- Women’s fashion brand Biba Fashions has filed a draft red herring prospectus (DRHP) with the markets regulator SEBI for the IPO.
- The IPO will include fresh issue of shares worth ₹90 crore and 2.77 crore shares will be sold by promoters and existing investors.
- Private equity investors Warburg Pincus and Faering Capital will also cut their stake in the firm through the IPO.
There is a queue of Indian fashion brands interested in becoming a public company. Few months back ethnic wear brand Fabindia also filed DRHP with the regulator while brands like Manyavar, Go Colors got listed on exchanges recently. Aditya Birla Fashion & Retail and TCNS Clothing are other listed players in the apparel space.
The IPO of Biba Fashions will include fresh issue of shares worth ₹90 crore and 2.77 crore shares will be sold by promoters and existing investors.
Meena Bindra founded the company in 1988 and now owns over 5% stake in the company. She would sell 37.5 lakh shares through the IPO.
Biba Fashions develops, designs, sources, markets and sells a wide portfolio of Indian wear for women and girls across multiple brands including BIBA and Rangriti. They offer consumers a range of products across jewellery, footwear, wallets and fragrances.
The fund raised through the IPO will be used to pay debt and some for general corporate purposes.
The company reported a loss in FY21 as its offline sales were affected due to COVID-19 restrictions. “We witnessed a 48.79% drop in offline sales between financial years 2020 and 2021, and recorded a loss for the year of ₹118.40 million in fiscal 2021 on account of the impact of COVID-19 on our operations, among others,” said the company in its DRHP.
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