- The fresh issue proceeds will be used for setting-up of 30 new stores at a cost of ₹08 crore, two warehouses with a spend of ₹ 25.4 crore, and more
- Bid/ Offer will open on Wednesday, September 20, 2023 and close on Friday, September 22, 2023
- The Anchor Investor Bidding Date shall be Monday, September 18, 2023
- Bids can be made for a minimum of 67 Equity Shares and in multiples of 67 Equity Shares thereafter
NE BUSINESS BUREAU
AHMEDABAD, SEPT 17
Hyderabad-based ethnic apparel retailer Sai Silks Kalamandir Limited has set a price band of ₹210-222 per share for its initial public offering, opening on Wednesday, September 20. The initial public offering comprises a fresh issuance of shares worth ₹600 crore by the company and an offer-for-sale (OFS) of 2,70,72,000 equity shares by promoter group. At the upper end of the price band, the total issue size comes in at ₹1,201 crore.
The Anchor Investor Bidding Date shall be Monday, September 18, 2023. The Offer will open on Wednesday, September 20, 2023 for subscription and will close on Friday, September 22, 2023.
Bids can be made for a minimum of 67 Equity Shares and in multiples of 67 Equity Shares thereafter.
The company has reserved 35 percent of the offer for retail investors, as per SEBI regulations. 50 percent has been reserved for qualified institutional buyers and 15 percent for non-institutional investors.
One lot size is 67 shares, amounting to ₹14,874 at the upper end of the price band. The book running lead managers (BRLM) for the issue are Motilal Oswal, HDFC Bank, and Nuvama Wealth Management.
Nagakanaka Durga Prasad Chalavadi, Jhansi Rani Chalavadi, Dhanalakshmi Perumalla, Doodeswara Kanaka Durgarao Chalavadi, Kalyan Srinivas Annam, Subash Chandra Mohan Annam, and Venkata Rajesh Annam are the selling shareholders.
Meanwhile, fresh issue proceeds will be used for setting-up of 30 new stores at a cost of ₹125.08 crore, two warehouses with a spend of ₹25.4 crore, and working capital requirements amounting to ₹280.07 crore. The company will also repay its ₹50-crore debts via issue proceeds.
With a network of 54 stores in Andhra Pradesh, Telangana, Karnataka, and Tamil Nadu as of July 2023, the company offers a diverse range of products including ultra-premium and premium sarees, lehengas, and men and children’s ethnic wear.
In FY23, the company posted net profit of ₹97.6 crore, up 69.2 percent on-year, backed by strong operating performance. Revenue from operations increased by 19.7 percent YoY to ₹1,351.5 crore.
The Shares will be listed on BSE Limited and National Stock Exchange of India Limited. For the purposes of this Offer, BSE Limited shall be the Designated Stock Exchange.
Motilal Oswal Investment Advisors Limited, HDFC Bank Limited and Nuvama Wealth Management Limited (formerly known as Edelweiss Securities Limited) are the BRLMs to the offer.
