Top 5 Upcoming IPOs in India: PhonePe, Zepto, boAt, OYO & KENT RO – Everything Investors Need to Know

India has become one of the busiest IPO markets in the world. Every week, a new name shows up in the IPO calendar. But a handful of brands stand out because millions of Indians already use them every day.

You probably paid someone through PhonePe this morning. You may have ordered milk on Zepto, plugged in boAt earphones on your commute, booked an OYO room on a trip, or drunk water from a KENT purifier at home.

When companies like these file for a public listing, retail investors pay attention.

In this guide, you will learn:

  1. What an IPO is and how the IPO process works in India
  2. A deep dive on each company: business model, competition, SWOT, risks and IPO details

What is an IPO?

An Initial Public Offering (IPO) is the first time a private company offers its shares to the public and lists them on a stock exchange such as the NSE or BSE.

Before an IPO, shares are held by founders, employees and private investors. After listing, anyone with a demat account can buy or sell them.

Example: When the National Stock Exchange (NSE) itself went public in September 2026, it sold existing shares at ₹1,785 each. After listing on 24 September 2026, those shares started trading freely on the exchange.

Why Do Companies Launch IPOs?

  • Raise growth capital – to fund expansion, technology or new stores (via a fresh issue)
  • Repay debt – OYO’s parent plans to use most of its fresh issue for this
  • Give existing investors an exit – via an Offer for Sale (OFS), as in the PhonePe and KENT RO filings
  • Build brand credibility – listed companies face stricter disclosure, which can build trust
  • Create liquidity for employees – ESOP holders can sell shares after listing

Benefits of IPO Investing

  • Chance to invest early in a company’s public-market journey
  • Transparent, regulated price discovery through the book-building process
  • Detailed disclosure in the DRHP/RHP, which is rarely available for private firms
  • A reserved quota (up to 35%, or 10% for some issues) for retail investors

Risks of IPO Investing

  • Limited public track record to judge the company
  • Pricing may already reflect optimistic expectations
  • Listing-day prices can swing sharply in either direction
  • Lottery-based allotment means you may get nothing even after applying

 

Key IPO Terminology

Term Meaning
DRHP Draft Red Herring Prospectus – the first offer document filed with SEBI.
UDRHP Updated DRHP – filed after SEBI’s observations when a company uses the confidential pre-filing route; opened for 21 days of public comments.
RHP Red Herring Prospectus – filed just before the IPO opens, containing the final price band.
Fresh Issue New shares are issued by the company. The funds raised go directly to the company.
OFS Offer for Sale – existing shareholders sell their shares. The proceeds go to the selling shareholders, not the company.
Price Band The price range within which investors can submit IPO bids.
Lot Size The minimum number of shares an investor must apply for in one bid.
Anchor Investors Large institutional investors who receive share allotments one day before the IPO opens.
QIB / NII / RII Qualified Institutional Buyers / Non-Institutional Investors / Retail Individual Investors.
GMP Grey Market Premium – an unofficial and unregulated indicator of market sentiment. It should not be considered a reliable investment guide.
Lock-in The period during which certain shareholders are restricted from selling their shares after the IPO.

1. PhonePe IPO: India’s Largest UPI App Prepares to List

Company Overview

Detail Information
Legal name PhonePe Limited (originally FX Mart Private Limited, incorporated 18 Dec 2012)
Founders Sameer Nigam (CEO), Rahul Chari (CTO), Burzin Engineer
Headquarters Bengaluru, Karnataka
Industry Fintech – digital payments and financial services distribution
Promoter WM Digital Commerce Holdings Pte. Ltd. (a Walmart entity)
Latest filing UDRHP-I, 23 January 2026

Founder story: Sameer Nigam and Rahul Chari, both former Flipkart executives, started PhonePe in December 2015 along with Burzin Engineer. Flipkart acquired it in 2016, the year the app launched alongside UPI. Walmart became the ultimate parent when it bought Flipkart in 2018. PhonePe was separated from Flipkart in 2022 and is now independently run, with Walmart’s entity as promoter.

