Shadowfax Technologies IPO Sees Strong Bidding

“ShadowFax Technologies (STL) is a new-age, technology-led third-party logistics (‘3PL’) company, and leverage technology to facilitate digital commerce, with its service network encompassing 14,758 Indian pin codes as of September 30, 2025. The company serves a wide category of enterprise clients including horizontal and non-horizontal e-commerce, quick commerce, food marketplace, and on-demand mobility companies. From a valuation perspective, the company is currently valued at a P/B multiple of 9.3x based on its FY25 earnings.”

“At the upper price band of Rs 124, the IPO is valued at EV/Sales and EV/EBITDA multiple of 2.4x and 106.5x, respectively. The company has exhibited strong revenue growth of 32.5% CAGR during the FY23–25 period and has been EBITDA positive since FY24. It operates an efficient and scalable asset-light business model, having an asset turnover of over 4x. The company does not own any delivery vehicles while touchpoints and last-mile facilities are managed through a leasing model. Considering the low per capita shipment (3–5 in India) compared to 60–70 in the USA and 75–85 in China, the growth prospects appear promising. When comparing the issue with its closest peers, the IPO seems to be valued slightly at a premium. We maintain a ‘Neutral’ view on the IPO and intend to observe its performance post listing.”