Before the IPO, Groww Founders Give Up Their Differential Voting Rights

SUMMARY: Groww cofounders Harsh Jain, Lalit Keshre, Neeraj Singh, and Ishan Bansal will also lose their differential voting rights as a result of the deal. The amount of bonus CCPs given to Groww's investors was unclear, even if they were given to current backers at no additional expense. This almost immediately follows rumors that Groww plans to submit its DRHP for a $1 billion initial public offering (IPO) to SEBI by April or May of this year.

All current equity shareholders, including Peak XV, Ribbit Capital, YC Holdings, Tiger Global, and others, will get bonus compulsorily converted preference shares as part of the proposed deal, which also eliminates the founders' unequal voting rights.Groww, also known as Billionbrains Garage Ventures Private Limited, has undergone a major restructure that has been approved by the Competition Commission of India (CCI). The decision authorizes the issuing of bonus compulsorily convertible preference shares to all current Groww equity owners and permits some shareholders to obtain additional voting rights.