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BENGALURU: InMobi, the mobile advertising platform that was the first Indian company to touch a billion dollars in valuation early last decade, is planning an IPO in the US in the last quarter of 2021, a source close to the development told TOI.
The listing is expected to be on the Nasdaq, and the company, including its subsidiary Glance, is expected to be valued at over $15 billion. If the IPO goes through at the expected valuation, the Bengaluru-based company will create over 300 dollar millionaires, given the extent of employee shareholding. The promoters and employees together hold about 45% stake. SoftBank, an early investor in the company and which now holds a 40% stake, is also likely to sell a part of its holding.
“Merchant bankers for the issue are being identified,” the source said. Goldman Sachs, JP Morgan, Morgan Stanley and others are said to be in talks to work on the listing. The issue size is expected to be over $1 billion.

When contacted, InMobi declined to comment on the matter.
InMobi was founded in 2007 by Naveen Tewari, an IIT-Kanpur alumnus, together with three other IITians – Abhay Singhal, Amit Gupta, and Mohit Saxena. Gupta is no longer with the firm. In 2008 and 2010, it received $15 million in funding from Kleiner Perkins Caufield & Byers and Sherpalo Ventures, and in 2011, received $200 million from SoftBank, valuing InMobi at $1 billion.
Mobile advertising received a big boost from the pandemic, as consumers were compelled to switch to a host of digital services. Listed online advertising firms like Magnite and Affle have seen their share prices soar since the middle of last year.
Online advertising is overwhelmingly dominated by Google and Facebook. But they use their ad networks to display ads mostly on their own content sites. InMobi focuses on all those who want to deliver ads outside these domains, and is one of the biggest players in that space. It uses proprietary algorithms to determine where ads should be shown to get the best return on investment.
The company is expected to see net revenue (what it keeps after paying the ad publisher) of $400-450 million in 2021. Tewari had told TOI previously that the company turned operationally profitable in 2016. Magnite’s market capitalisation now is about 22 times its revenue in 2020. InMobi, which has a big customer base across the US, China, Australia, South Korea and India, expects a valuation that is 30-40 times its 2021 revenue, the source said.
It also expects a substantial boost from its 55% stake in Glance, which provides dynamic content on the lock screens of Android phones. Glance was valued at over $1 billion in December when it raised $145 million from Google and Mithril Capital, an investment fund of Peter Thiel, who co-founded PayPal and Palantir Technologies. Considering the pace at which consumer tech valuations are rising, InMobi expects Glance’s valuation to be significantly higher by the time of the IPO.