Major supermart Vishal Mega Mart, promoted by Kedaara, has submitted its amended draft documents to capital markets regulator SEBI for an IPO of equity shares with a face value of Rs. 10 apiece, with a maximum value of Rs. 8,000 crore through an Offer for Sale (OFS) by promoter Samayat Services LLP.
Currently, Samayat Services LLP owns 96.55 percent of the largest supermart located in Gurugram.
Following Sebi’s approval of Vishal Mega Mart’s secret offer document on September 25, 2024, the updated draft filing (UDRHP I) was submitted. The corporation used the private pre-filing method to submit its offer document in July. Lastly, the company must update the DRHP-II (UDRHP-II) after taking into account the modifications brought about by public feedback.
Vishal Mega Mart is a one-stop shop for Indian customers in the middle and lower middle classes. Fast-moving consumer goods (FMCG), general merchandise, and clothes are the three main product categories covered by the product range, which consists of both in-house and third-party brands. It will have 626 Vishal Mega Mart locations in India as of June 30, 2024, in addition to a website and a mobile app.
Vishal Mega Mart was ranked among the three leading offline-first diversified retailers in India, based on retail space as of March 31, 2024 (Source: RedSeer Report). It is also the fastest-growing leading offline-first diversified retailers in India, based on profit after tax growth between Financial Years 2021 and 2024, and among the two leading offline-first diversified retailers in India in terms of same-store sales growth for Financial Year 2024 (Source: RedSeer Report).
According to Redseer report, India’s aspirational retail market was valued at Rs 68-72 trillion in 2023 and is projected to reach Rs 104-112 trillion by 2028, growing at a CAGR (compound annual growth rate) of 9 per cent. The shift towards organised retail is driven by higher quality expectations, wider product assortments, better pricing (especially in FMCG), urbanisation and opportunities for organised players to grow.
Kotak Mahindra Capital Company, ICICI Securities, Intensive Fiscal Services, Jefferies India, J.P. Morgan India and Morgan Stanley India Company are the book-running lead managers to the issue.
