Brainbees Solution, which runs omnichannel kidswear businesses under the brand name FirstCry, has filed documents for its initial public offering (IPO) with markets regulator Sebi. SoftBank and M&M will sell a stake in the company.
The IPO comprises a new issue of shares valued up to Rs 1,816 crore, while the exact size of the offering is unknown at this time. Up to 54.4 million shares may be offloaded by current investors, including SoftBank, Mahindra & Mahindra (M&M), and US private equity fund TPG, as part of the offer for sale (OFS).
In the IPO, M&M intends to sell up to 28.06 lakh shares in the company, while SoftBank-operated SVG Frog will be offloading 2.03 crore shares.
TPG, NewQuest Asia, Apricot Investments, Valiant Mauritius Partners, TIMF Holdings, Think India Opportunities Master Fund, PI Opportunities Fund, and Schroders Capital Private Equity Asia are some of the other selling owners.
The largest shareholder in FirstCry, with a 25.5% stake, is SoftBank. M&M has a 10.98% investment in the firm.
The net proceeds from the IPO would be used to finance inorganic growth through acquisition and other strategic initiatives, as well as the opening of new, contemporary locations, warehouses, lease payments for already-existing stores, sales and marketing, and technology and data science costs.
A portion of the earnings would also go towards Saudi Arabia’s international expansion.
Kotak Investment Banking, Morgan Stanley, BofA Securities, JM Financial, and Avendus are among the book running lead managers for the IPO.
Firstcry’s consolidated revenue increased by more than two times to Rs 5,632.53 crore in FY23, but its consolidated net loss narrowed to Rs 486.05 crore.
Now, with funding from SoftBank, this startup has joined the group of businesses with annual turnover exceeding Rs 5,000 crore.
For the fiscal year that concluded on March 31, 2022, it reported a net loss of Rs 78.68 crore and operational revenue of Rs 2,401.28 crore.
At an enterprise valuation of USD 900 million, SoftBank has invested USD 400 million in FirstCry.
For feedback and suggestions, write to us at editorial@iifl.com
Related Tags
IIFL Customer Care Number
(Gold/NCD/NBFC/Insurance/NPS)
1860-267-3000 / 7039-050-000
IIFL Capital Services Support WhatsApp Number
+91 9892691696
IIFL Capital Services Limited - Stock Broker SEBI Regn. No: INZ000164132, PMS SEBI Regn. No: INP000002213,IA SEBI Regn. No: INA000000623, SEBI RA Regn. No: INH000000248
ARN NO : 47791 (AMFI Registered Mutual Fund Distributor)
This Certificate Demonstrates That IIFL As An Organization Has Defined And Put In Place Best-Practice Information Security Processes.