Groww to Acquire Fisdom in USD 150 Million Deal Ahead of IPO Filing
Groww is in the final stages of closing a USD 250–300 million pre-IPO funding round, with USD 150 million already raised from Singapore-based investor GIC at a post-money valuation of USD 7 billion
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Groww, one of India’s largest brokerage platforms by active users, is set to acquire wealth management startup Fisdom for USD 150 million in an all-cash transaction, according to a source familiar with the matter. The acquisition, which is subject to regulatory approval from the Securities and Exchange Board of India (SEBI), comes just weeks before Groww is expected to file its draft red herring prospectus through the confidential route.
The deal is expected to close within two to three months and marks Groww’s second significant acquisition following its purchase of Indiabulls Asset Management Company in May 2023. The company is also in the final stages of closing a USD 250–300 million pre-IPO funding round, with USD 150 million already raised from Singapore-based investor GIC at a post-money valuation of USD 7 billion.
Founded in 2015, Fisdom provides services such as mutual fund investments, stock trading, bonds, portfolio management, and tax filing. The startup has over a million customers and operates through 15 offices across India. It is backed by investors including Prosus, Saama Capital, and Quona Capital. In FY24, Fisdom reported a revenue of INR 84 crore—up 28 per cent from the previous year—while reducing net losses by 19 per cent to INR 57.4 crore. The company reported EBITDA-level profitability in the March quarter of FY25.
Groww, which began as a mutual fund investment platform in 2016, introduced equity trading, ETFs, and IPO investments in 2020. For FY24, the company reported a consolidated revenue of INR 3,145 crore—more than double the previous year’s figure. Operating profit stood at INR 535 crore, up from INR 458 crore in FY23. However, it posted a net loss of INR 805 crore due to a one-time domicile tax of INR 1,340 crore incurred when the company moved its registered office from Delaware to Bengaluru.
The acquisition comes at a time when broking firms are under pressure from changing regulations and declining investor activity. Groww saw a drop of approximately 75,000 active investors in April 2025. Zerodha, another major player in the space, reported a decline of over 55,000 users, continuing a five-month downward trend.
Brokerages have also been affected by increased taxes on trading, reduced exchange incentives, and restrictions on retail participation in futures and options markets. Angel One, a listed brokerage, saw its net profit fall by 49 per cent year-on-year to INR 175 crore in the March 2025 quarter. Its revenue also declined by 22 per cent to INR 1,056 crore.
Groww is expected to pursue its IPO at a valuation between USD 7 billion and USD 8 billion. The addition of Fisdom is likely aimed at broadening its service offerings and revenue streams amid ongoing regulatory shifts and market uncertainty.
Groww, one of India’s largest brokerage platforms by active users, is set to acquire wealth management startup Fisdom for USD 150 million in an all-cash transaction, according to a source familiar with the matter. The acquisition, which is subject to regulatory approval from the Securities and Exchange Board of India (SEBI), comes just weeks before Groww is expected to file its draft red herring prospectus through the confidential route.
