Baazar Style Retail Mobilises Rs 37 Crore Ahead Of IPO

Baazar Style Retail Ltd raised Rs 37 crore from Volrado Ventures Partners Fund II in a pre-IPO round, reducing its fresh issue size to Rs 148 crore. The IPO includes an Offer-For-Sale by promoter entities. The funds will be used for debt payment and corporate purposes. The company saw improved financial performance in 2023.

Baazar Style Retail Ltd has successfully raised Rs 37 crore from Volrado Ventures Partners Fund II in a recent pre-IPO round, the company announced on Monday. With this funding, the slated IPO's fresh issue size is now reduced to Rs 148 crore from an earlier Rs 185 crore.

The Kolkata-based retailer's IPO also features an Offer-For-Sale (OFS) component amounting to up to 1.68 crore shares disposed by promoter group entities and other shareholders. Among those selling shares are prominent figures such as Rekha Rakesh Jhunjhunwala, who will offload 27.23 lakh equity shares, and companies like Intensive Softshare Private Ltd, divesting 22.40 lakh shares.

The proceeds from this fresh issuance are earmarked for debt repayment and general corporate purposes, the company detailed in its draft red herring prospectus (DRHP). Notably, Baazar Style Retail recorded significant financial growth, clocking a profit of Rs 5.10 crore in FY 2023 after a net loss the previous year, with a revenue boost from Rs 551.12 crore to Rs 787.90 crore. The IPO process is being managed by Axis Capital, Intensive Fiscal Services, and JM Financial.