marketing
Remaining funds for acquisitions and general corporate purposes
Founded in 2016, Shadowfax serves e-commerce, D2C, hyperlocal, and quick commerce delivery sectors.
By September 2025, it operated in 14,758 pin codes with over 4,299 touchpoints across India.
The company has turned profitable, reporting Rs 21 crore profit after tax in FY26 (till September), compared to losses in previous years.
Its pre-IPO market capitalization is around Rs 7,169 crore.
Should You Consider Investing?
According to Prasenjit Paul, Equity Research Analyst, Shadowfax is attractive for investors interested in India’s growing logistics and last-mile delivery sector.
The company benefits from the expansion of e-commerce and SME logistics beyond metro cities.
However, logistics is execution-heavy and competitive, with pressure on margins, especially in last-mile delivery.
Shadowfax IPO may suit investors who are comfortable with long-term growth and operating leverage rather than those looking for immediate listing gains.