Vision: To give every Indian equal access to the flow of money and financial services.

Business Model

PhonePe’s model is simple to describe: attract users with free payments, then monetise through merchants and financial products.

Revenue sources:

  • Merchant payments – payment gateway fees, online merchant services and offline merchant solutions
  • SmartSpeaker devices – audio payment-confirmation devices rented to shopkeepers
  • Consumer payments – recharges and bill payments (commissions from billers)
  • Financial services distribution – insurance broking, lending distribution, mutual funds and stockbroking (Share.Market)
  • Platform/advertising – brand campaigns on the app

Customer segments: Retail consumers, small merchants, online businesses, banks, NBFCs and insurers.

 

Industry Analysis:

  • UPI is India’s payment backbone. CEO Sameer Nigam has said UPI processes roughly 70–80 crore transactions a day.
  • Monetisation is the challenge. UPI payments have been largely zero-MDR (no merchant fee) since 2020.
  • Policy shift (reported): A UPI MDR framework announced on 15 September 2026 introduces a 0.4% MDR on merchant UPI payments above ₹2,000, effective 15 October 2026. Small merchants (up to ₹1 lakh/month) and P2P payments up to ₹2,000 remain free. Nigam has said about 96% of UPI transactions would stay free.
  • Opportunity: Credit, insurance and wealth penetration in India remains low, giving payment apps a large cross-selling opportunity.

Products and Services:

  • PhonePe app: UPI payments, recharges, bill payments, wallet
  • PhonePe Payment Gateway: for online businesses
  • SmartSpeakers and POS devices: for offline merchants
  • PhonePe Insurance Broking: motor, health, life and travel cover
  • Lending distribution: personal loans, secured loans via partner lenders
  • Share.Market: stockbroking and mutual funds
  • Indus Appstore: an Android app marketplace (still pre-revenue as per FY26 accounts)
  • Pincode: hyperlocal commerce app – exited after September 2025

Key operating metrics (as of 30 September 2025, per DRHP disclosures):

KPI Value
Registered users 65.76 crore
Merchants 4.72 crore
UPI volume market share 46.85%
Pin-code coverage 98.61%
Months as No. 1 UPI app 58 consecutive

Competitive Landscape

Competitor Strengths Weaknesses
Google Pay Global brand, Android integration, strong UPI share Narrower financial-services stack in India
Paytm (One 97 Communications) Listed, large merchant base, strong device business Regulatory setback after RBI action on Paytm Payments Bank in 2024
Bank & other UPI apps (BHIM, Amazon Pay, CRED, etc.) Bank trust, niche loyal users Much smaller UPI share

SWOT Analysis

Strengths Weaknesses
  • Largest UPI app by volume (46.85%)
  • 65+ crore registered users, 4.7+ crore merchants
  • Positive adjusted EBITDA (FY25)
  • Strong parent (Walmart)
  • Consistent net losses
  • Heavy ESOP costs
  • Discontinued revenue lines (rent, RMG, Pincode)
  • Indus Appstore still pre-revenue
Opportunities Threats
  • UPI MDR on large merchant payments
  • Lending, insurance and wealth cross-sell
  • Merchant devices and payment gateway
  • NPCI 30% UPI market-share cap (deadline 31 Dec 2026)
  • Big Tech competition
  • Regulatory changes by RBI/NPCI

Why Investors Are Interested:

  • Household brand with near-universal reach in India
  • Potential operating leverage if MDR and financial services scale
  • First big listing of a pure-play UPI leader
  • Diversification beyond payments (broking, insurance, lending)

Key Risks:

  • UPI market-share cap: NPCI’s framework proposes no single app should exceed 30% of UPI volume; PhonePe was at 46.85%. The compliance deadline has been extended to 31 December 2026, with no assurance of further extensions. A breaching app could be barred from onboarding new UPI users.
  • Profitability: Net loss widened to ₹2,792 crore in FY26.
  • 100% OFS: The company receives no IPO money; all proceeds go to selling shareholders.
  • Regulatory dependency: RBI and NPCI rules can directly change revenue streams (as seen with rent payments).

