Acko Set to Join Insurtech IPO Wave with Planned USD 250 Mn Raise
The company has appointed ICICI Securities, Morgan Stanley and Kotak Securities as book-running lead managers for the proposed offering.
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Digital insurtech firm Acko is preparing to file its draft IPO papers with the Securities and Exchange Board of India (SEBI) through the confidential route, aiming to raise around USD 250 million, according to media reports. The Bengaluru-based company is targeting a public listing in early 2027.
The company has appointed ICICI Securities, Morgan Stanley and Kotak Securities as book-running lead managers for the proposed offering. It is expected to file its draft red herring prospectus (DRHP) in the second half of the year.
The IPO is likely to include a mix of fresh issue and an offer for sale (OFS) by existing investors, and could value the firm between USD 2 billion and USD 2.5 billion.
Founded in 2016 by Varun Dua and Ruchi Deepak, Acko began with digital motor insurance and has since expanded into health and other segments. Its acquisition of Parentlane in 2023 strengthened its health insurance play. The company has built an embedded distribution network through partnerships with platforms such as PhonePe, MyGate, Oyo, redBus, Zomato, HDB Financial Services and Urban Company, among others.
Acko follows a digital-first, technology-led approach, offering products including motor, health and travel insurance, along with group health cover for enterprises. Its model focuses on zero-commission policies, paperless processes and faster claim settlements.
In FY25, it reported revenue of INR 2,837 crore, up from INR 2,106 crore in FY24, while losses narrowed 37% to INR 424 crore. In FY26, it underwrote motor insurance premiums of INR 1,186 crore and health premiums of INR 1,235 crore.
Acko has raised over USD 583 million from investors including General Atlantic, Multiples PE, Accel, Elevation Capital and Canada Pension Plan Investment Board.
The company’s IPO plans come amid a broader trend of startups opting for confidential filings. Firms like Razorpay have also chosen this route, while others including PolicyBazaar, Digit Insurance and Turtlemint have either listed or initiated IPO processes.
Digital insurtech firm Acko is preparing to file its draft IPO papers with the Securities and Exchange Board of India (SEBI) through the confidential route, aiming to raise around USD 250 million, according to media reports. The Bengaluru-based company is targeting a public listing in early 2027.
The company has appointed ICICI Securities, Morgan Stanley and Kotak Securities as book-running lead managers for the proposed offering. It is expected to file its draft red herring prospectus (DRHP) in the second half of the year.
The IPO is likely to include a mix of fresh issue and an offer for sale (OFS) by existing investors, and could value the firm between USD 2 billion and USD 2.5 billion.
Entrepreneur Staff • Editor
Entrepreneur Staff
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