Digital insurance company Acko plans to file draft papers for an initial public offering of approximately $300 million by September, expecting a valuation of $2 billion. According to reports from Mint, the company is likely to file its DRHP (Draft Red Herring Prospectus) with the Securities and Exchange Board of India around August-September. The General Atlantic-backed company has appointed ICICI Securities Ltd, Kotak Mahindra Capital Co, and the India unit of Morgan Stanley to manage the share sale, as reported in April. The company is eyeing a potential listing by the end of this fiscal year, subject to market conditions.
FY26 has been a strong year for Acko, with the company turning profitable in the fourth quarter of FY26. As reported by Mint, Acko General Insurance achieved this milestone, though the company has not yet published its complete FY26 financials. In FY25, Acko Technology reported a consolidated loss of ₹424.4 crore on revenue of ₹2,887.4 crore, representing significant improvement from FY24's loss of ₹670 crore on revenue of ₹2,106.2 crore. The company's offering is expected to include both fresh share issuance and an offer for sale by existing investors. This successful FY26 performance has given the company confidence going into the listing process.
The IPO plans come amid challenging market conditions, with recent geopolitical tensions causing equity markets to decline and prompting several companies to delay or reassess their listing plans. According to Mint, the company plans to file confidentially, allowing it to avoid immediately disclosing detailed financial information. Founded by Varun Dua in 2016, Acko Technology and Services Private Ltd acts as the holding company for Acko General Insurance and Acko Life Insurance Ltd, collectively known as the Acko Group. The company competes with legacy insurers such as Tata AIG and Bajaj Allianz, as well as digital-first platforms including Go Digit Insurance, InsuranceDekho, CarDekho, Spinny and PolicyBazaar.
The company operates a direct-to-consumer model, selling motor, health and life insurance products directly to consumers while cutting out distributors and intermediaries. As reported by Mint, Acko wants to leverage this model to ensure customers have access to a wide array of products under the same umbrella. Managing Director and CEO Animesh Das explained that the company's products are designed to address a family's financial protection needs, with the ability to offer affordable health insurance products to customers who already have auto insurance based on their known risk profile. If all goes according to plan with the IPO, Acko will join a growing number of companies looking to tap into public markets.