IPO Details

Item Details
Issue type 100% Offer for Sale, book-built
OFS size Up to 5,06,60,446 equity shares
Face value ₹1 per share
Fresh issue None
Selling shareholders WM Digital Commerce Holdings (up to 4,59,42,496); Microsoft Global Finance (up to 36,78,790); Tiger Global PIP 9-1 (up to 10,39,160)
Allocation QIB ≥75%, NII ≤15%, Retail ≤10% (Regulation 6(2))
Exchanges NSE and BSE
BRLMs Kotak Mahindra Capital, J.P. Morgan India, Citigroup, Morgan Stanley, Axis Capital, Goldman Sachs, Jefferies, JM Financial
Registrar KFin Technologies
Price band / dates Not announced
Promoter holding (pre-issue) ~73% (per company/Walmart disclosures)

Interesting Facts About PhonePe

  1. It was originally incorporated in 2012 as FX Mart Private Limited in Chandigarh.
  2. It has been India’s No. 1 UPI app for 58 consecutive months (as of Sep 2025).
  3. It covers 98.61% of India’s pin codes.
  4. Its 30-day user retention is 99.23%.
  5. It launched its own Android app store, Indus Appstore, in 2024.
  6. Founders sold shares worth about ₹3,937 crore to General Atlantic in 2025 to meet ESOP tax obligations.
  7. Walmart’s stake fell from about 84% to about 73% between January 2025 and January 2026, largely due to employee option exercises.
  8. Microsoft is one of the selling shareholders.

2. Zepto IPO: The 10-Minute Delivery Startup Heads to the Market

 

Company Overview

Detail Information
Legal name Zepto Limited
Founders Aadit Palicha (CEO), Kaivalya Vohra
Registered office Andheri East, Mumbai
Corporate office Bengaluru
Industry Quick commerce (10-minute grocery and essentials delivery)
Operations began July 2021
Latest filing UDRHP-I dated 8 June 2026 (published 9 June 2026)

Founder story: Aadit Palicha and Kaivalya Vohra were childhood friends who dropped out of Stanford University in 2020. During the COVID-19 lockdown they first built a grocery delivery service called KiranaKart. In July 2021 they relaunched as Zepto, promising groceries in about 10 minutes through a network of small, delivery-only “dark stores”.

Vision: To make everyday essentials available to urban Indian households within minutes.

Business Model

Zepto runs an inventory-led, dark-store-based quick commerce model.

How it works:

  1. Customers order via the Zepto app.
  2. The nearest dark store (a closed warehouse, usually within 2–3 km) picks and packs the order in under two minutes.
  3. A delivery partner completes the last mile.

Revenue sources:

  • Sale of goods – margins on groceries, FMCG, personal care, electronics and more
  • Advertising – brands pay for visibility on the app (₹1,635.7 crore in FY26)
  • Delivery, handling and platform fees from customers
  • Zepto Café – freshly prepared beverages and snacks
  • Subscription – membership programmes offering free delivery

Customer segments: Urban households, young professionals, students and time-poor families.

Industry Analysis

  • Fastest-growing retail channel: Quick commerce has moved from groceries to electronics, beauty, pharmacy and gifting.
  • Intensely competitive: Three players – Blinkit (Eternal), Instamart (Swiggy) and Zepto – dominate, with Flipkart Minutes, Amazon Now and BigBasket also expanding.
  • Capital-intensive: Dark stores, technology and discounts require heavy investment before profitability.
  • Outlook: Growth is expected to continue as quick commerce expands to smaller cities, but the path to profitability remains the key question for public investors.

