NEW DELHI: The shoe retailer Metro Brands Ltd has submitted preliminary papers to the capital market regulator Sebi in order to raise funds through an initial sale of shares.
The initial public offering (IPO) includes the re-issue of shares valued at Rs 250 crore and an offer to sell of 21,900,100 shares by selling shareholders in accordance with the draft Red Hering Prospectus (DRHP).
The company will consider a pre-IPO placement, which will amount to up to Rs.10 billion. When such a placement is completed, the size of the new issue will be reduced.
Proceeds from the new edition will be used to pay for the opening of new stores for the company under the Metro, Mochi, Walkway and Crocs brands and for general corporate purposes.
The company, backed by leading investor Rakesh Jhunjhunwala, is an Indian shoe retailer targeting the economy, mid and premium segments of the shoe market.
It opened its first store under the Metro brand in Mumbai in 1955 and has since grown into a one-stop shop for all shoe needs, selling a wide range of branded products for the whole family including men, women, unisex and children. and for any occasion, including casual and formal events.
As of March 2021, the company operated 586 stores in 134 cities in 29 states and union territories in India.
Axis Capital, Ambit, DAM Capital Advisors, Equirus Capital,
and Motilal Oswal Investment Advisors have been appointed as merchant bankers to advise the company on its IPO.