Baazar Style Retail Ltd. announced on Monday that it has secured Rs 37 crore from venture capital fund Volrado Ventures Partners Fund II in a pre-IPO round.
The company has undertaken a private placement of 9,56,072 equity shares to Volrado Ventures Partners Fund II, at an issue price of Rs 387 apiece.
As a result, the company's planned IPO size has been reduced to Rs 148 crore, down from the previously projected Rs 185 crore.
The Kolkata-based company's initial public offering will also include an offer-for-sale component of up to 1.68 crore shares, which will be sold by promoter group entities and other shareholders, as detailed in the draft red herring prospectus.
Under the OFS, Rekha Rakesh Jhunjhunwala will sell 27.23 lakh equity shares, Intensive Softshare Pvt. will offload 22.40 lakh shares and Intensive Finance Pvt. will divest 14.87 lakh shares.
Also, Chandurkar Investments Pvt., Subroto Trading & Finance Co., Rajnish Gupta, Madhu Surana, Sabita Agarwal, Rekha Kedia, Shakuntala Devi and D K Surana HUF will offload shares in the OFS.
Proceeds from the fresh issue will be utilised for debt payment and for general corporate purposes.
Bazaar Style Retail is one of the leading players in the value retail market in West Bengal and Odisha. Additionally, its other core and focus markets include Assam, Bihar, Jharkhand, Andhra Pradesh, Tripura, Uttar Pradesh and Chhattisgarh. As of December 2023, the company had 153 stores.
Axis Capital, Intensive Fiscal Services Pvt., and JM Financial Ltd. are the book-running lead managers to the issue.
(With inputs from PTI)
Essential Business Intelligence, Continuous LIVE TV, Sharp Market Insights, Practical Personal Finance Advice and Latest Stories — On NDTV Profit.
