FirstCry Files DRHP for IPO, Aiming to Raise INR 1,816 Cr

FirstCry’s IPO Filing Unveils Ambitious Plans to Raise INR 1,816 Cr. Explore Strategies, Stakeholders, and Future Ventures

Pune-based omnichannel marketplace, FirstCry, has taken a significant stride towards its initial public offering (IPO) ambitions by filing the draft red herring prospectus (DRHP) with the Securities and Exchange Board of India (SEBI). The ecommerce unicorn, led by Supam Maheshwari, is gearing up to raise INR 1,816 Crores through the issuance of fresh shares.

The IPO comprises a mix of fresh issues of shares and an offer-for-sale (OFS) component. The latter includes 5.4 Crore equity shares, with SoftBank, holding a substantial 25% stake, planning to sell up to 2 Crore equity shares in the public offering. Additionally, Premji Invest is set to divest 8.6 Million shares during the OFS. Founder Supam Maheshwari also intends to sell a portion of his stake as part of the IPO.

The net proceeds from the IPO are earmarked for strategic expenditures, primarily aimed at expanding FirstCry’s footprint across India. The company plans to utilize the funds for setting up new modern stores, bolstering its warehousing capabilities, and meeting lease payments.

Despite its ambitious plans, FirstCry reported a loss of INR 110 Crores in the first quarter of the financial year 2023-24. However, the startup boasts an impressive customer base, with 8.25 Million annual unique transacting customers as of June 30, 2023.

The move to go public signifies a crucial phase for FirstCry, providing it with the financial impetus to scale operations and solidify its position in the competitive e-commerce landscape. The IPO will be closely watched by investors, industry experts, and market enthusiasts eager to gauge the response to this high-profile offering in the Indian market.

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