The Hindu Business Line : Koutons Retail public issue opens on Sept 18

Eyeing new areas: Mr DSP Kohli, (right) Chairman, Koutons Retail India Ltd, with Mr H.S. Sidhu, Executive Vice-President, at a press conference in Mumbai to announce the company’s IPO.

Our Bureau Mumbai, Sept. 7 Koutons Retail India Ltd, an integrated apparel and retail company proposes to enter the capital market with an initial public offering of 35.24 lakh equity shares of face value Rs 10 each.

Exclusive outlets

The issue, which is being made through a 100 per cent book building process, opens on September 18 and closes on September 21. The price band has been fixed at Rs 370-Rs 415.

Of the total issue, 26.07 lakh equity shares are a fresh issue while 9.16 lakh equity shares are on offer for sale from current shareholders. Of the total shares, up to 50,000 equity shares are reserved for eligible employees. The issue will constitute 11.54 per cent, while the net issue will constitute 11.37 per cent of the post issue capital of the company. The equity shares are proposed to be listed on BSE and NSE.

The company plans to raise between Rs 130.40-146.26 crore in order to fund its plans of setting up of exclusive brand outlets of the company, establish a new integrated manufacturing facility, purchase plant and machinery to increase the finishing and manufacturing capacity and improvement of its information and technology network.

The company proposes to open 140 exclusive brand outlets (EBO’s) for its brands, Koutons and Charlie Outlaw in the next two years. The company also intends to set up a new manufacturing facility for which they have been allotted 13,000sq meters of land on a free hold basis by Haryana Urban Development Authority at Gurgaon. For the year ended March 31, 2007, the company’s total income was 403.62 crore, compared to Rs 158.38 crore in the previous year. Net profit stood at Rs 34.49 crore, compared to Rs 13.19 crore in FY06.

JM Financial Consultants Private Ltd is the book running lead manager, while Karvy Investor Services is the co-book running lead manager to the issue.

More Stories on : IPOs | Readymade Garments | Retailing

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Stories in this Section
HDFC hits all-time high

Ingersoll Rand to get Rs 103 cr by selling its units

Bears prevail

Sub-prime fallout: Beyond stock markets

HDFC, Fidelity pick Corp Bank stake in NSE

Meet on capital markets

Stock options on cards for AI, Indian staff

Koutons Retail public issue opens on Sept 18

Diversified equity funds close to 52-week peaks