Luxury and premium watch retail player Ethos said on Tuesday that it had raised about 14 142 million from anchor investors before selling its initial shares, which opened for subscription on Wednesday.
According to a circular uploaded on the BSE website, the company has decided to allot 16,13,725 equity shares to anchor investors at Rs 878 crore, bringing the transaction size to Rs 141.68 crore.
ICICI Prudential Mutual Fund, Jupiter India Fund, St. Capital Fund, Nomura Singapore and UPS Group Trust are among the anchor investors.
The initial public offering (IPO) includes a new issue of equity shares worth Rs 375 crore and an offer-for-sale (OFS) of 1,108,037 equity shares.
As a part of OFS, Yashovardhan Sabu, KDDL, Mahen Distribution, Sabu Ventures LLP, Anuradha Sabu, Joy Vardhan Sabu, VBL Innovation, Anil Khanna, Nagarajan Subrahmanyan, C Raja Sekhar, Karan Singh Bhandal, Karan Singh Bhandar, Karan Singh Bhandar, Bhuvalka and Monju Bhuvalka will sell equity shares.
The public issue with price band of Rs 836-878 per share will be open for subscription on May 18-20. At the top end of the price band, the public issue is expected to raise Rs 472.3 crore.
Proceeds from the new issue will be used to repay loans, finance working capital requirements, open new stores and for general corporate purposes.
Half of the issue size is reserved for qualified institutional investors, 35 percent for retail investors and the remaining 15 percent for non-institutional investors.
Investors can bid for a minimum of 17 equity shares and then multiply by 17.
The company’s revenue from operations stood at Rs 386.57 crore in FY 2021, compared to a net profit of Rs 5.78 crore at the same time.
Ethos has the largest portfolio of premium and luxury watches in India and has over 50 premium and luxury watch brands such as Omega, IWC Schaffhausen, Jaeger LeCoultre, Panerai, Bvlgari, H. Moser & Cie, Rado, Longines, Baume & Mercier, Corum, Carl F. Bucherer, Tissot, Raymond Weil, Louis Moinet and Balmain.
Under the Ethos brand, it opened its first luxury watch store in Chandigarh in January 2003.
MK Global Financial Services and Incred Capital Wealth Portfolio Managers are the main directors of this issue. The equity shares of the company will be listed on BSE and NSE.