IPO screener: Credo Brands Marketing issue closes today

Issue priced at ₹260-280; offer subscribed nearly 7 times.

the closing day for the initial public offering (IPO) of Credo Brands Marketing, based in Mumbai, is today. The IPO has witnessed a robust response, with a subscription rate of 6.94 times the total offering. Priced in the range of ₹260-280, the ₹549.80-crore IPO allows investors to bid for a minimum of 53 shares.

Subscription Overview Out of the 1.37 crore shares offered, the IPO has received bids for 9.53 crore shares. The retail investors’ segment saw a subscription rate of 8.76 times, while non-institutional and Qualified Institutional Buyers (QIB) portions were subscribed 11.47 times and 0.35 times, respectively.

Allocation Process The offer, facilitated through the Book Building Process, allocates not more than 50% to qualified institutional buyers, at least 15% to non-institutional bidders, and a minimum of 35% to retail individual bidders.

Entirely Offer for Sale (OFS) The ₹2 face value shares are entirely part of an offer for sale, comprising up to 1,96,34,960 shares. Promoters Kamal Khushlani, Poonam Khushlani, Andrew Khushlani, and investor shareholders like Concept Communication, Bela Properties, Jay Milan, and Sagar Milan will divest their shares under the OFS.

Anchor Investor Participation Before the IPO commenced, Credo Brands Marketing secured ₹165 crore from anchor investors. The company allocated 58.90 lakh shares at ₹280 per share to foreign and domestic long-only institutions, including Nippon Mutual Fund, HSBC Mutual Fund, Aditya Birla Sunlife Insurance, Kotak Mahindra Life Insurance, Bajaj Allianz Life Insurance, Integrated Core Strategies (Asia), Morgan Stanley Asia, SBI General Insurance, JM Mutual Fund, Subhkam Ventures, and Reliance General Insurance.

Key Players DAM Capital, ICICI Securities, and Keynote Financial Services Limited are the book running lead managers, while Link Intime India Private Limited serves as the registrar to the offer.

Company Profile Credo Brands Marketing focuses on providing a comprehensive wardrobe solution for various occasions in a customer’s life, offering a diverse range of products from shirts and t-shirts to jeans and chinos, addressing year-round clothing needs. Despite not manufacturing apparel, the company, founded by Kamal Khushlani 25 years ago, introduced the “Mufti” brand with a vision to redefine menswear and stay in tune with current fashion trends.