AICPDF Urges Sebi to Halt IPOs of Loss-Making Quick-Commerce Firms

• AICPDF has urged Sebi to temporarily pause IPO approvals for loss-making quick-commerce and e-commerce companies.
• The federation highlights that these companies operate with large cumulative losses, negative cash flows, and unproven profitability, sustained by private capital for subsidies and infrastructure.
• AICPDF argues that valuations are often based on gross merchandise value and market share, not earnings, citing Zomato and Swiggy as examples where early investors exited despite ongoing losses.
• The body has active complaints with the Competition Commission of India (CCI) alleging predatory pricing and anti-competitive conduct by quick-commerce platforms.
• AICPDF warns that proceeding with IPOs during ongoing CCI investigations raises serious concerns about disclosure, regulatory arbitrage, and investor protection, transferring risk to small retail investors.

Why It Matters: AICPDF urges Sebi to pause IPOs of loss-making quick-commerce firms, citing investor risk and unfair practices.