BrainBees Solutions Limited, the parent company of FirstCry, has successfully raised Rs 1,886 crore (approximately $227 million) from 71 anchor investors in preparation for its upcoming initial public offering (IPO). The company will offer 4,05,55,428 equity shares at a price of Rs 465 each, as indicated by recent data from the Bombay Stock Exchange.
Key anchor investors include major financial entities such as SBI, Fidelity, Goldman Sachs, ICICI AMC, HDFC, Kotak, Bajaj Allianz, Steadview, Morgan Stanley, and Max Life.
The IPO is set to open for public subscription from August 6 to August 8, with shares priced between Rs 440 and Rs 465, and a minimum bid quantity of 32 shares.
Before this round of anchor investments, SoftBank was the largest shareholder in FirstCry with a 25.53% stake. Other notable shareholders include Mahindra & Mahindra and Premji Invest with stakes of 10.97% and 10.36%, respectively. Founder Supam Maheshwari holds a 6% stake, and the ESOP pool represents 8.4% of the cap table.
Despite modest growth last fiscal year, FirstCry significantly reduced its losses by over one-third. The company’s operating revenue rose 15% to Rs 6,481 crore, while losses narrowed by 34% to Rs 321 crore in FY24. The company also saw an improved EBITDA margin during the same period.
According to the company’s Draft Red Herring Prospectus (DRHP), FirstCry operated 1,018 offline stores nationwide at the end of 2023, with 632 being franchise-owned and the remainder owned directly by the company.
