SUMMARY
- Captain Fresh has chosen Axis Capital and Bank of America (BofA) as bankers for its IPO.
- The company is looking to raise $350-400 million in its IPO.
- It is aiming for an IPO valuation of $1.3-1.5 billion.
Seafood business chain Captain Fresh has chosen Axis Capital and Bank of America (BofA) as bankers for its upcoming initial public offering (IPO) next year.
“The company is looking to raise $350-400 million in its IPO and around 50% will be fresh issue of shares while the remaining will be the offer for sale (OFS) component,” Moneycontrol cited sources.
Captain Fresh is aiming for an IPO valuation of $1.3-1.5 billion, according to a source familiar with the matter. The company operates in the fish and seafood industry, offering services to help other businesses procure fresh seafood, process, and distribute it.
While Axis Capital and BofA are the most likely bankers, Captain Fresh will add 1-2 more as part of its final IPO syndicate. “The company is still deciding if it wants two international and one domestic banker or two international and two domestic ones and the final names will be decided over the coming weeks,” the source cited above said.
In recent weeks, Captain Fresh has engaged with as many as 8-9 bankers, with the prospect of finalizing additional names within the next month. “The formal submission process is expected to start shortly, and the initial public offering is projected for the first half of 2025. If everything unfolds as planned, the company plans to list its shares later in the year,” the second person mentioned.
Meanwhile, Captain Fresh is in the process of raising additional funds in a pre-IPO round.
The firm is at an advanced stage of securing $50-60 million for a new funding round, which is being led by Accel, its existing investor.
“While Captain Fresh will raise $50-60 million in the current round, its pre-IPO round size will be much bigger. It will be staggered across 3-4 rounds with participation from external investors at a later point, too,” the source stated.
Founded in 2019, it has managed to secure over $160 million in investments from key investors such as Accel, Tiger Global, Prosus, SBI Investment, and several others.
While Accel is likely to set the pricing for this round, other existing investors, including Tiger Global, BII, and Prosus, are expected to contribute to the round.
Although negotiations are ongoing, it seems Captain Fresh is targeting an IPO valuation of around $800 million, a substantial increase from the previous valuation of $500 million, attributed to its strong profitability and expansion efforts, as well as its history of successful acquisitions.
Founder and CEO Utham Gowda-run company has acquired at least three international seafood companies as part of its strategy to strengthen its position in the fish and other related meat markets. These acquisitions include Indonesia’s Fishlog, Poland’s Koral, and the Illinois-based CenSea.
