Sai Silks (Kalamandir) IPO - Investment Rationale, Issue Details, Financials, Risks: Reliance Securities

BQ Prime’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BQ Prime’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..Reliance Securities' IPO Report.Sai Silks (Kalamandir) Ltd. will launch its initial public offering today and will be closed on September 22. The price band for the Rs 1,201 crore IPO has been fixed at Rs 210-222 Apiece. The minimum order quantity is 67 shares.The issue comprises of fresh issue of 2.7 crore shares worth Rs 600 crore and an offer-for-sale of 2.71 crore shares aggregating to Rs 601 crore..Object of the IssueExpansion of new stores and ware housesRepayment of borrowingsGeneral corporate purposes..StrengthsLeading ethnic wear player of the Southern IndiaStrong brands to attract all segments of customersEfficient business model in offline and onlineExpand footprint within India through owned stores and franchise network..Key RiskTaste of consumer preferences changes leads to high inventoryConcentration of stores located in Southern India.Financials in brief On the financial front, Kalamandir reported a turnover of Rs 677 Crore, Rs 1129 crore and Rs 1351 crore for FY21, FY22 and FY23 respectively, on a consolidated basis. It posted net profit of Rs 5.1 crore, Rs 57.7 crore and Rs 97.6 crore respectively for the aforementioned period. While the company’s top-line continued to grow, registering a compound annual growth rate of ~41% over FY21-23, while the bottom line has grown exponentially with higher margins improvement over the past few years..About the Company Sai Silks (Kalamandir), established in 2005, headquartered in Hyderabad is one of the largest apparel retailers in South India offering retail textile products such as sarees, women‘s wear, men‘s wear and kids wear. Sai Silks (Kalamandir), through its four store formats including ‘Kalamandir‘, ‘VaraMahalakshmi Silks‘, ‘Mandir‘ and ‘KLM Fashion Mall‘, offers its products to various segments of the market including premium ethnic fashion, ethnic fashion for middle income and value fashion, with a variety of products across different price points, thereby catering to customers across all the market segments through offline and online marketplaces..Click on the attachment to read the full IPO report:.Sai Silks (Kalamandir) IPO: All You Need To Know .DISCLAIMERThis report is authored by an external party. BQ Prime does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BQ Prime..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

Sai Silks (Kalamandir) IPO - Investment Rationale, Issue Details, Financials, Risks: Reliance Securities

Issue opens today and will be closed on Sep 22. The price band for the Rs 1,201 crore IPO has been fixed at Rs 210-222 Apiece.

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