Digital payments startup MobiKwik could go public by early 2022, according to its co-founder and chief operating officer Upasana Taku. The MobiKwik boss also denied reports of investors turning queasy, affirming that all of the startup’s investors were on board, and that the company was looking to time its listing right.

Speaking exclusively to CNBC-TV18, Upasana said that the company will look at a listing “as soon as possible, in the new year, adding that it was important to not display “bravado” while listing on the exchanges.

“We are going to get to the market in the New Year, as soon as possible. We are waiting for our numbers to get audited and then go to the market,” said Upasana.

“Before going to the market, one has to be smart; you’ve built a company for 12 years and you’ve built it the right way,” she said, adding, “MobiKwik has been capital-efficient, we’ve spent $100 million to build a platform with 100 million users. We’ve shown 100 percent revenue growth in the past few years, and we are trending close to the profitability mark. So, showing bravado in when to come to the market does not make sense.”

Another reason for the delay in listing, Upasana claimed, was that MobiKwik was looking to firm up its financials and get the best out of its “demonstrative performance” before taking the plunge.

‘Want the best of fiscal performance before IPO’

“We were coming to the market with our June 2021 performance numbers. But last year, there was COVID. So, the numbers in the previous financial year were not demonstrating the full performance of the company,” said Upasana, “Again, in April, May, and June, India had a second COVID wave. So, it makes sense for us to show a clear path to financial performance using our April-December 2021 numbers.”

Confirming that MobiKwik’s existing investors will remain on board with the company through its listing process, Upasana made references to the company’s revenue-driven approach as one of the key reasons for their backers to stay interested.

“We have always been very revenue-driven and have always played close to the break-even profitability mark, while staying contribution-margin profitable,” she said, “ With all these markers in place, we have created a strong investor interest within the community of public investors who are interested in our story within the Indian market.”

‘IPO deferment not connected to Paytm market performance’

Last month, well-known digital payment company Paytm went public but saw its share price fall 25 percent from its IPO on its first day at the stock market. The company’s bearish run at the stock market had fuelled reports that other digital payment companies like MobiKwik were deferring plans to go public. However, Upasana ruled out the possibility of her company’s apparent reticence on account of the Paytm debacle.

“They (Paytm) are a different company from us. Although we both started out as payments and wallet companies, our strategies are very different,” she said, “They are focused on building a super-app, we are more focused on the buy-now-pay-later market with a focus on being capital-efficient. So, you can’t compare apples and oranges.”

(Edited by : Vijay Anand)

First Published:Dec 6, 2021 4:04 PM IST