Credo Brands Marketing Ltd, the parent company for denim brand Mufti Jeans, is all set to launch its ₹550 crore IPO next week, on December 19. The price band and lot size for the initial public offering has also been revealed by the company.
Mufti Jeans IPO is being launched completely on offer for sale (OFS) of up to 1.96 crore shares by promoters and other existing shareholders. Further, the price band for the subscribers has been set at ₹266- ₹280 apiece.
The IPO for Credo Brands will be launched on December 19, and conclude on December 21. The IPO of the book-built issue is being launched at the total amount ₹549.78 crore. A pioneer in men’s clothing and denim, the IPO of Mufti Jeans has the potential to significantly raise the valuation and stock price of the company.
At the lower and the upper end of the price band, the IPO is expected to fetch ₹522 crore and ₹550 crore respectively. Half of the issue size has been reserved for qualified institutional buyers, 35 per cent for retail investors and the remaining 15 per cent for non-institutional buyers.
Mufti Jeans IPO: Price band, lot size and issue details
The price band of the IPO to be launched by Credo Brands, which is the parent company of Mufti Menswear, is ₹266-280. The lot size for subscribers has been set at 53 shares minimum.
This means that that subscribers will have to make a minimum investment of ₹14,840 when the issue is launched. It is expected that the listing date of the initial public offering on the BSE and NSE will be December 27, 2023.
As of September 2023, Credo Brands Marketing has a presence across India through 1,807 touchpoints, including 404 exclusive brand outlets (EBOs), 71 large format stores, and 1,332 multi-brand outlets (MBOs).
Credo Bands’ revenue from operations increased 46 per cent to ₹498.18 crore in fiscal 2023 from ₹341.17 crore in the preceding fiscal. Besides, profit after tax surged 117 per cent to ₹77.51 crore in fiscal 2023 from ₹35.74 crore in the previous financial year.
(With inputs from PTI)