Reverse Flipping

• Startups like Pine Labs and Udaan have been planning for Reverse Flipping.

WHAT IS REVERSE FLIPPING?

• It is a term used to describe the trend of overseas start-ups shifting their domicile to India and listing on Indian stock exchanges.
• Here, start-ups that once relocated their holding companies outside India are now considering a strategic move back to India.
• Reasons for Reverse Flipping-
  • to capitalise on India’s large and growing economy,
  • access to deeper pools of venture capital,
  • favourable tax regimes,
  • better intellectual property protection,
  • young and educated population, and
  • favourable government policies.