MUMBAI: Indian startups are increasingly 'reverse flipping'—relocating their headquarters back to India from overseas. This trend is driven by appealing stock market valuations and a desire to avoid regulatory issues. Notable fintech companies like PhonePe, Groww, and Pine Labs have already made the move, with others such as Razorpay, Meesho, Udaan, and Zepto planning to follow suit. The Indian stock market's attractive multiples make it a favorable environment for IPOs, compared to the US market. Siddharth Pai, founding partner of 3one4 Capital and co-chair of the Indian Private Equity and Venture Capital Association (regulatory affairs), explained that the success of Zomato's listing shows that Indian stock markets reward innovative internet companies with high valuations. While the US market is currently active with software companies, the Indian market has yet to see a similar trend, presenting an untapped opportunity for local startups. Additionally, many of these companies are well-known in India, and local investors are keen to invest in their growth, an opportunity they would miss if these companies listed in the US.
Desi startups return to their home market as it experiences a boom
Updated: Jun 1
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