Products and Services

  • Fresh fruits, vegetables, dairy and bakery
  • Packaged foods, beverages and staples
  • Personal care, beauty and baby care
  • Home, kitchen and cleaning supplies
  • Electronics, toys and gifts
  • Zepto Café: coffee, tea and snacks made in-store
  • Pharmacy and wellness items (where permitted)

Competitive Landscape

Competitor Strengths Weaknesses
Blinkit (Eternal Ltd) Strengths Market leader; backed by a listed, profitable parent Weaknesses Investment phase pressures parent’s margins
Swiggy Instamart Strengths Listed parent; cross-sell with food delivery Weaknesses Has struggled to match Blinkit’s scale
BigBasket (Tata) Strengths Tata group backing; strong grocery sourcing Weaknesses Late shift to 10-minute model
Flipkart Minutes / Amazon Now Strengths Deep pockets, huge user bases Weaknesses Newer entrants in quick commerce

SWOT Analysis

Strengths Strengths & Weaknesses Weaknesses
Strength Very fast revenue growth (₹22,624 crore in FY26) Weakness Large and continuing losses
Strength 1,139 dark stores, ~4.8 crore annual users Weakness All stores are leased
Strength Fast-growing ad revenue Weakness Negative operating cash flows in all three years
Strength Debt-free balance sheet Weakness High dependence on discounts
Opportunities Opportunities & Threats Threats
Opportunity Expansion into new cities and categories Threat Price war with well-funded rivals
Opportunity Higher-margin ads and private labels Threat Regulatory scrutiny on dark stores and gig workers
Opportunity Zepto Café and new formats Threat Valuation reset in public markets

Why Investors Are Interested

  • One of the fastest-growing consumer internet companies in India
  • Listed peers (Eternal, Swiggy) provide a valuation benchmark
  • Scale benefits: more orders per store can improve unit economics
  • Domestic ownership push: Zepto shifted its domicile from Singapore to India

Key Risks

  • Profitability: Losses of ₹5,905 crore in FY26; no profit track record
  • Competition: Rivals with deep-pocketed parents can sustain losses longer
  • Execution: Dark-store expansion depends on leases and local permissions
  • Labour regulations: New rules for gig and platform workers could raise costs
  • Valuation: Reports suggest public investors valued Zepto at far less than its last private round

IPO Details

Item Details
Face value ₹5 per share
Fresh issue Up to ₹8,010 crore
OFS Up to 11,34,66,566 equity shares
Pre-IPO placement Up to ₹1,602 crore (would reduce the fresh issue)
Main selling shareholders Nexus Ventures VI & VII, Contrary, Razor Ventures, Kaiser Foundation Hospitals, Kaiser Permanente Group Trust
Objects (₹ crore) Dark-store expansion 1,628.98; lease rentals 1,734.94; technology & cloud 1,324.78; marketing via subsidiary 520.00; inorganic growth & general corporate purposes
Exchanges NSE and BSE
BRLMs Axis Capital, Morgan Stanley, Goldman Sachs, Motilal Oswal, HSBC, JM Financial, IIFL Capital
Registrar KFin Technologies
Price band / dates Not announced

Interesting Facts About Zepto

  1. Its founders started the company at about 19 years of age after leaving Stanford.
  2. The original idea, KiranaKart, was a lockdown-era grocery service.
  3. It processed over 17.5 lakh orders per day on average in FY26.
  4. Total orders crossed 64 crore in FY26.
  5. Zepto Café turned dark stores into mini cafés.
  6. It moved its holding company from Singapore to India before filing.
  7. Advertising revenue grew from under ₹50 crore (FY24) to over ₹1,600 crore (FY26).
  8. Health-care investors Kaiser Foundation Hospitals and Kaiser Permanente Group Trust are among the selling shareholders.
  9. Its peak private valuation was about $7 billion (October 2025).

