Supermarket chain Patel Retail files DRHP for IPO
Patel Retail has filed its draft red herring prospectus (DRHP) with the market regulator Sebi to raise funds through an IPO.
The public offer, with a face value of Rs 10 per share, is a mix of fresh equity issue of 90.18 lakh and an offer for sale of 10.02 lakh shares by promoters.
The company, in consultation with the book-running lead manager, may consider undertaking a further equity issue of up to 5 lakh shares as a pre-IPO placement. If such placement is completed, the fresh issue size will be reduced.
The offer is being made through the book-building process, wherein 50% of the offer is reserved for qualified institutional buyers, 15% for non-institutional investors, and 35% for retail investors.
The proceeds from its fresh issue will be utilised for repayment of the debt, funding working capital requirements, and general corporate purposes.
Patel Retail provides a diverse range of products including food, non-food items (FMCG), general merchandise, and apparel to meet the needs of families.
Over time, the company has grown into a significant player in the value retail sector, managing one of the largest networks of stores in the Mumbai Metropolitan Region (MMR).
As of December 2023, the company operated and managed 31 stores, with a total retail business area of 1.26 lakh square feet.
Since its inception, Patel Retail has expanded its product offerings significantly, with approximately 38 product categories and over 10,000 product SKUs available in its stores as of December 2023.
Capitalizing on its
