Supam Maheshwari, CEO, and Co-founder of the mother and child care ecommerce platform FirstCry, purportedly sold 6.2 million shares before the company’s upcoming initial public offering (IPO).
Media sources estimate the value of the shares he sold to be more than Rs 300 crore. Maheshwari, named as a selling shareholder in the draft red-herring prospectus (DRHP) for the public issue, saw his ownership in FirstCry decrease from 7.46 per cent to 5.95 per cent post the IPO filing, having sold 9.34 million shares six months prior to the IPO filing. At Rs 487.44 per share, the reported share transfer amounts to over Rs 455 crore.
There are also reports indicating that SoftBank, a prominent Japanese investment firm, sold shares worth USD 310 million in FirstCry. FirstCry recently filed its DRHP with SEBI to raise Rs 1,816 crore through a fresh issuance of shares, including an offer-for-sale (OFS) of 5.4 crore equity shares by its parent company, BrainBees Solutions.
The IPO proceeds are earmarked by FirstCry to establish contemporary retail outlets and warehouses across the nation. The company recorded an operational revenue of Rs 5,632 crore in FY23, but witnessed a significant surge in losses from Rs 79 crore in FY22 to Rs 486 crore.
