Baazar Style Retail, backed by Rekha Rakesh Jhunjhunwala, has filed its Red Herring Prospectus (RHP) with SEBI and plans to launch its initial public offering (IPO) on August 30, 2024. The company is set to reveal its IPO price band on August 27.
The IPO will include a fresh issuance of equity shares worth ₹148 crore and an offer-for-sale (OFS) of 1.7 crore shares by the promoter group and other selling shareholders. Rekha Rakesh Jhunjhunwala will sell 27.23 lakh shares, Intensive Softshare Private Limited will offload 22.40 lakh shares, and Intensive Finance Private will divest 14.87 lakh shares, among others.
The company will open its anchor book on August 29, 2024, with the public subscription period running from August 30 to September 3, 2024. Axis Capital, Intensive Fiscal Services, and JM Financial are the lead managers for the IPO, while Link Intime India is the registrar.
Proceeds from the IPO will be used to prepay or repay outstanding borrowings and for general corporate purposes.
Baazar Style Retail reported a total income of ₹982 crore for FY24, a 23% increase from ₹794 crore the previous year. Its profit surged by 320% year-on-year to ₹21 crore in FY24, up from ₹5 crore in FY23. The company’s return on equity rose to 10% in FY24 from 3% the previous year.
Based in Kolkata, Baazar Style Retail operates 162 stores across West Bengal and Odisha, covering over 1.47 million square feet. The company offers affordable fashion and general merchandise. The value retail market in India, estimated at ₹3.7 lakh crore for FY24, is projected to grow to ₹5.3 lakh crore by FY27, according to Technopak.
