GoColors, Manyavar, Fabindia ‘Indian Fashion Companies’ line up IPOs worth Rs 6,000 crore
Indian fashion companies have lined up IPOs worth over Rs 6,000 crore in coming months. The first of these is being launched by women’s wear brand GoColors which is preparing to go public to raise Rs 800-1,000 crore. The brand joins apparel retailers such as Manyavar and FabIndia, which have lined up their initial share sales to bolster their balance sheets, provide an exit to investors, and tap market appetite for such stocks, two people familiar with the development said.
Fabindia Overseas also plan to launch an IPO worth Rs 3,000 crore by the end of thisy year. Ethnic wear brand Manyavar, owned by Vedant Fashions, has started working on a proposed initial public offering (IPO) to raise Rs 2,000-2,500-crore.
Owned by Go Fashion (India) and founded in 2010 by Vinod Saraogi and Prakash Saraogi, GoColors is involved in retailing women’s bottom-wear products. Sequoia and private equity firm ICICI Ventures own 42-43 per cent stake in the company.
The company plans to raise some fresh capital from the IPO, which will be used to expand its retail presence as well as for working capital requirements. The investors will also sell part of the shares through the IPO. The share sale is expected to happen in the second half of the fiscal.
