The Securities and Exchange Board of India (SEBI) cleared IPO proposals of two portfolio firms of SoftBank-FirstCry and Unicommerce as per a report by the Economic Times.
Unicommerce, the e-commerce enterprise software developer, filed its draft papers with SEBI in January with the issues solely comprising of Offer For Sale (OFS) by existing investors to raise Rs 480-490 crore.
FirstCry, on the other hand refiled its draft prospectus with the market regulator on April 30 following queries on its key performance indicators (KPI).
The Pune-based omnichannel baby products retailer, FirstCry, as per the latest data has a network of 1,018 FirstCry and BabyHug stores across 508 cities with its own stores as well as franchises. Pine Kids, Cutewalk and Babyoye are among its other brands.
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With Premji Invest among its investors, FirstCry would be looking to raise $218 million (about Rs 1,1815 crore) only by selling the new shares with existing investors offloading 54 million shares by public offering through offer for sale (OFS).
It is believed that FirstCry may launch its IPO later in July. The IPO is expected to be worth $500 million (about Rs 4,163 crore) with primary and secondary shares included. The company which also includes family offices like Manipal Group's Ranjan Pai among its investors, was last valued at less than $3 billion in the private market and is considering its IPO valuation at around $4 billion, ET had earlier reported.
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The company stated that it would use its proceeds from the IPO's primary issue for setting up stores and warehouses besides expanding into Saudi Arabia.
FirstCry incurred a net loss of Rs 278 crore on operating revenue of Rs 4,818 crore for the nine months that ended on December. The Company's gross sales stood at Rs 5,650 crore during the period with 77% total sales generated through online, and the rest from offline retail stores.
In Unicommerce, SoftBank owns a stake of of 29.2 per cent, with AceVector and B2 Capital owning 38.2 per cent and 10% per cent respectively.
The Gurgaon-based Unicommerce tagged SoftBank as well as Snapdeal co-founders earlier in June as its promoters in an addendum filed to the draft prospectus.
In addition to this, SoftBank has also signed an indemnity agreement with Bahl and Bansal to protect itself and its executives from any liabilities that may arise out of the responsibilities of being deemed a promoter of Unicommerce, as per the report.
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