Sachin Bansal's Navi engages banks for a $315 million IPO, four years following the failure of his initial attempt.

      Navi, the Indian fintech established by Flipkart co-founder Sachin Bansal, has engaged banks for an initial public offering estimated at around $315 million, as per a Bloomberg report. This marks the most definitive indication that Bansal's second venture is approaching the public markets, four years after his initial attempt quietly faltered.

      The figure comes with a typical conversion issue, as Bloomberg estimates the raise at about $315 million, while Indian sources describe it as Rs 2,700 to 3,000 crore, consisting of a combination of new shares and a sale from existing investors. Reports indicate that Kotak Investment Banking is taking the lead on the issuance, with a filing expected in the January-to-March quarter of 2027.

      The timing is significant, as Navi seeks to list just as the global fintech IPO landscape starts to fill up once again, with lenders, marketplaces, and payment companies competing for the same pool of public capital. Navi Ltd, founded in 2018 and previously known as Navi Technologies, has evolved into a comprehensive financial services provider, offering personal loans, home and property-backed loans, health insurance, mutual funds, and UPI payments.

      Sachin Bansal serves as chairman and executive director, Rajiv Naresh is the CEO of Navi Ltd, and Abhishek Dwivedi oversees the NBFC division, Navi Finserv. The founder’s narrative is one that is commonly celebrated in Indian tech. Bansal sold Flipkart to Walmart in 2018 in one of the largest exits in the country, subsequently investing much of his personal wealth into Navi, believing a home-grown lender could revolutionize banking much like Flipkart transformed retail.

      Public markets are not entirely unfamiliar territory for Navi. The company previously registered for a Rs 3,350 crore IPO in 2022 and received approval from the regulator, SEBI, only to postpone the plan as tech stocks declined. Their renewed efforts suggest a change in sentiment, or at the very least, that Bansal believes it has shifted.

      Interest in the company is already building ahead of its debut. Dutch investor Prosus is reportedly ready to support Navi at around a Rs 13,000 crore valuation, and discussions for a first external equity round are underway. However, valuations for consumer fintechs have proven to be quite volatile recently, with even well-capitalized neobanks having to defend their high headline valuations as market sentiment fluctuates.

      The financials present a more complex picture. Navi reported a profit of Rs 358.5 crore in the year ending March 2024, followed by a loss of Rs 119.3 crore the next year, a kind of reversal that typically raises challenging questions during an IPO roadshow.

      Additionally, there is a regulatory issue to consider. In October 2024, the Reserve Bank of India prohibited Navi Finserv from issuing new loans, citing pricing concerns. The restrictions were lifted in December after the company addressed the issues, but it serves as a reminder of how swiftly Indian regulators can halt a lender’s essential operations.

      The broader fintech landscape is both thriving and unusually saturated. India’s digital lending market is filled with competitors, and even Europe’s most valuable neobank, Revolut, has been busy obtaining licenses and pursuing high valuations to differentiate itself in a market that no longer solely rewards growth.

      For Bansal, pursuing a listing is clearly appealing. A successful IPO would validate his second venture, convert a paper fortune into public-market capital, and provide initial investors with a long-sought exit. It would also reshape the narrative surrounding a founder whose first attempt to take Navi public concluded with a quiet withdrawal.

      However, the tougher question remains how investors will perceive the overall offering. A lender that has just recorded a loss, navigated a regulatory ban, and previously postponed its launch is not the seamless growth story that propelled Indian tech IPOs a few years back. Whether the market appreciates Bansal’s determination or factors in these caveats is precisely what the upcoming roadshow will need to determine.