Honasa Consumer Ltd. the company which owns Mamaearth, has fixed a price band of ₹308 to ₹324 per share for the ₹1,701 crore IPO.
Honasa Consumer Ltd. the company which owns Mamaearth, will open its initial public offering (IPO) on Tuesday. The IPO will be open for subscription till November 2.
The company’s IPO comprises fresh issue of equity shares worth ₹365 crore and an Offer for Sale (OFS) component of 4.12 crore equity shares by promoters, investors, and other selling shareholders.
Read More: Piramal Pharma Rallies 8% After Reporting A Profit In September Quarter; Details
Those offering shares in the OFS include promoters — Varun Alagh and Ghazal Alagh — and investors like Fireside Ventures Fund, Sofina, Stellaris, Kunal Bahl, Rohit Kumar Bansal, Rishabh Harsh Mariwala and Bollywood actor Shilpa Shetty Kundra.
The beauty and personal care company was founded in 2016 by Ghazal Alagh and her husband Varun Alagh. The company launched the brand Mamaearth and added five more brands including The Derma Co, Aqualogica, Ayuga, BBlunt, and Dr Sheth’s. The Gurugram-based company built a ‘House of Brands’ architecture. Ghazal Alagh also appeared as a judge on reality TV show ‘Shark Tank India’.
Read More: Cello World IPO opens: Check price band, GMP and other key details
IPO price band
The company has fixed a price band of ₹308 to ₹324 per share for the ₹1,701 crore IPO. On Monday, the company announced that it has mobilised ₹765 crore from the anchor investors ahead of its initial public offering (IPO).
Kotak Mahindra Capital Company, Citigroup Global Markets India, JM Financial, and JP Morgan India Pvt Ltd are the book-running lead managers to the issue. The equity shares of the company will be listed on the BSE and NSE.
Read More: Stocks to Watch: Marico, TVS Motor, Castrol India, UPL
Proceeds from the fresh issue would be utilised towards advertising expenses to improve awareness and brand visibility, setting up new exclusive brand outlets, investment in its subsidiary BBlunt for setting up new salons, general corporate purposes, and inorganic acquisition, PTI reported.
About 75 per cent of the issue has been reserved for qualified institutional investors, 15 per cent for non-institutional investors, and the remaining 10 per cent for retail investors.
(With PTI inputs)