3. boAt IPO: India’s Homegrown Audio and Wearables Brand

Company Overview

Detail Information
Legal name Imagine Marketing Limited
Brand boAt
Co-founders Aman Gupta, Sameer Mehta
Headquarters Mumbai, Maharashtra
Industry Consumer electronics – audio, wearables, personal care gadgets
Key investor South Lake Investment (Warburg Pincus affiliate)
Latest filing UDRHP (October 2025), after confidential pre-filing

Founder story: Aman Gupta, a chartered accountant with an MBA, and Sameer Mehta, an engineer from a family electronics business, saw a gap in the Indian market: stylish, durable cables and headphones at affordable prices. They launched boAt in the mid-2010s, starting with charging cables before moving into earphones, headphones and speakers. Aman Gupta later became widely known as a judge on the TV show Shark Tank India.

Vision: To be a lifestyle brand that makes high-quality audio and wearables accessible to young Indians.

Business Model

boAt follows an asset-light, brand-led, D2C plus marketplace model.

  • Design and branding in-house, manufacturing largely through partners (increasingly in India)
  • Sales channels: Amazon, Flipkart, its own website, quick commerce apps and offline retail
  • Pricing: value-to-mid segment, targeting youth
  • Marketing: celebrity and cricket partnerships, influencer marketing, limited-edition collaborations

Revenue sources: Sale of TWS earbuds, neckbands, headphones, speakers, smartwatches and personal care devices, plus a small but growing international business.

Customer segments: Students, young professionals, fitness enthusiasts and gifting buyers.

Industry Analysis

  • Large, young market: India is one of the world’s biggest markets for TWS earbuds and smartwatches.
  • Slowing growth in wearables: After a boom in 2021–2023, smartwatch shipments in India cooled as the market became saturated and prices fell.
  • Make in India push: PLI schemes and duties on imports encourage local manufacturing.
  • Outlook: Growth now depends on premiumisation, new categories (smart rings, hearing wellness) and offline expansion.

Products and Services

  • Audio: Airdopes (TWS earbuds), Rockerz (headphones/neckbands), Bassheads (wired), Stone (speakers), Aavante (soundbars)
  • Wearables: smartwatches (Wave, Lunar and other ranges) and smart rings
  • Personal care: trimmers and grooming devices
  • Accessories: chargers, cables, power banks

Competitive Landscape

Competitor Strengths Weaknesses
Noise Strengths Strong smartwatch brand, similar pricing Weaknesses Wearables slowdown hits harder
JBL (Harman/Samsung) Strengths Premium audio heritage, global brand Weaknesses Higher price points
Sony Strengths Premium noise-cancelling leadership Weaknesses Limited presence in budget segment
Boult, OnePlus, realme, Fire-Boltt Strengths Aggressive pricing, ecosystem play Weaknesses Thin margins, brand loyalty

SWOT Analysis

Strengths Strengths & Weaknesses Weaknesses
Strength Strong youth brand Weakness Revenue growth has stalled (FY24–FY26)
Strength Profitable and debt-free (FY26) Weakness Dependence on online marketplaces
Strength Local manufacturing scale Weakness Low entry barriers in category
Strength Wide product portfolio Weakness High marketing spend needed
Opportunities Opportunities & Threats Threats
Opportunity Premium audio and smart rings Threat Price wars from Chinese and Indian brands
Opportunity Offline and international expansion Threat Smartwatch market saturation
Opportunity PLI and Make in India benefits Threat Component cost and currency swings

Why Investors Are Interested

  • One of India’s best-known consumer electronics brands
  • A rare new-age consumer company that is profitable and debt-free
  • Investor-friendly mix of fresh issue (growth) and OFS (exit)
  • “boAt 2.0” strategy focused on premiumisation and new categories

Key Risks

  • Flat revenue: Revenue has been around ₹2,900–3,100 crore for three years
  • Thin margins: PAT margin is under 3% of revenue in FY26
  • Competition: Global and local brands compete heavily on price
  • Inventory risk: Fast product cycles can leave unsold stock
  • Market sentiment: Reports cite heightened scrutiny of new-age consumer companies

