Studds Accessories Gears Up for IPO with Rs 3,500 Crore Valuation
Studds Accessories Ltd., India's largest two-wheeler helmet manufacturer by volume, is set to launch its IPO from October 30 to November 3, 2023. The IPO is structured as an offer-for-sale of up to 77.9 lakh equity shares by promoters and existing shareholders. Key selling shareholders include Madhu Bhushan Khurana (38 lakh shares) and Sidhartha Bhushan Khurana (8 lakh shares). The company's revenue grew from Rs 529.02 crore to Rs 583.82 crore, with profit increasing from Rs 57.23 crore to Rs 69.64 crore. Valued at over Rs 3,500 crore based on its last share transaction, the IPO is managed by IIFL Capital Services and ICICI Securities.
*this image is generated using AI for illustrative purposes only.
India's largest two-wheeler helmet manufacturer by volume, Studds Accessories Ltd., is set to launch its Initial Public Offering (IPO) on October 30, 2023. The IPO, which will close on November 3, marks the company's second attempt at going public after its initial filing with SEBI in 2018.
IPO Details
The offering is structured entirely as an offer-for-sale (OFS) of up to 77.9 lakh equity shares by promoters and existing shareholders. It's important to note that the company will not be raising any fresh capital through this IPO.
Key Shareholders and Offer Structure
The primary selling shareholders in this IPO include:
| Shareholder | Number of Shares Offered |
|---|---|
| Madhu Bhushan Khurana (Promoter) | 38.00 lakh shares |
| Sidhartha Bhushan Khurana (Promoter) | 8.00 lakh shares |
Financial Performance
Studds Accessories has demonstrated financial growth:
| Fiscal Year | Revenue (in Rs crore) | Restated Profit (in Rs crore) |
|---|---|---|
| FY 2024 | 529.02 | 57.23 |
| FY 2025 | 583.82 | 69.64 |
This represents a year-on-year revenue growth of approximately 10.4% and a profit increase of about 21.7%.
Valuation and Recent Transactions
Based on its last share transaction in August 2024, Studds Accessories is valued at over Rs 3,500 crore.
IPO Management
The book-running lead managers for this IPO are:
- IIFL Capital Services
- ICICI Securities
Investor Considerations
Potential investors should note that:
- Studds Accessories holds a leading position in the two-wheeler helmet market.
- The IPO is structured as an OFS, meaning proceeds will go to the selling shareholders rather than the company.
- The company's financial performance and market position should be carefully evaluated.
As the IPO approaches, market observers and potential investors will be watching for further details on the price band and lot size, which are yet to be announced.
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