BigBasket eyes profitability in eight months, sets sights on IPO

Fast moving consumer goods retailer Big Basket expects to turn a profit in the coming six to eight months. The Tata Group-owned business is also tentatively planning to launch its initial public offering in 2025. 

“We will probably have it in 2025,” Big Basket’s co-founder and chief executive Hari Menon told the Press Trust of India about the proposed IPO. “But we are leaving it to the Tatas, there cannot be anybody better to guide us and advise us on that.”
 
The business expects to become profitable once its ‘BB Now’ segment begins to make money, India Retailing reported. Big Basket recently launched the vertical to offer over 5,000 essential goods for online order and delivery in 15 to 30 minutes in select locations, according to its app description on the Apple App Store. By offering swift delivery, BB Now is designed to capture shoppers in need of FMCG swiftly. 

For its IPO, Big Basket is eyeing both primary and secondary share sales, according to Menon. The business aims to raise capital for its ongoing investments and will require investments from Tata Group in the run up to its IPO. Big Basket is part of Tata Digital and is currently piloting omni-channel operations.