IPO Details

 
Item Details
Total issue size Up to ₹1,500 crore (as per UDRHP, Oct 2025)
Fresh issue Up to ₹500 crore
OFS Up to ₹1,000 crore
Selling shareholders South Lake Investment (₹500 cr), Aman Gupta (₹225 cr), Fireside Ventures (₹150 cr), Sameer Mehta (₹75 cr), Qualcomm Ventures (₹50 cr)
Objects of fresh issue Working capital ₹225 cr; branding & marketing ₹150 cr; general corporate purposes
Exchanges NSE and BSE
Price band / dates / lot size Not announced
BRLMs, registrar, face value Refer to the UDRHP; final details will be confirmed in the RHP

Interesting Facts About boAt

  1. The listing entity is Imagine Marketing Limited, so the shares may not trade under the “boAt” name.
  2. Its first products were charging cables, not earphones.
  3. Co-founder Aman Gupta became a household name through Shark Tank India.
  4. boAt runs boAt Labs, an in-house R&D centre with 100+ engineers.
  5. 71% of its units were made in India in FY25.
  6. It has collaborated with cricket teams, films and pop-culture brands for limited editions.
  7. It cut its IPO size from ₹2,000 crore (2022) to ₹1,500 crore (2025).
  8. Qualcomm Ventures is one of its investors.
  9. It ended FY26 with zero bank debt.

4. OYO IPO (PRISM): The Hospitality Platform

Company Overview

Detail Information
Legal name PRISM (formerly Oravel Stays Limited)
Founder Ritesh Agarwal
Headquarters Gurugram, Haryana
Industry Travel tech and hospitality (hotels, homes, vacation rentals)
Footprint 35+ countries; 24,000+ hotels and 1,24,668 homes (as of 31 Dec 2025)
Latest filing UDRHP-I, 30 June 2026

Founder story: Ritesh Agarwal started Oravel Stays in 2012 as a teenager, first as a listing site for budget stays. In 2013 he won a Thiel Fellowship and relaunched the business as OYO Rooms, standardising budget hotels with a common brand, clean linen and Wi-Fi. OYO grew rapidly with backing from SoftBank, expanded across the world, and then restructured sharply after the pandemic to focus on profitability.

Vision: To make quality stays accessible and affordable for travellers, while helping small hotel owners grow their business with technology.

Business Model

OYO is mainly an asset-light, technology-led platform for hotels and homes.

  • Partner hotels and homes list on OYO under its brands.
  • OYO provides demand (bookings), pricing technology, property management software and brand standards.
  • OYO earns commissions or revenue share on bookings.
  • In the US, it also earns franchise fees through Motel 6 and Studio 6, acquired in 2024.

Revenue sources:

  • Commissions on hotel and home bookings
  • Franchise and brand fees (US economy brands)
  • Vacation home rentals (Europe – Belvilla, DanCenter)
  • Value-added services for property owners

Industry Analysis

  • Domestic travel is rising: Growing incomes, better connectivity and religious/spiritual tourism are lifting demand in Indian Tier-2 and Tier-3 cities.
  • Fragmented supply: Most hotels in India are small, unbranded properties, giving aggregators room to grow.
  • Global vacation rentals: Europe’s vacation-home market and the US economy-hotel segment add international diversification.
  • Outlook: The industry is cyclical and tied to economic conditions, fuel prices and travel sentiment.

