FirstCry IPO: Check Subscription Status, GMP Today

FirstCry IPO: The initial public offering (IPO) of e-commerce platform FirstCry’s parent Brainbees Solutions Ltd is going to be closed at 5 pm today. Till 4:05 pm on the final day of bidding on Thursday, the 4,193.73-crore IPO received a whopping 12.17 times subscription, garnering bids for 60,43,01,664 shares as against 4,96,39,004 shares on offer.

According to the latest data, the retail quota received a 2.18 times subscription, while the non-institutional investors category also got a 4.61 times subscription. The QIB category received a 19.30 times subscription.

The Brainbees Solutions IPO was opened on August 6. Its price band was fixed at Rs 440-Rs 465 apiece. The share allotment will likely be finalised on August 9, while its listing will take place on both BSE and NSE on August 13.

Brainbees Solutions Ltd is the parent company of e-commerce platform FirstCry.

Brainbees Solutions IPO GMP Today

According to market observers, unlisted shares of Brainbees Solutions Ltd are trading Rs 18 higher in the grey market than their issue price. The Rs 18 grey market premium or GMP means the grey market is expecting a 3.87 per cent listing gain from the public issue. The unlisted shares of Unicommerce eSolutions are trading at Rs 483 apiece in the grey market as against its upper issue price of Rs 465.

The GMP is based on market sentiments and keeps changing. ‘Grey market premium’ indicates investors’ readiness to pay more than the issue price.

Brainbees Solutions IPO: Details

The public issue of Pune-based Brainbees Solutions consists of a fresh issue of equity shares valued at Rs 1,666 crore and an OFS (offer for sale) component of up to 5.44 crore shares worth Rs 2,528 crore by existing shareholders. This takes the total issue size to Rs 4,194 crore.

Under the OFS, SVF Frog, a Cayman Islands-registered entity of Softbank, will sell 2.03 crore equity shares of Brainbees Solutions, and automaker Mahindra & Mahindra (M&M) will offload 28.06 lakh shares of the company.

Currently, Softbank holds 25.55 per cent stake in Brainbees Solutions, and M&M owns 10.98 per cent stake.

Apart from Softbank and M&M, others selling shares in the OFS are PI Opportunities Fund, TPG, NewQuest Asia Investments, Apricot Investments, and Schroders Capital. Further, individuals selling shareholders include veteran industrialist Ratan Tata.

The company will use net proceeds from the fresh issue for setting up stores under the brand ‘BabyHug’, investment in subsidiaries, overseas expansion, and sales and marketing initiatives. Besides, a portion will be used for corporate general purposes.

Brokerage houses have pegged the company’s market capitalisation at Rs 24,142 crore post issue.

Launched in 2010, FirstCry is India’s largest multi-channel, multi-brand retailing platform for mothers’, babies’ and kids’ products. It was set up to create a one-stop destination for parenting needs across commerce, content, community engagement, and education, based on brand affinity, loyalty and trust of customers.

Further, FirstCry established itself in the UAE and Saudi Arabia in 2019 and 2022, respectively.

Kotak Mahindra Capital Company Ltd, Morgan Stanley India Company, BofA Securities India, JM Financial and Avendus Capital are the book-running lead managers to the issue.