SoftBank-backed FirstCry is set to launch its initial public offering (IPO) in the first few months of 2024, and the chief executive officer of the company, Supam Maheshwari has now offloaded a major chunk of company shares.
According to the draft red herring prospectus (DRHP) of the company, FirsCry CEO Supam Maheshwari sold around 6.2 million shares of the company 10 days before submitting the paperwork for the IPO.
Priced at ₹487.44 each, Maheshwari sold shares worth ₹300 crore. The CEO has also listed himself as a selling shareholder in the public issue, reported Moneycontrol. The offloading was done in preparation of the fresh issue component of the IPO.
Before offloading over 6.2 million shares, Supam Maheshwari held 7.46 per cent stake in the company (35,097,831 shares). Now, his stake in the company has been reduced to 5.95 percent (28,893,347 shares), the report added.
FirstCry is speculated to be valued at $3.5-3.75 billion at the time of the IPO, the date for which has not been finalised yet. Meanwhile, here is all you need to know about the company’s CEO and how he started FirstCry.
Who is FirstCry CEO Supam Maheshwari?
Supam Maheshwari is the co-founder and chief executive officer at FirstCry, one of India’s leading child apparel and childcare products brand. Maheshwari holds a post-graduate degree from IIM Ahmedabad, and had started his entrepreneurial journey with a company called Brainvisa.
Maheshwari had the idea of creating a platform like FirstCry from his own personal experience, when he realised that the product options for toddlers in India are limited. When the entrepreneur had his first child, he would buy things for his son during business trips in other countries.
It was then when he realised the potential of baby care brands in India, and founded FirstCry with Amitava Saha in 2010. FirstCry was developed as an online platform to bring the best baby products from across the globe to India.
Now, the company is on track to launch its IPO this year, set to raise ₹1816 crores through the issue. While Maheshwari has offloaded shares worth ₹300 crore, other investors like Mahindra and Mahindra (M&M), SoftBank, and Premji Invest will also sell around 5.4 crore shares for the offer for sale (OFS) segment.