L-R: Mr. Pradeep Kumar Agarwal, Chairman and Mr. Shreyans Surana, MD, Baazar Style Retail Limited at their IPO announcement held in Mumbai
MUMBAI, 25 AUGUST, 2024 (GPN): Baazar Style Retail Limited, a value fashion retailer offering quality and affordable products under the apparels and general merchandise segments, through a chain of ‘value retail’ stores, has fixed the price band of Rs 370-389 for its IPO, which will open for public subscription on August 30.
The IPO will consist of both a fresh issue of up to Rs 148 crore and an offer for sale of up to 1.76 crore shares by the promoter group and other selling shareholders. At the upper end of the price band of Rs 389, the total issue size will be Rs 835 crore.
Investors can bid for a minimum of 38 shares in one lot, with additional shares available in multiples of 38.
Ace investor Rekha Jhunjhunwala will be selling 2.72 million shares in the IPO. Other selling shareholders include Intensive Softshare, Intensive Finance, Chandurkar Investments, Rajnish Gupta, DK Surana HUF, as well as promoters Madhu Surana, Subroto Trading & Finance, Sabita Agarwal, Rekha Kedia, and Shakuntala Devi.
Earlier this month, the company conducted a private placement of 9,56,072 equity shares to Volrado Ventures Partners Fund II at an issue price of Rs 387 per share, totaling Rs 37 crore.
The proceeds from the IPO would be used in clearing borrowings and for general corporate purposes.
Kolkata-based Baazar Style Retail is a varue fashion retailer with the largest retail footprint in Eastern India and holds leadership positions in the organized value retail market in West Bengal and Odisha.
The company has a market share of 3.03% in West Bengal and 2.22% in Odisha in the organized value retail sector.
Baazar Style Retail is backed by investors including Rekha Rakesh Jhunjhunwala (the wife of the late Rakesh Jhunjhunwala), Kewal Kiran Clothing Limited, Manohar Lal Agarwal (promoter of Haldiram Snacks). Boon Family Office (associated with Supreme Industries), Intensive Softshare Private Limited, D.K. Surana, Ajay Kumar Jain, and Sanjay Kumar Jain (partners at J.K. Jain Sparky (India) LLP).
Mr. Pradeep Kumar Agarwal, Chairman and Mr. Shreyans Surana, MD, Baazar Style Retail Limited at their IPO announcement held in Mumbai
The company operates on a cluster-based expansion model, opening new stores within the same or nearby districts where it already has a presence. The store count reached 162 by the end of FY24.
The company’s revenue from operations increased from Rs 551 crore in FY22 to Rs 973 crore in FY24, reflecting a CAGR of 32.86%. In comparison, the overall lifestyle and home value retail market is estimated to have grown at a CAGR of 19.3% from FY22 to FY24.
Axis Capital Limited, Intensive Fiscal Services Private Limited, and JM Financial Limited are the book running lead managers and Link Intime India Private Limited is the registrar to the offer. The equity shares are proposed to be listed on BSE and NSE.Ends/ GPN
Sachin Murdeshwar is a Sr.Journalist and Columnist in several Mainline Newspapers and Portals.He is an ardent traveller and likes to explore destinations to the core.
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