Nykaa Sets IPO Price Band At Rs 1,085-1,125 Per Share
Nykaa IPO price band fixed at Rs 1,085-1,125 apiece.
FSN E-Commerce Ventures Ltd., the parent of online beauty and wellness products retailer Nykaa, has set a price band of Rs 1,085-1,125 apiece for its initial public offering.
The IPO of India's biggest online cosmetics seller comprises a fresh issue worth Rs 630 crore and an offer-for-sale by promoters and existing investors to offload 4.19 crore shares worth around Rs 4,721 crore, according to the red herring prospectus.
The IPO opens on Oct. 28 and closes on Nov. 1.
Nykaa was founded in 2012 by former investment banker Falguni Nayar. Besides her, Sanjay Nayar, Falguni Nayar Family Trust and Sanjay Nayar Family Trust are the promoter entities, together owing 45.99% of the retailer.
16 shareholders will divest part of their stake. Among the promoter group, the Sanjay Nayar Family Trust will be selling shares. Other investors divesting part of their holding in the IPO include TPG Growth IV SF Pte, Lighthouse India Fund III, Sunil Kant Munjal, chairman of Hero Enterprise and others.
Nykaa said the net proceeds of the fresh issue will be used for investment in subsidiaries to expand new retail stores, and capital expenditure towards new warehouses. Part of it will also go towards repayment of certain borrowings and to also acquire and retain customers.
Kotak Mahindra Capital Co., ICICI Securities Ltd., BofA Securities India Ltd., Citigroup Global Markets India Pvt., Morgan Stanley India Co., and JM Financial Ltd. are the book-running lead managers to the offer.