Nykaa IPO to open on October 28, price band at Rs 1,085-1,125 per share. FSN E–Commerce Ventures, the digital native consumer technology platform that powers Nykaa and Nykaa Fashion, has chosen October 28 as the date for its initial public offering (IPO). The promotion will end on November 1st. The Nykaa IPO consists of a new offering of Rs. 630 crore equity shares and an OFS of 4.19 crore shares by promoters and existing shareholders.
According to the red hearing prospectus, the three-day initial public offering will end on November 1. (RHP).
Those selling shares in the OFS are —promoter Sanjay Nayar Family Trust and shareholders —TPG Growth IV SF Pte Ltd., Lighthouse India Fund III, Limited, Lighthouse India III Employee Trust, Yogesh Agencies & Investments, JM Financial and Investment Consultancy Services and some individual shareholders.
The company plans to raise Rs 5,351.92 crore via a public offering at the top of the pricing band. The price range for the stock has been set at Rs 1,085-1,125 per share. Falguni Nayar is the founder of FSN E–Commerce Ventures, which is funded by private equity company TPG.
Bids can be placed for as little as 12 shares or in multiples of 12 shares after that. A minimum of Rs 13,500 for one lot and a maximum of Rs 1,89,000 for 14 lots is available to retail investors.
On November 8, the share distribution will be finalised. Investors will get shares in their demat accounts on November 10 after receiving refunds on November 9. Trading will begin on November 11th.
Nykaa IPO details:
- The three day share sale of Nykaa to launch on October 28 and close on November 1.
- The net proceeds will be used by Nykaa to invest in its subsidiaries (FSN Brands and/or Nykaa Fashion). It will be used to create retail outlets, to invest in subsidiaries (Nykaa E-Retail, Nykaa Fashion, and FSN Brands), to build additional warehouses, and to repay debt.
- Aside from basic company reasons, the funds will be used to improve brand exposure and awareness.
- The company has 43.7 million downloads across all mobile applications as of March 2021, and its mobile applications accounted for 86.7 percent of its online gross retail value.
- It has roughly 3.1 million SKUs (stock-keeping units) from 4,078 national and international brands across all business verticals as of August 2021. The entire GMV (gross merchandising value) of the company in FY21 was Rs 4,045.98 crore, up 50.7 percent from FY20.
Merchant bankers for the offering include Kotak Mahindra Capital Company, Morgan Stanley India Company, BofA Securities India, Citigroup Global Markets India, JM Financial, and ICICI Securities.
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