FirstCry IPO: CEO Supam Maheshwari sold 6.2 million shares before filing DRHP
₹487.44 per share, marking the highest rate for a secondary share sale in December, Maheshwari's divested shares would amount to a valuation exceeding ₹300 crore. Notably, the CEO of FirstCry has included himself as a selling shareholder in the upcoming public issue.
Also read: Firstcry IPO: Issue details, objectives, and more - 10 key things to know from DRHP While Maheshwari originally possessed 35,097,831 shares, equivalent to a 7.46 percent stake in the company, until the draft papers were filed, his ownership had diminished to 28,893,347 shares, representing a 5.95 percent stake on the application filing date. Some media reports indicate that in a recent share sale round, the founders of FirstCry, in addition to SoftBank, divested their shares at a valuation exceeding ₹23,000 crore.
According to the information outlined in the DRHP, secondary sales in December transpired at an approximate valuation of ₹23,700 crore or ₹487.44 per share. FirstCry is anticipated to set the price of its initial public offering (IPO) with a valuation ranging between $3.5 billion to $3.75 billion.
At the higher end of this spectrum, it would represent a 31 percent premium for investors who acquired the shares at ₹487.44 each back in December. Also read: Ratan Tata to offload all 77,900 shares in FirstCry IPO The DRHP indicates that Maheshwari divested 9.34 million shares in the six months leading up to the DRHP filing date.
At a price of ₹487.44 per share, this transaction would amount to a value exceeding ₹455 crore. Furthermore, the IPO filing disclosed that a board resolution on December 27, coinciding with FirstCry's application for public listing, resulted in the transfer of 14.9 million shares to the company's Employee Stock
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