Mamaearth To List Rs2000 Crore IPO Before Diwali

Honasa Consumer Pvt Ltd operates direct-to-consumer companies like Mamaearth and Derma Co. According to the reports, Honasa Consumer Pvt Ltd. is planning to $1.2-$1.4 billion IPO before Diwali. Yes, you heard it right, Mamaearth, founded by Varun Alagh and Ghazal Alagh, is eyeing a listing of Rs10,000 crore to Rs12,000 crore before Diwali. The initial offering before Diwali could value Mamaearth between $1.2 billion to $1.4 billion. Three people with knowledge of the matter said Mamaearth is approaching investors for its anchor book for which it is accumulating Rs 800 crore to Rs 900 crore from institutional investors. In the following sections, we have mentioned a lot more about Mamaearth IPO listing plans before Diwali. Shift to the following section and read more details. Scroll down the page.

Mamaearth

It is said that Fidelity International and Capital Group are the investors lined up by Mamaearth to raise funds for the anchor book. The person familiar with the development said, “The book-building process has started around this valuation, and there is considerable interest from investors for that value,” Nevertheless, some domestic investors will also be included. “There will also be a lot of domestic investors,” Diwali season starts on November 10, 2023. Continue reading this article for more details.

For Mamaearth, the valuation of Rs2000 crore is a climb-down of sorts, as it was valued at $1.2 billion in January last year. When it raised $52 million Mamaearth became a part of the coveted unicorn club. However, Mamaearth’s first IPO attempt faced criticism last year over its valuation target of more than $3 billion. Afterward, the markets have tempered, funding has stopped, and some investors have marked down their portfolios. If Mamearth IPO goes through it will be the first of the new-age companies willing to go public after the lack of funding that began in 2022. However, the new-age companies are eyeing to exploit the opportunity to go ahead with their listing plans with the capital markets bouncing back.

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The founders of Mamaearth, Varun Alagh and Ghazal Alagh, combinedly hold around 37.5 percent stake in the company. Ghazal Alagh is likely to monetize around 1 percent of her stake, while Varun will sell 3 percent of his stakes as part of the offer-for-sale (OFS). The offer-for-sale (OFS), or stake sale by existing shareholders is expected to be around Rs1,500 crore- Rs1,600 crore. The total issue size is expected to exceed Rs 2,000 crore. Stay tuned to this website.

Amzad Khan
Amzad Khan

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