Spinny Converts Parent Into Public Entity Ahead Of IPO Plans

Used-car marketplace Spinny has converted its parent company, Valuedrive Technologies Private Ltd, into a public entity by dropping the “Private” from its name as the startup prepares for a potential initial public offering (IPO) in the near term. 

According to regulatory filings accessed by Inc42, shareholders of Valuedrive Technologies Private Limited approved a special resolution on July 29 to convert the company into Valuedrive Technologies Ltd.

For the uninitiated, Indian companies are required to convert into public limited entities before filing their DRHP for IPOs as part of the mandatory legal restructuring under the Companies Act. This process allows firms to comply with regulations, lift restrictions on share transfers, and align governance by appointing independent directors.

The conversion came days after reports suggested that Spinny is exploring a public market debut. As per a Mint report back in June, the Delhi NCR-based startup is looking to raise up to $300 Mn via an IPO and is expected to file its draft red herring prospectus (DRHP) with the SEBI within the second quarter of FY27. 

The startup has also reportedly appointed investment banks including Morgan Stanley, Kotak Mahindra Capital, and Citi India to helm its public listing.

Inc42 has reached out to Spinny for comments on its IPO plans, including the proposed issue size. The story will be updated once the company responds.

Founded in 2015 by Niraj Singh, Mohit Gupta, and Ganesh Pawar, Spinny operates a marketplace for buying and selling certified used cars. The startup also offers services including vehicle inspection, refurbishment, financing, and after-sales support to customers.

Spinny counts SoftBank, Accel, Tiger Global, Elevation Capital and Abu Dhabi Growth Fund among its investors and is one of India’s largest organised used-car marketplaces.

It entered the unicorn club in 2021 after raising $285 Mn in its Series E funding round led by Abu Dhabi-based ADQ and Tiger Global, which valued the startup at around $1.5 Bn.

Since inception, Spinny has raised more than $700 Mn from investors, including its latest $170 Mn funding round earlier this year, led by Fidelity Investments and Accel.

On the financial side, Spinny narrowed its net loss by 28% to ₹423.8 Cr in FY25 from ₹590.3 Cr in FY24. Its operating revenue grew 25% to ₹4,656.1 Cr in FY25 from ₹3,730 Cr in the previous fiscal year. It is yet to report its FY26 numbers. 

Spinny competes with used-car platforms such as Cars24, CarDekho and Droom in India’s growing pre-owned vehicle market.

The potential listing would add Spinny to the growing pipeline of Indian startups preparing to tap the public markets across sectors such as fintech, quick commerce, logistics, consumer technology and more.

Earlier in the day, logistics tech provider LEAP India filed its red herring prospectus (RHP) for an ₹2,480 Cr IPO later in the week. Meanwhile, ecommerce enablement startup Shiprocket is expected to launch its IPO within the next one to two weeks at a valuation of around ₹7,000 Cr (approximately $735.5 Mn).

Battery swapping startup Battery Smart is also preparing for a public listing and is likely to file its draft red herring prospectus (DRHP) in September or October.

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