Monte Carlo Fashions Ltd is entering the capital market with an IPO of 5,433,016 equity shares of Rs.10 each for cash in the Price Band of Rs.630 to Rs.645 per equity share as an Offer for Sale by the Selling Shareholders through 100% book building process. The issue opens for subscription on December 3, 2014 (Wednesday) and will close on December 5, 2014 (Friday). The minimum order quantity for bids will be 23 shares and in multiples of 23 shares thereafter. The Offer constitutes 25% of the post Offer paid-up equity share capital of the company.
50% of the issue is earmarked for Qualified Inst Bidders, 15% of the issue is earmarked for Non-Institutional Bidders and 35% of the issue is for Retail Individual Bidders.
The issue size is between Rs.342.28 – 350.43 Crores. Link Intime India Pvt. Ltd. is the registrar to the issue. The issue will be listed on the Bombay Stock Exchange Ltd (BSE) and The National Stock Exchange (NSE).
The company may consider participation by Anchor Investors, whose Bidding Date shall be one Working Day prior to the Bid/Offer Opening Date. Axis Capital Ltd., SBI Capital Markets Ltd. and Edelweiss Financial Services Ltd. are the Book Running Lead Managers to the issue.
Incorporated in 1984, Monte Carlo Fashions Ltd is the leading apparel brand in India; especially famous for exclusive woolen brand 'Monte Carlo'. It is recognized as a 'Superbrand' for woollen knitted apparel in each edition of Consumer Superbrands India since its first edition in September 2004. The company caters to the premium and midpremium branded apparel segment for men, women and kids, offering a comprehensive line of woolen, cotton and cotton-blended knitted and woven apparel and home furnishings through 'Monte Carlo Exclusive Brand Outlets' and multi brand outlets, including a network of national chain stores under the 'Monte Carlo' brand.
The company operates two manufacturing facilities at Ludhiana in Punjab - one for woollen apparel and the other for cotton apparel. They include facilities for product development, a design studio and sampling infrastructure. Almost all its woollen knitted products are manufactured in-house. It has also recently commenced in-house manufacturing of some cotton t-shirts and thermals in April 2014.
In 2012 Samara Capital, a Mauritius based India focused private equity firm, through its affiliate, KIL, had picked 18.51% stake in the firm through an investment of Rs 125 Crores at Rs 435 a share, valuing the firm at Rs 945 crore. With this IPO Samara will divest 9.5% stake.