Nykaa owner FSN E-Commerce Ventures Ltd's initial public offering (IPO) will open on 28 October for subscription and close on 1 November.
According to persons in the know, the firm plans to raise as much as Rs 5,200 crore and anchor placement will open on 27 October for Rs 2,340 crore.
The firm has increased its fresh issue to Rs 630 crore from Rs 525 crore. The offer for sale (OFS) has reduced to 41.97 million shares from 43.11 million shares. The firm plans to list on 11 November.
Investors who will sell in the OFS include Sanjay Nayar Family Trust, TPG Growth IV SF Pte, Lighthouse India Fund III, Yogesh Agencies and Investments, JM Financial and Investment Consultancy Services, Sunil Kant Munjal, Harindarpal Singh Banga jointly with Indra Banga, Narotam Sekhsaria, Rishabh Mariwala, Mala Gaonkar, Jeenoo Khakhar jointly with Kanika Khakhar and Isha Khakhar, Michael Carlos, Samina Hamied, Sanjay Maliah, Vikram Sud and Karan Swani.
Currently, Falguni Nayar Family Trust and Sanjay Nayar Family Trust hold 22.33% and 25.72% stake, respectively, in the firm.
Kotak Mahindra Capital, Morgan Stanley India, Bofa Securities, Citigroup Global markets India, ICICI Securities, JM Financial are the book running lead managers to the issue.
Nykaa will be allocating Rs 35 crore from the issue to invest in its arms FSN Brands and Nykaa Fashions for funding the setup of new retail stores. Another Rs 35 crore and Rs 130 crore will be used for capital expenditure and repayment of debt.
Nykaa will also use Rs 200 crore for expenditure to enhance the visibility and awareness of its brands.
Nykaa was founded in 2012 by investment banker Falguni Nayar and currently it is a leading player in the online beauty aggregator segment.
The firm is a digitally native consumer technology platform, delivering a content-led, lifestyle retail experience to consumers. It has a diverse portfolio of beauty, personal care and fashion products, including its owned brand products manufactured by it.
As of March 2021, the company had cumulative downloads of 43.7 million across all our mobile applications and 86.7% of its online GMV came through its mobile applications.
Its offline channel comprises 73 physical stores across 38 cities in India over three different store formats -- Nykaa Luxe, Nykaa On Trend and Nykaa Kiosks.