Products and Services

  • OYO (core brand): budget hotels
  • Townhouse, Palette, Collection O, Sunday: mid-market and premium brands
  • Motel 6 and Studio 6: US economy hotels (franchise model)
  • Belvilla and DanCenter: European vacation homes
  • OYO app and website: direct consumer bookings
  • Owner tools: dashboards, revenue management and property management software

Competitive Landscape

Competitor Strengths Weaknesses
Airbnb Strengths Global brand, strong in homes and unique stays Weaknesses Limited budget-hotel focus in India
Treebo Strengths Strong mid-market hotel brand in India Weaknesses Smaller scale
FabHotels Strengths Consistent quality, business-traveller focus Weaknesses Mainly India-focused
MakeMyTrip, Booking.com, Agoda Strengths Large distribution, loyalty programmes Weaknesses Pure OTAs, less control over quality

SWOT Analysis

Strengths Strengths & Weaknesses Weaknesses
Strength Large global supply network Weakness Profits rely partly on deferred tax credits
Strength Asset-light model Weakness High debt and finance costs
Strength Multiple brands across segments Weakness History of disputes with hotel partners
Strength Profitable at net level since FY24 Weakness Two earlier IPO attempts did not launch
Opportunities Opportunities & Threats Threats
Opportunity Domestic and spiritual tourism boom Threat Travel demand is cyclical
Opportunity US franchise growth (Motel 6) Threat Currency and international risks
Opportunity Premium/mid-market brands Threat Competition from OTAs and branded chains

Why Investors Are Interested

  • A turnaround story from heavy losses to net profit
  • All IPO money goes to the company (100% fresh issue, no OFS)
  • Debt reduction could lower interest costs significantly
  • Exposure to both Indian and global travel growth

Key Risks

  • Leverage: Large borrowings at the Singapore subsidiary level
  • Earnings quality: Reliance on tax credits in reported profits
  • Execution: Integrating and growing international businesses
  • Regulation: Local hotel licensing, tax and data rules across 35+ countries
  • Economic cycles: Travel spending falls in slowdowns

IPO Details

Item Details
Issue size Up to ₹6,650 crore
Fresh issue ₹6,650 crore (100%)
OFS None
Pre-IPO placement Up to ₹1,330 crore (would reduce the fresh issue)
Face value ₹1 per share
Objects ₹4,987.5 crore to subsidiary Oravel Stays Singapore for repaying/prepaying borrowings; balance for general corporate purposes
Exchanges NSE and BSE
BRLMs Axis Capital, Citigroup, Goldman Sachs, ICICI Securities, InCred Capital, Intensive Fiscal Services, JM Financial, SBI Capital Markets
Registrar MUFG Intime India
Price band / dates Not announced

Interesting Facts About OYO

  1. Ritesh Agarwal founded the business as a teenager in 2012.
  2. He was among the first Indians to receive the Thiel Fellowship (2013).
  3. OYO stands for “On Your Own”.
  4. It acquired the iconic US brand Motel 6 from Blackstone in 2024.
  5. Its European vacation-home brands include Belvilla and DanCenter.
  6. It reported its first full-year net profit in FY24 (₹229.6 crore).
  7. The listing entity was renamed from Oravel Stays to PRISM.
  8. This is its third attempt at an IPO after 2021 and 2023.
  9. The 2026 issue has no OFS — existing shareholders are not selling.

5. KENT RO IPO: The  Water Purifier Leader

Company Overview

Detail Information
Legal name KENT RO Systems Limited
Founder & Chairman Dr. Mahesh Gupta
Headquarters Noida, Uttar Pradesh
Industry Consumer durables – water purifiers and home appliances
Founded 1999
Ownership Promoter family holds ~99.77%
DRHP filed January 2025

Founder story: Mahesh Gupta, an IIT Kanpur alumnus who worked at Indian Oil Corporation, became concerned about water quality after family members fell ill from contaminated water. He started KENT RO in 1999 and helped popularise reverse osmosis (RO) purifiers in Indian homes, a category that was then dominated by UV and candle filters.

Vision: To make pure and healthy living accessible to every Indian household.

Business Model

KENT is a traditional manufacturing and distribution business – very different from the four tech platforms above.

  • Designs and manufactures water purifiers and appliances
  • Sells through distributors, dealers, modern retail, e-commerce and its own website
  • Service network: installation, maintenance and annual maintenance contracts (AMCs)
  • Recurring income: filters, spare parts and service plans

Revenue sources: Water purifiers (about 85% of revenue in H1 FY25), water softeners, kitchen appliances, vacuum cleaners, fans and other home products.

