Sai Silks Kalamandir IPO to open on September 20
Hyderabad, September 15, 2023: Ethnic apparel retailer Sai Silks Kalamandir Ltd has set a price band of ₹210-222 per share for its initial public offering, opening on 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 ₹1,200 crore.
The Hyderabad-based saree retailer 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. The offer opens for subscription between September 20-22.
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%, backed by strong operating performance. Revenue from operations increased by 19.7% to ₹1,351.5 crore. On the operating front, EBITDA (earnings before interest, tax, depreciation and amortisation) in FY23 surged by 60% YoY to ₹212.5 crore with margin expansion of 394 bps at 15.72 percent asncompared to previous year.
Read more on livemint.com
