**InMobi and Zetwerk Founders Raise Debt to Boost Stakes Ahead of IPOs**
In a strategic move to enhance their ownership, the founders of InMobi and Zetwerk are individually securing debt to increase their stakes in their respective companies as they prepare for upcoming IPOs.
Naveen Tewari, along with other InMobi founders, is reportedly raising funds to potentially buy out early investors, thereby increasing the founder group’s equity in the company. Multiple investment banks are facilitating this transaction, although InMobi has not provided any comments on the matter. Tewari previously indicated that the company aims to list both InMobi and its subsidiary, Glance, in the near future. InMobi is also in the process of relocating back to India.
InMobi has maintained a long-standing relationship with key investor SoftBank Group, which has been involved since 2010. Other notable investors include Sherpalo Ventures and Kleiner Perkins. The founding team, which includes Amit Gupta, Mohit Saxena, and Abhay Singhal, holds a majority stake in the company.
Meanwhile, at Zetwerk, co-founders Amrit Acharya and Srinath Ramakkrushnan are raising over $100 million to increase their ownership. The co-founding team, which also includes Vishal Chaudhury and Rahul Sharma, currently owns approximately 15-16% of Zetwerk. Some early investors may exit through this deal, but a portion of the funds is expected to be reinvested into the company. Zetwerk has not commented on this development either. The company, which was last valued at around $3 billion, has investors such as Avenir Growth Capital, Steadview Capital, and Khosla Ventures.
Zetwerk is targeting a public listing within the next 15 to 24 months and has engaged several banks, including Axis Capital, Goldman Sachs, and Kotak Mahindra Bank, to assist with the IPO process.
In related news, Zepto co-founders are also in the process of raising ₹1,500 crore in debt to increase their stake in the quick commerce startup, with discussions ongoing with Edelweiss Alternative Asset Advisors for potential capital infusion.
As the IPO landscape becomes increasingly uncertain due to market volatility, these cap table adjustments reflect a proactive approach by founders to solidify their positions ahead of public offerings.
**FAQ**
*Why are InMobi and Zetwerk founders raising debt?*
The founders are raising debt to increase their stakes in their companies, potentially buy out early investors, and prepare for upcoming IPOs amidst market volatility.