Customer segments: Urban and semi-urban households, offices, hotels and institutions.

Industry Analysis

  • Low penetration: Water purifier ownership in India is still low, especially outside large cities. Chairman Mahesh Gupta cites low adoption as the main growth driver.
  • Health awareness: Concerns over water contamination drive demand.
  • Government push: Piped-water schemes increase tap connections, but quality concerns keep purifier demand alive.
  • Outlook: Management expects revenue growth of about 15% in FY27, with input cost pressures as a key watch-point.

Products and Services

  • Water purifiers: RO, RO+UV+UF, UV, gravity-based and under-sink models
  • Water softeners: whole-house and bathroom softeners
  • Kitchen appliances: vegetable and fruit purifiers, chimneys, cookware and small appliances
  • Home care: vacuum cleaners, air purifiers and fans
  • Services: installation, AMCs and filter replacement

Competitive Landscape

Competitor Strengths Weaknesses
Eureka Forbes (Aquaguard) Strengths Listed; market leader with strong service network; revenue ~₹2,189 crore in FY24 Weaknesses Ownership changes in recent years
Livpure Strengths Affordable range, subscription models Weaknesses Smaller brand recall
A. O. Smith Strengths Global brand, strong in water heaters and purifiers Weaknesses Premium pricing
HUL Pureit Strengths FMCG distribution muscle Weaknesses Lower RO focus historically
Unorganised local brands Strengths Very low prices Weaknesses Inconsistent quality and service

SWOT Analysis

Strengths Strengths & Weaknesses Weaknesses
Strength Profitable, family-run business Weakness Heavy dependence on one category (~85%)
Strength Strong RO brand recall Weakness Moderate growth rate
Strength Recurring service and filter revenue Weakness Concentrated promoter ownership
Strength No foreign shareholders pressing for exit Weakness Limited international presence
Opportunities Opportunities & Threats Threats
Opportunity Low purifier penetration in India Threat Rising input and logistics costs
Opportunity Kitchen and home appliance expansion Threat Competition from listed peers
Opportunity Rural and Tier-3 growth Threat Possible water-quality regulations on RO wastage

Why Investors Are Interested

  • A rare profitable, cash-generating company among high-profile IPO candidates
  • Simple, easy-to-understand business
  • Category leadership and strong brand
  • Recurring service revenue adds stability

Key Risks

  • 100% OFS: No money goes to the company
  • Single-category dependence: Water purifiers dominate revenue
  • Regulatory risk: Rules on RO water wastage can affect product design
  • Cost inflation: Metals, plastics and freight costs affect margins
  • Promoter control: Very high promoter holding even after the IPO

IPO Details

Item Details
Issue type 100% Offer for Sale, book-built
OFS size Up to 1,00,94,568 equity shares
Face value ₹1 per share
Fresh issue None
Selling shareholders Mahesh Gupta (56,35,088), Sunita Gupta (33,60,910), Varun Gupta (10,98,570)
Exchanges NSE and BSE
BRLMs JM Financial, Motilal Oswal Investment Advisors
Registrar KFin Technologies
Price band / dates Not announced

Interesting Facts About KENT RO

  1. KENT was founded in 1999 by an IIT Kanpur-educated engineer.
  2. It is credited with popularising RO purifiers in Indian homes.
  3. Water purifiers contribute about 85% of its revenue.
  4. The promoter family owns about 99.77% of the company.
  5. It has no foreign shareholders, so there is no investor pressure to list.
  6. It also sells vegetable and fruit purifiers.
  7. FY26 revenue was about ₹1,400 crore, up from about ₹1,260 crore (as reported).
  8. Its IPO would be a pure promoter sale of about 10% of their holding.
  9. Its larger listed rival, Eureka Forbes, earned about ₹2,189 crore revenue in FY24.
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