On the subscription front, the IPO has seen muted demand so far. Investors have bid for 5.33 crore shares out of the 8.90 crore shares available, representing a total subscription of about 60%. Among different investor categories, retail investors (individual investors) have shown relatively higher interest, with a subscription rate of 1.64%, compared to other categories.Shadowfax Technologies GMP today:
From January 22, 2026, the gray market premium (GMP) for Shadowfax Technologies’ IPO will be Rs 1 per share. Considering that the IPO’s upper price band is Rs 124, this indicates a potential listing price of around Rs 125 per share, implying a potential gain of 1-2% for investors if the current gray market trend continues.
However, GMP has fallen steadily, from around 12% a few days ago to just 1% now, indicating that investor interest in the IPO has waned.
Shadowfax Technologies IPO Subscription Status
On the second day of the offering, Shadowfax Technologies’ IPO was 60% subscribed in total, reflecting subdued demand across all investor categories. Retail retail investors (RIIs) showed the highest interest and subscribed 1.64 times for their allotted share of 1.61 crore shares, indicating healthy participation from retail investors.
In contrast, non-institutional investors (NIIs) subscribed to only 33% of the Rs 2.41 crore shares reserved for them, indicating a cautious approach by high net worth investors.
Qualified Institutional Buyers (QIBs), whose involvement is often crucial in driving IPO momentum, placed bids for roughly 338 of the 4.83 crore shares allotted to them, reflecting measured and selective participation from institutional investors so far.
Shadowfax Technologies IPO details:
Shadowfax Technologies’ IPO worth Rs 1,907.27 crore has two components: a fresh issue of 8.06 crore shares worth Rs 1,000 crore, which the company will use to fund its growth plans, and an Offer for Sale (OFS) of 7.32 crore shares worth Rs 907.27 crore, which will allow existing shareholders to partially exit.
The IPO will be open for subscription from January 20 to January 22, 2026, with allotment of shares expected on January 23, 2026. The shares are likely to be listed on both the BSE and NSE around January 28, 2026.
The price band for the IPO is Rs 118-124 per share, giving investors the flexibility to bid within this range. Retail investors can apply for a minimum of 120 shares per lot, with bids in multiples of 120 shares. At the upper price range of Rs 124, the minimum investment for retail investors comes to Rs 14,880.
ICICI Securities, Morgan Stanley India and JM Financial are managing the IPO as book-running lead managers, with KFin Technologies Ltd appointed as registrar for the issue.
Allocation of anchor investors:
Shadowfax Technologies has secured Rs 856.02 crore from anchor investors by allotting 6,90,33,955 shares to 39 anchor investors at the IPO’s highest price band of Rs 124 per share. Each share has a face value of Rs 10, with the remaining Rs 114 representing the share premium.
Objectives of the Shadowfax Technologies IPO:
The funds raised from Shadowfax Technologies’ IPO will primarily be used to fuel the company’s expansion and operational growth. The largest portion, Rs 423.43 crore, is planned for capital expenditure to strengthen and expand the logistics network infrastructure.
In addition, around Rs 138.64 crore will go towards lease payments for setting up new first-mile centres, last-mile centers and sorting centres, which are crucial for improving delivery efficiency. The company also plans to spend Rs 88.57 crore on branding, marketing and communications efforts to increase brand visibility and customer reach.
The remaining proceeds will be used for potential acquisitions and general corporate purposes, giving the company the flexibility to pursue future strategic opportunities.
About Shadowfax Technologies
Founded in 2015, Shadowfax Technologies is a Bengaluru-based logistics and delivery services provider and has emerged as a prominent player in India’s fast-growing logistics ecosystem. The company offers a wide range of services including fast parcel delivery, same-day and next-day delivery, home exchange services and fast trade solutions with delivery times as short as 10 minutes.
Shadowfax has built a strong nationwide presence, serving more than 18,000 PIN codes in more than 2,500 cities. With the ability to deliver more than two million parcels per day, the company is known for its speed and efficiency, with deliveries often completed within 30 to 60 minutes of order placement – a trend that is gaining traction across India.
On the financial front, Shadowfax showed robust growth in FY25, with total income rising 32% to Rs 2,515 crore, compared to Rs 1,897 crore in the previous year. The company’s EBITDA rose 410% from Rs 11 crore to Rs 56 crore, and it also turned profitable, posting a net profit of Rs 6 crore in FY25, highlighting its improvement in operational efficiency and scalability.
Should you subscribe?
According to SBI Securities, at the IPO price band of Rs 124, Shadowfax Technologies is valued at an EV/Sales multiple of 2.4x and an EV/EBITDA multiple of 106.5x. The company has shown strong revenue growth, with a CAGR of 32.5% between FY23 and FY25, and has been EBITDA positive since FY24.
Shadowfax follows an efficient, scalable and asset-light business model and achieves asset turnover of more than 4x. The company does not own delivery vehicles, but instead manages touchpoints and last-mile operations through leasing arrangements, keeping capital expenditure low.
With India’s per capita shipments still at 3 to 5 shipments per person – much lower than 60 to 70 in the US and 75 to 85 in China – the long-term growth potential remains significant. While the IPO carries a slight premium compared to its nearest peers, SBI Securities maintains a NEUTRAL stance, indicating that investors are keeping an eye on the company’s post-listing performance before making any decisions.
(Disclaimer: Recommendations, suggestions, views and opinions expressed by the experts are their own. These do not represent the views of The Economic Times)
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