Acko has moved closer to its public market debut by appointing ICICI Securities, Morgan Stanley, and Kotak Securities as book-running lead managers.
The Bengaluru-based insurer is expected to file its draft red herring prospectus with the Securities and Exchange Board of India in the coming months.
Valuation Targets Reflect Strong Market Positioning
The Acko IPO could value the company between $2 billion and $2.5 billion.
The offering will likely include a mix of fresh equity issuance and an offer for sale by existing shareholders, balancing capital infusion with investor exits.
From Motor Insurance to Multi-Segment Expansion
Founded in 2016 by Varun Dua, with Ruchi Deepak as part of the founding team, Acko started with motor insurance and expanded into health, travel, and group coverage.
The company entered the retail health segment in 2023 and strengthened its position through the acquisition of Parentlane.
Digital-First Model Defines Growth Strategy
Acko operates as a fully digital insurer, offering paperless policies, zero-commission structures, and faster claims processing.
It distributes products through platform integrations with PhonePe and MyGate, alongside partnerships with Oyo, Zomato, and Urban Company.
This distribution model reduces acquisition costs and expands reach across digital ecosystems.
Scale and Financial Performance Strengthen Case
Acko has served over 78 million customers and issued more than one billion policies to date.
For the financial year ending 2025, the company reported revenue of Rs 2,837 crore, up 35% year on year.
Net losses narrowed by 37% to Rs 424 crore, indicating improving operational efficiency as the business scales.
Insurtech Listings Gain Momentum in India
The Acko IPO aligns with a broader trend of insurtech firms entering public markets.
PolicyBazaar was listed in 2021, while Digit Insurance debuted in 2024, reflecting rising investor appetite for digital insurance models.
Capital Markets as the Next Phase
The Acko IPO marks a shift from growth-stage capital to public market discipline. The company transitions from expansion to accountability. As the structure evolves, expectations rise alongside it.
Source: ISN
