Unstructured category marketplace player ShopClues is planning to file for NASDAQ listing for garnering its sales on its platform in 2017.
At present ShopClues is valued at around Rs 7,100 crore. For ShopClues the projected gross merchandise is to be of $2.3-$3.5 billion in 2017, but due to demoneization their top line is expected to be around $2 billion.
Sanjay Sethi, CEO of ShopClues said; “We expect to file our documents with NASDAQ for listing by September 2017 but the IPO will depend on market condition.” He further said that the customer traffic on its platform has fallen 30 per cent after the scrapping of old Rs 500 and Rs 1,000 notes by the government on November 8.
In 2015, online shopping giant Flipkart was supposedly eyeing an international NASDAQ listing, however changing ecommerce market trends has pushed the company’s decision to launch an IPO indefinitely. Industry experts emphasize on, having a NASDAQ listing,that helps companies to get into an exclusive club of sorts as only companies with solid benchmarks make the cut.
“We were expecting the demonetisation impact to have gone by now. Business traffic is almost back to normal. There is still five per cent depression in traffic compared to one we see during this period,” Sanjay Sethi added.
The company has also launched a SMS-based payment service ‘Reach’ for the merchants after the demonetisation drive to help facilitate them with cashless transactions with a monthly subscription fee of Rs 99. The company also hopes to add around one lakh more offline merchants via this new feature on their platform.
ShopClues Plans NASDAQ Listing to Increase its Offline Reach
