Brainbees Solutions (FirstCry), a retail platform specialising in products for mothers, babies, and kids, has submitted its Draft Red Herring Prospectus (DRHP) to the Securities and Exchange Board of India (SEBI).
The initial public offering (IPO) of the company includes a fresh issue of equity shares totaling up to Rs 18.16 million and an offer-for-sale (OFS) of up to 54,391,592 equity shares by selling shareholders.
The company plans to utilise the net proceeds, up to Rs 18.16 million, for various purposes, including setting up new modern stores, a warehouse and lease payments for existing identified modern stores in India.
It also aims to fund the investment in its subsidiary, FirstCry Trading, for overseas expansion in Saudi Arabia by establishing new modern stores and warehouses.
Additionally, the funds will be allocated towards investment in its subsidiary, GlobalBees Brands, for acquiring an additional stake in indirect subsidiaries, sales and marketing initiatives, technology and data science costs, including cloud and server hosting-related expenses and inorganic growth through acquisition and other strategic initiatives as well as general corporate purposes.
The company has shown revenue growth from FY21 to FY23, with revenues from operations at Rs 16,028.54 million, Rs 24,012.88 million, and Rs 56,325.39 million for FY21, FY22 and FY23, respectively.
Kotak Mahindra Capital, Morgan Stanley, BofA Securities, JM Financial, and Avendus Capital are the Book Running Lead Managers for the IPO.
FirstCry, founded in India in 2010, aims to be a comprehensive destination for parenting needs across commerce, content, community engagement, and education. The platform offers products in various categories, including apparel, footwear, baby gear, nursery items, diapers, toys, and personal care, among others. As of June 30, 2023, the company provided over one million SKUs from more than 6,800 brands, operating through a network of 936 FirstCry and BabyHug modern stores in 465 cities across 27 states and four union territories in India.
