FSN E–Commerce Ventures Limited (Nykaa) | Globe Capital
FSN E–Commerce Ventures Limited (Nykaa)
Closed
Price Band
Rs. 1085 – 1125
IPO Issue Period
Oct 28, 2021 to Nov 01, 2021
Issue Size
Rs. 5351.92 Cr.
Face value
Rs. 1/-
Fresh issue
Rs. 630 Cr.
Offer for sale
Rs. 4721.92 Cr.
Minimum Shares for Retail
12 shares
Maximum Shares for Retail
168 shares
Listing on
NSE, BSE
Issue Type
Book Building
Tentative Listing Date
11-Nov-21
QIB
Not More than 75% of the offer
NII
Not less than 15% of the offer
Retail
Not less than 10% of the offer
Registrar to the Issue
Link Intime India Private Ltd

BofA Securities India Limited, Citigroup Global Markets India Private Limited, ICICI Securities Limited, JM Financial Consultants Private Limited, Kotak Mahindra Capital Company Limited, Morgan Stanley India Company Pvt Ltd

FSN E-Commerce Ventures Limited (“Nykaa”) was incorporated on April 24, 2012. Nykaa is a digitally native consumer technology platform, delivering a content-led, lifestyle retail experience to consumers. They have a diverse portfolio of beauty, personal care and fashion products, including their owned brand products manufactured by them. The company operates under 2 major verticals: I) Nykaa: Beauty and personal care II) Nykaa Fashion: Apparel and accessories Under the Beauty and Personal Care Offering, the company has 197,195 SKUs from 2,476 brands primarily across make-up, skincare, haircare, bath and body, fragrance, grooming appliances, personal care, and health and wellness categories as of March 31, 2021. For beauty and personal care offerings, Nykaa’s business is mainly inventory-led. The company manufactures its owned brand beauty and personal care products through third-party manufacturers and are sold under their brand name such as “Nykaa Cosmetics”, “Nykaa Naturals” and “Kay Beauty”. Apparel and accessories verticals consist of 1,350 brands and over 1.8 million SKUs with fashion products across four consumer divisions: women, men, kids, and home. Nykaa Fashion also has six owned brands. The company provides an omnichannel shopping experience to its customers by providing both online and offline shopping channels. Online channels include mobile apps, websites, and mobile sites while offline channel consists of 73 physical stores spread across 38 cities in India. Falguni Nayar, Sanjay Nayar, Falguni Nayar Family Trust and Sanjay Nayar Family Trust are the company promoters.

For year/ period ended ( in Cr.)

31 Mar 2021 31 Mar 2020 31 Mar 2019
Total Revenue 2440.9 1767.53 1111.39
Profit After Tax 61.95 -16.34 -24.54
EPS 1.39 -0.39 -0.59
OPM(%) 6.61% 4.59% 1.85%
PATM(%) 2.54% -0.92% -2.21%
  • One of India’s leading lifestyle focused consumer technology platform
  • The preferred destination for luxury and prestige products in India for consumers and brands
  • Resilient, capital efficient business with a combination of strong growth and profitability
  • Company’s advanced technology platform
  • Founder-led company with an experienced management team
  • Investment of Rs. 42 Cr. in certain of their subsidiaries, namely, FSN Brands and / or Nykaa Fashion for funding the set-up of new retail stores;
  • Rs. 42 Cr. towards capital expenditure to be incurred by the company and investment in certain of their subsidiaries, namely, Nykaa E-Retail, Nykaa Fashion and FSN Brands for funding the set-up of new warehouses;
  • Rs. 1,56 Cr. towards repayment or prepayment, of outstanding borrowings availed by the company and one of their subsidiaries, namely, Nykaa E-Retail;
  • Expenditure of Rs. 2,34 Cr. to acquire and retain customers by enhancing the visibility and awareness of the brands; and
  • General corporate purposes.

Based on its financial parameters, the issue is exorbitantly priced and hence risk seekers & cash surplus investors may consider investment for a long term reward.

Timeline
Application Start
28-10-2021
Application End
01-11-2021
Allotment Begins
08-11-2021
Refund Initiation
09-11-2021
Allotment Date
09-11-2021
Listing on exchange
10-11-2021
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