Style Retail Private Limited (BSRPL), the Kolkata-based retail chain backed by the late veteran investor Rakesh Jhunjhunwala, has hired , and Intensive Fiscal Services as lead bankers for its 700-crore IPO, several people involved in the development aware.
The proposed IPO will value the retail chain at Rs2500 crore, sources said. Approximately Rs300 crore will be raised as primary capital while Rs400 will be raised through a secondary sale of shares.
The draft Red Herring prospectus (DRHP) is expected to be filed by February 2023 and the IPO is expected to initiate in June 2023, sources added.
Currently the Intensive Group owns a 13% stake, Rakesh Jhunjhunwala around 7.5% stake, the promoters of Haldiram (Delhi and Nagpur groups) a 5% stake and HNIs around 10-12% stake Baazar style. Promoters own about 63% of the shares in Baazar Style.
When contacted, a spokesman for Baazar Style declined to comment.
Baazar Style was co-founded in June 2013 by Kolkata-based Shreyans Surana, Rohit Kedia, Bhagwan Prasad, Pradeep Kumar Agarwal and Rajendra Kumar Gupta. Baazar Style is engaged in multi-brand retail of lifestyle products.
Baazar Style currently operates 125 stores in West Bengal, Odisha, Andhra Pradesh, Jharkhand, Bihar, Assam, Tripura and Uttar-Pradesh. It is engaged in retail business under the brand names “Style Baazar” and “Express Baazar”. Baazar Style houses brands in various product categories including apparel, footwear, luggage, accessories, fragrance, cosmetics, sunglasses and toys.
The money raised from the planned IPO will be used to add more deals. About 100 more stores will be added over the next 2-2.5 years, sources said.
Baazar Style quickly expanded and grew as a retail chain in East India targeting the middle class and neo-middle class
Tier II and III cities. The stores are housed with different stock keeping units (SKUs) from the apparel (90%) and non-apparel (10%) segments.
According to a 2021, Baazar Style generates 40-42% of sales from men’s clothing, 33-34% from women’s clothing, 23-25% from children’s clothing and the rest from lifestyle products consisting of deodorant, purse, sunglasses and toys
Report.
In 2019, Style Baazar had raised Rs 51 crore in a funding round led by Jhunjhunwala. Later in 2022 it raised Rs 65 crore from existing investors Rakesh Jhunjhunwala, Intensive Softshare and Rajnish Gupta and new investors including
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