The IPO of Brainbees Solution Ltd., the parent company of the e-commerce platform FirstCry, opened on Tuesday, August 6 and will conclude on August 8.
FirstCry was launched in 2010 and is India’s largest multi-channel, multi-brand retailing platform selling products for mothers, babies and kids. It expanded internationally to the UAE and Saudi Arabia in 2019 and 2020, respectively.
With a price band of ₹440-₹465 per equity share, the ₹4,194 crore IPO consists of a fresh issuance worth ₹1,666 crore and an offer for sale (OFS) of 5.44 crore equity valued at ₹2,528 crore.
Softbank-owned SVF Frog will sell 2.03 crore shares in the OFS. The entity’s current stake in FirstCry is 25.55%. Mahindra & Mahindra will offload 28.06 lakh shares, and its current stake is 10.98%.
Other selling shareholders include TPG Growth V SF Markets, PI Opportunities Fund 1, NewQuest Asia Investments, Apricot Investments and Ratan Tata.
Brainbees raised ₹1,877 crore from anchor investors on Monday, August 5, by allotting over 4 crore shares to 71 funds at ₹465 crore per equity share.
The Government of Singapore, Abu Dhabi Investment Authority, Fidelity Funds, Nomura Funds, Citigroup Global Markets Mauritius, Goldman Sachs Funds were some of the anchor investors of the company.
The proceeds from the IPO will be used by Brainbees to open stores under the ‘BabyHug’ brand, expand overseas, implement sales and marketing plans, invest in subsidies and for general corporate purposes.
The book-running lead managers to the issue are BofA Securities India Ltd, JM Financial Ltd, Morgan Stanley India Company Private Ltd, Avendus Capital Private Ltd and Kotak Mahindra Capital.