Style Baazar Retail Limited has rapidly positioned itself as a premier destination for fashion enthusiasts, offering a wide array of trendy yet affordable clothing. Their unique "Quick Shop. One Stop." philosophy, combined with their exclusive brand Express Baazar, has made them a favorite among shoppers seeking both style and convenience.

The company is now launching its Initial Public Offering (IPO), providing an opportunity for investors to partake in its future growth. The Style Baazar Retail Limited IPO is scheduled to open on August 30, 2024, and close on September 3, 2024.

IPO Details

The Style Baazar Retail Limited IPO is a Book Built Issue totaling ₹834.67 crores, consisting of a Fresh Issue of 3.80 lakh shares worth ₹148.00 crores, and an Offer for Sale of 17.65 lakh shares totaling ₹686.67 crores. The share price band is set between ₹370 to ₹389 per equity share, with a minimum lot size of 38 shares. Retail investors must invest a minimum of ₹14,782, while High-Net-Worth Individuals (HNIs) must invest a minimum of 14 lots (532 shares), amounting to ₹206,948. The allotment date is expected to be September 5, 2024, with shares anticipated to list on the BSE and NSE by September 6, 2024.

Grey Market Premium (GMP)

The Grey Market Premium (GMP) for the Style Baazar Retail Limited IPO is yet to be determined. GMP offers insights into the potential demand and supply dynamics before the shares officially list on the stock exchange. However, investors should approach GMP with caution, as it is not an official indicator of the IPO's market performance.

Allotment Status

The allotment status for the IPO will be available on September 5, 2024. Investors can check their allotment status by following these steps:

Visit the IPO allotment status page.

Select Style Baazar Retail Limited IPO from the dropdown list.

Enter your application number, PAN, or DP Client ID.

Submit the details to view the allotment status.

Company Overview

Style Baazar Retail Limited is helmed by a seasoned leadership team, including Pradeep Kumar Agarwal, who has over 17 years of experience in operations and sales, and 21 years in finance. Rohit Kedia brings over 22 years of expertise in operations and procurement within the garment industry, while Shreyans Surana has more than 13 years of experience in strategic planning. Bhagwan Prasad rounds out the team with 16 years in operations and purchasing, and 13 years in finance and sales.

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Financial Performance

The company has shown impressive financial growth, with revenue increasing from ₹5,611.39 lakhs in FY22 to ₹9,828.26 lakhs in FY24. EBITDA rose from ₹683.52 lakhs in FY22 to ₹1,421.64 lakhs in FY24, and Profit After Tax (PAT) turned positive, increasing from ₹-80.07 lakhs in FY22 to ₹219.42 lakhs in FY24. This upward trajectory indicates strong financial health and operational efficiency.

For the Style Baazar IPO, the company is issuing shares at a pre-issue EPS of ₹3.14 and a post-issue EPS of ₹2.94. The pre-issue P/E ratio is 123.88x, and the post-issue P/E ratio is 132.31x, compared to the industry P/E ratio of 138.88x. The company's ROCE for FY24 is 18.39%, and ROE is 10.74%, suggesting that the IPO is fairly priced.

Investment Recommendation

Considering the company’s steady financial performance and reasonable valuation, the Style Baazar Retail Limited IPO is an attractive investment opportunity. Investors are encouraged to apply for this IPO for both listing gains and long-term growth.

Conclusion

The Style Baazar Retail Limited IPO offers a compelling investment prospect in a company that has shown consistent financial growth and has a strong leadership team. With a fair pricing strategy and promising future prospects, this IPO is well-suited for investors looking for both short-term gains and long-term potential. However, as with all investments, potential investors should carefully consider their risk tolerance and financial goals before making a decision.

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