Vishal Mega Mart IPO
Vishal Mega Mart, a leading hypermarket chain in India, is launching its Initial Public Offering (IPO) from December 11-13, 2024. This article provides a detailed overview of the IPO, including key details, financials, and important dates for potential investors.
RI
by RA ALOK DAIYA SEBI Reg. INH000011468
About Vishal Mega Mart
Founded in 2001, Vishal Mega Mart has grown into one of India's leading hypermarket chains. Here's what makes us stand out:
Extensive Retail Network
Operating 645 stores across 414 cities, spanning 28 states and two union territories, making us one of India's top offline-first diversified retailers.
Customer-Focused Approach
Strategically positioned to serve middle and lower-middle-income consumers with comprehensive product range including apparel, groceries, electronics, and home essentials.
Efficient Business Model
Operating with an asset-light business model that enables rapid scaling and operational efficiency across our network.
Strong Workforce
Powered by a dedicated team of 16,537 employees as of September 30, 2024, delivering excellence across our operations.
IPO Overview and Key Details
The Vishal Mega Mart IPO is a book-built issue of Rs 8,000.00 crores, consisting entirely of an offer for sale of 102.56 crore shares. Here are the key details:
- Price Band: ₹74 to ₹78 per share
- Lot Size: 190 Shares
- Issue Type: Book Built Issue IPO
- Listing At: BSE, NSE
- Face Value: ₹10 per share
The minimum investment required for retail investors is ₹14,820. For small NIIs (sNII), the minimum investment is ₹207,480 (14 lots), and for big NIIs (bNII), it's ₹1,007,760 (68 lots).
Financial Performance
Vishal Mega Mart has shown strong financial growth:
The company's revenue increased by 17.41% and profit after tax (PAT) rose by 43.78% between FY2023 and FY2024.
IPO Timeline and Application Process
1
IPO Opening Date
December 11, 2024
2
IPO Closing Date
December 13, 2024
3
Basis of Allotment
December 16, 2024
4
Initiation of Refunds
December 17, 2024
5
Credit of Shares to Demat
December 17, 2024
6
Listing Date
December 18, 2024 (Tentative)
Investors can apply online using UPI or ASBA as payment methods. The application process varies slightly depending on the broker or bank used.
Lead Managers and Registrar
The IPO is managed by several renowned financial institutions:
- Kotak Mahindra Capital Company Limited
- ICICI Securities Limited
- Intensive Fiscal Services Private Limited
- Jefferies India Private Limited
- J.P. Morgan India Private Limited
- Morgan Stanley India Company Pvt Ltd
Kfin Technologies Limited is serving as the registrar for the IPO.
Company Strengths and Portfolio
Company Strengths
- Serving a large and growing section of the Indian population
- Consumer-centric approach with a loyal customer base
- Diverse portfolio of own brands
- Pan-India presence with successful store growth
- Technology-enabled operations
- Professional and experienced management team
Brand Portfolio
Vishal Mega Mart offers a range of own brands across categories:
- Apparel: Classics, Fashion, Denim, Ethnic
- General Merchandise: Tandem Home Appliances, Home Select, Home Finery
- FMCG: Savory Products, Staples, Home Care
IPO Review
The Vishal Mega Mart IPO presents an opportunity to invest in a growing hypermarket chain with a strong presence across India. The company is a one stop destination for middle and lower-middle income customers in India. While the issue is priced at a premium, the company's consistent growth and strong market position make it an interesting prospect for medium to long-term investors. As with any investment, potential investors should carefully consider their financial goals and risk tolerance before participating in the IPO.