FirstCry's Parent Brainbees Files IPO Papers With SEBI The IPO comprises a fresh issue of equity shares aggregating up to ₹18,160 million and an OFS of up to 54,391,592 equity shares by selling shareholders
By S Shanthi
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Brainbees Solutions Limited, the parent company of online e-commerce platform FirstCry has filed its Draft Red Herring Prospectus ("DRHP") with market regulator Securities and Exchange Board of India ("SEBI").
The Company's initial public offering comprises a fresh issue of equity shares aggregating up to ₹18,160 million and an offer for sale (OFS) of up to 54,391,592 Equity Shares by selling shareholders.
The OFS comprises of up to 20,318,050 equity shares by SVF Frog (Cayman) Ltd, up to 2,806,174 equity shares by Mahindra & Mahindra Limited, up to 8,601,292 equity shares by PI Opportunities Fund- 1, up to 3,899,525 equity shares by TPG Growth V SF Markets Pte. Ltd., up to 3,014,233 equity shares by NewQuest Asia Investments III Limited, up to 2,523,280 equity shares by Apricot Investments Limited, up to 2,404,344 by Valiant Mauritius Partners FDI Limited, up to 837,676 equity shares by TIMF Holdings (Mauritius), up to 837,676 equity shares by Think India Opportunities Master Fund LP (Cayman) and up to 616,945 equity shares by Schroders Capital Private Equity Asia Mauritius II Limited (Corporate Selling Shareholders).
The Pune-based company proposes to utilize the Net Proceeds of Up to ₹ 18,160.00 million from the offer towards funding the expenditure for setting up new modern stores, a warehouse and lease payments for its existing identified modern stores in India, investment in its subsidiary, FirstCry Trading for overseas expansion by setting up new modern stores and warehouses in the Kingdom of Saudi Arabia ("KSA"), investment in its subsidiary, GlobalBees Brands towards acquisition of additional stake in its indirect subsidiaries, towards sales and marketing initiatives, technology and data science cost including cloud and server hosting related costs, towards funding of inorganic growth through acquisition and other strategic initiatives as well as for general corporate purposes.
The FirstCry platform was launched in India in 2010 with a goal to create a one-stop destination for parenting needs across commerce, content, community engagement, and education, based on brand affinity, loyalty and trust of customers. The multi-channel retailing platform includes FirstCry's online platform accessible through the mobile application and website, FirstCry modern stores comprising franchisee-owned, franchisee-operated modern stores ("FOFO"), company-owned and company-operated modern stores ("COCO") as well as general trade retail distribution.
The company offers products in various categories, including apparel, footwear, baby gear, nursery, diapers, toys and personal care, amongst others. The company said in a statement that as at June 30, 2023, it offers offer more than one million SKUs from over 6,800 brands, including prominent third-party Indian brands, global brands, and their own home brands. As at June 30, 2023, the FirstCry mobile application has been downloaded more than 104 million times in India. Further, they have a network of 936 FirstCry and BabyHug modern stores in 465 cities in 27 states and four union territories across India with over 1.76 million square feet of retail space, as at June 30, 2023.
