More Retail Prepares for ₹2000 Crore IPO, Aims 3000 Stores by 2030
You're reading Entrepreneur India, an international franchise of Entrepreneur Media.
More Retail, owned by the Amazon-Samara Capital partnership, is reportedly planning an INR 2,000 crore initial public offering (IPO) in the upcoming 12-18 months, with a dilution of approximately 10 per cent of its equity, said Vinod Nambiar, More Retail's managing director Vinod Nambiar, according to the Economic Times.
The report said that the listing will be mostly through a fresh capital infusion and most likely no offer for sale (OFS) component, as the Amazon-Samara's investment entity based in Singapore is unlikely to offload its shares as part of the IPO.
Amazon and Samara currently hold 51 percent and 48 percent of More Retail, respectively, with the remaining 1 percent held by high-net-worth individuals (HNIs) and various family offices.
Initially, More Retail was a part of Aditya Birla Group, and then sold to its investors Samara Capital and Amazon, in 2019 for INR 4,300 crore. Since the purchase, the promoters have brought in INR 900 crore in capital, which was mainly used towards reducing its debt, according to Nambiar.
According to the report, the company's remaining debt is part term loan and part non-commercial borrowings. Nambiar also told ET that the current business model is not capital hungry, as opening a More Retail store only costs INR 30 lakh because of the company's leasing model with all its real estate.
Nambiar also said that the company will use the fresh capital through IPO to bolster its business operations and reduce some of its INR 500 crore debt. More Retail is also planning to expand its physical store presence to 3,000 by 2030. Currently, the company operates more than 800 stores across the country.
More Retail enjoys a strong presence in South India, Haryana, NCR, Punjab, and West Bengal, while actively expanding to the eastern front through Jharkhand and Odisha this financial year. The retail chain has also exited saturated areas such as Mumbai.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
4 minutes ago
- Yahoo
Google to pay $36M fine for anticompetitive deals with Australia's largest telcos
MELBOURNE, Austalia (AP) — Google has agreed to pay a 55 million Australian dollar ($36 million) fine for signing anticompetitive deals with Australia's two largest telcos that banned the installation of competing search engines on some smartphones, the U.S. tech giant and Australia's competition watchdog said. The Australian Competition and Consumer Commission said in a statement it had commenced proceedings in the Australian Federal Court on Monday against the Singapore-based Google Asia Pacific division. The court will decide whether the AU$50 million ($36 million) penalty is appropriate. Under the anticompetitive agreements, which were in place for 15 months until March 2021, Telstra and Optus only pre-installed Google Search on Android phones sold to customers. Other search engines were excluded. In return, the telcos received a share of the advertisement revenue Google generated from those customers. Google accepted that the agreements were likely to have the effect of 'substantially lessening competition,' the commission said. Google has also signed a court-enforceable undertaking that commits the company to removing certain pre-installation and default search engine restrictions from its contracts with Android phone manufacturers and telcos, the commission said. The tech company said in a statement: 'We're pleased to resolve the ACCC's concerns, which involved provisions that haven't been in our commercial agreements for some time.' Commissioner chair Gina-Cass Gottlieb said: "Conduct that restricts competition is illegal in Australia because it usually means less choice, higher costs or worse service for consumers.' 'Importantly, these changes come at a time when AI search tools are revolutionising how we search for information, creating new competition,' Cass-Gottlieb added. Last year, Telstra, Optus and their smaller rival TPG agreed to court-enforceable undertakings with the commission that they would not renew or make similar deals with Google to limit search options. Rod Mcguirk, The Associated Press Sign in to access your portfolio
Business Insider
4 minutes ago
- Business Insider
Three charts show Shein's big leaps in a key market ahead of its IPO
Shein had a blockbuster year in the UK in 2024 ahead of its highly anticipated London IPO. The Singapore-based fast fashion giant posted annual revenue hikes of more than 30% in the UK and a profit increase of more than 55% compared to 2023, per a company filing on August 13. It also more than tripled its head count in the UK. The country is Shein's third-largest market, per Reuters. The filing comes after the company confidentially filed for a Hong Kong IPO in early July, the Financial Times reported, citing anonymous sources. It has been gunning for a London IPO. Reuters, citing anonymous sources, reported in April that the company had submitted a prospectus to the UK financial conduct authority, which was approved. However, its appeal for a foreign IPO was rejected by the China Securities Regulatory Commission, per Reuters. It is still in the process of going public in the UK. Here are some charts to visualize how Shein fared in the UK in 2024. Revenue Shein posted UK revenues of £2.046 billion in 2024, or about $2.78 billion. This was a 32% increase from 2023, when it earned revenues of £1.550 billion. Profit for the year According to the filing, the company reported a 56.6% increase in profits from 2023 to 2024 in the UK. Its profits increased from £24.4 million in 2023 to £38.3 million in 2024. Head count Shein ramped up its workforce in the UK in 2024, nearly tripling its head count. According to the filing, Shein's UK employee count rose from 33 at the end of 2023 to 91 at the end of 2024. The employees were involved in administrative, sales, and marketing roles. "The Company had 91 employees during the year to 31 December 2024 who were primarily providing marketing expertise for the UK market," it added. The filing added that of the 91 employees, 23 were men and 68 were women. While its sales have soared, the company has also been the subject of scrutiny, with regulators investigating its operations. In May, the European Commission said it had conducted an investigation into Shein. The organization accused Shein of engaging in multiple practices "in breach of EU law." These included offering fake discounts, using deceptive product labels, and making misleading sustainability claims. Its US operations have also been affected by President Donald Trump closing the de minimis loophole, which allowed small packages under $800 to enter the US tax-free. It had to increase its prices in the US to offset Trump's tariffs.
San Francisco Chronicle
5 minutes ago
- San Francisco Chronicle
Google to pay $36M fine for anticompetitive deals with Australia's largest telcos
MELBOURNE, Austalia (AP) — Google has agreed to pay a 55 million Australian dollar ($36 million) fine for signing anticompetitive deals with Australia's two largest telcos that banned the installation of competing search engines on some smartphones, the U.S. tech giant and Australia's competition watchdog said. The Australian Competition and Consumer Commission said in a statement it had commenced proceedings in the Australian Federal Court on Monday against the Singapore-based Google Asia Pacific division. The court will decide whether the AU$50 million ($36 million) penalty is appropriate. Under the anticompetitive agreements, which were in place for 15 months until March 2021, Telstra and Optus only pre-installed Google Search on Android phones sold to customers. Other search engines were excluded. In return, the telcos received a share of the advertisement revenue Google generated from those customers. Google accepted that the agreements were likely to have the effect of 'substantially lessening competition,' the commission said. Google has also signed a court-enforceable undertaking that commits the company to removing certain pre-installation and default search engine restrictions from its contracts with Android phone manufacturers and telcos, the commission said. The tech company said in a statement: 'We're pleased to resolve the ACCC's concerns, which involved provisions that haven't been in our commercial agreements for some time.' 'Importantly, these changes come at a time when AI search tools are revolutionising how we search for information, creating new competition,' Cass-Gottlieb added. Last year, Telstra, Optus and their smaller rival TPG agreed to court-enforceable undertakings with the commission that they would not renew or make similar deals with Google to limit search options.
