New Delhi:
Luxury and premium watch retailer Ethos said on Wednesday it has set a price range of Rs 836-878 per share for its Rs 472 crore initial public offering (IPO), which will open for subscription on May 18.
The three-day initial share sale will close on May 20, the company announced during a virtual press conference.
The IPO consists of a new share issue totaling up to Rs 375 crore and an offer for sale (OFS) of up to 1,108,037 shares.
As part of the OFS, Yashovardhan Saboo, KDDL, Mahen Distribution, Saboo Ventures LLP, Anuradha Saboo, Jai Vardhan Saboo, VBL Innovations, Anil Khanna, Nagarajan Subramanian, C. Raja Sekhar, Karan Singh Bhandari, Harsh Vardhan Bhuwalka, Anand Vardhan Bhuwalka , Shalini Bhuwalka and Manju Bhuwalka will sell shares.
At the higher end of the price band, the public offering is expected to fetch Rs 472.3 crore.
Proceeds from the new issuance will be used to repay debt, fund working capital requirements, open new stores and 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 on a minimum of 17 shares and then in multiples of 17.
The company’s operating income was Rs 386.57 crore for fiscal 2021 while its net profit was Rs 5.78 crore in the same period.
Ethos has the largest portfolio of premium and luxury watches in India and sells 50 premium and luxury watch brands such as Omega, IWC Schaffhausen, Jaeger LeCoultre, Panerai, Bvlgari, H. Moser & Cie, Rado, Longines, Baume & Mercier, Oris SA, Corum , Carl F Bucherer, Tissot, Raymond Weil, Louis Moinet and Balmain.
It has a healthy market share in the luxury and premium watch retail segments in India.
Under the Ethos brand, it opened its first luxury watch store in January 2003 in Chandigarh. Ethos is promoted by KDDL.
It has 50 brick and mortar stores in 17 cities in India with multiple stores and offers its customers an omnichannel experience through its website and social media platforms.
Emkay Global Financial Services and InCred Capital Wealth Portfolio Managers are the leading managers in this field. The company’s shares will be listed on BSE and NSE.