FSN E-Commerce Ventures Ltd., which owns online beauty and cosmetics retailer Nykaa, is now looking to expand its services to the Middle East and Europe as it gears up for its public share sale later this month, the company said on Monday.
The company has priced its initial public offering (IPO) at ₹1,085 to ₹1,125 per share, and could raise as much as ₹5350 crore on the upper end of the price band, giving it a valuation of as much as $7.11 billion. The three-day initial share sale will be open for subscription on Thursday, October 28 and conclude on November
Nykaa share sale to open on 28 October
The Offer comprises a fresh issue of equity shares aggregating up to Rs. 630 crores and an offer for sale of up to 41.9 million equity shares being offered by the selling shareholders. It includes a reservation of up to 250,000 equity shares for purchase by eligible employees.Speaking on the company’s growth plans, co-founder and chief executive officer of Nykaa, Falguni Nayar said that the company is actively looking at international expansion and plans to take Indian brands along with its private labels to international customers. “At the moment we are very keen to go into the Middle East, where we think there is a lot of affinity to Indian consumption, and want to export many of our Indian brands as well as our own brands […] The UK is another market where we’re starting out. Europe is another area of opportunity,” said Nayar during the press briefing. Nayar also added that Nykaa will look to launch its own ‘house of brands’ to cover for certain market gaps in the beauty and fashion industry. This ‘house of brands’ strategy was popularised by US-based startup Thrasio Holdings, in which a company acquires fast-growing online brands to build an assortment of products, while helping brands scale and significantly grow their business through investment in technology, working capital and marketing efforts. “We’ve always said that we will be a multi-brand retailer first with an extremely vibrant platform available to all our brand partners. So we will always be a retailer first, but within that there are always market gaps and ideas of brands that we can offer to the customers to make the experience better. So we will be a house of brands, also with a range of brands across beauty and fashion, that will contribute to a fair percentage of our net revenue,” added Nayar.
Source : https://www.livemint.com/industry/retail/ipobound-nykaa-looks-to-expand-into-middle-east-europe-11635172720804.html