Vishal Mega Mart IPO Overview

The Vishal Mega Mart IPO is set to raise Rs 8,000 crores in a book-built offer for sale. The IPO will open for subscription on December 11, 2024, and close on December 13, 2024. The allotment of shares is expected to be finalized on December 16, 2024, with the listing scheduled for December 18, 2024 on both the BSE and NSE.

The price band for the IPO is yet to be announced, and it will be finalized shortly before the opening date. This IPO is being managed by a consortium of lead managers, including Kotak Mahindra Capital Company Limited, ICICI Securities Limited, Intensive Fiscal Services Private Limited, Jefferies India Private Limited, J.P. Morgan India Private Limited, and Morgan Stanley India Company Pvt Ltd. Kfin Technologies Limited will serve as the registrar for the issue.

About Vishal Mega Mart Limited

Founded in 2001, Vishal Mega Mart is a hypermarket chain offering a wide variety of products, including apparel, groceries, electronics, and home essentials. The company operates a multi-brand model, featuring both own and third-party brands to cater to a diverse customer base. It focuses on serving middle and lower-middle-income groups, particularly through its network of 645 stores spread across 414 cities as of September 30, 2024.

The company has 16,537 employees and operates using an asset-light business model, where it leases stores and distribution centers. Vishal Mega Mart also has a strong online presence through its mobile app and website, which allows consumers to shop across a wide range of categories like clothing, home furnishings, food, and FMCG products.

Key Strengths of Vishal Mega Mart:

• Large Consumer Base: The company serves a vast and growing section of the Indian population with a focus on middle and lower-middle-income groups.
• Diverse and Growing Portfolio: The company offers an extensive range of products under its own private labels, including apparel, home essentials, and FMCG.
• Pan-India Presence: With a track record of consistent growth, Vishal Mega Mart operates across 28 states and 2 union territories.
• Technology-Enabled Operations: The company utilizes systems-driven operations to ensure efficiency and scalability across its business processes.
• Experienced Management Team: Vishal Mega Mart has a seasoned management team that has demonstrated its ability to deliver growth in both revenue and profit.

Financials & Operational Highlights:

• Vishal Mega Mart's asset-light business model means the company does not own its stores or distribution centers, instead opting to lease them.
• The company focuses on third-party vendors for manufacturing its products, which ensures flexibility and variety across its range of offerings.
• As of September 30, 2024, the company has a significant presence in the offline retail market, with 645 stores in 414 cities.

Outlook for Vishal Mega Mart IPO:

With its strong track record of revenue growth, capital efficiency, and a consumer-centric approach, Vishal Mega Mart is well-positioned to cater to the increasing demand for affordable retail options in India. The IPO presents an opportunity for investors to participate in a company that is poised to continue its growth trajectory across India and in the retail sector.

The Upcoming IPOs in this week and coming weeks are Dhanlaxmi Corp, Jungle Camps, Toss The Coin, Vishal Mega Mart, Purple United, Rosmerta Digital and Avanse Financial.

The Current active IPO is Nisus Finance and Emerald Tyre Manufacturers.