Monte Carlo Fashions IPO subscribed 7.83 times

The IPO receives bids for 2.97 crore shares

The initial public offer (IPO) of Monte Carlo Fashions was subscribed 7.83 times. The IPO received bids for 2.97 crore shares compared with 38.03 lakh shares on offer, as per data NSE data.

The issue opened for subscription on 3 December 2014 and closed on 5 December 2014. The company had set price band of Rs 630 to Rs 645 a share for the IPO.

Categorywise, qualified institutional buyers' (QIBs) category was subscribed 13.96 times, non institutional investors' category was subscribed 1.71 times and retail individual investors' (RIIs) category was subscribed 6.96 times.

Monte Carlo Fashions had on 2 December 2014 raised Rs 105.07 crore through pre-initial public offer (IPO) placement of 16.29 lakh shares to anchor investors at Rs 645 per share. The anchor investors included Aditya Birla Private Equity Trust through its two funds, DB International (Asia), Tata Trustee Co, Tata Mutual Fund and Birla Sun Life Trustee Co. Birla Mutual Fund has applied through six schemes.

The issue of 54 lakh equity shares of face value of Rs 10 each, i.e., 25% of the share capital, was an offer for sale by the promoters and members of the promoter group (offering 17.42% of the share capital) and by KIL (offering 7.58% of the share capital). Post offer, KIL will hold 10.94% and the promoter and promoter group around 63.63% of the total post issue share capital of Rs 21.73 crore.

The object of the issue was to achieve the benefits of listing the equity shares on the stock exchanges and to further enhance the visibility and brand image among the existing and potential customers and provide liquidity to the existing shareholders.

The company's net profit fell 11.58% to Rs 48.90 crore on 24.55% rise in net sales to Rs 503.73 crore in the year ended 31 March 2014 (FY 2014) over the year ended 31 March 2013 (FY 2013).

Monte Carlo Fashions is one of the leading Indian Apparel players. Its brand Monte Carlo has been recognized as a super brand for woolen knitted apparel in each edition of Consumer Super brands India since its inception in 2004. The company primarily caters to the premium and mid premium branded apparel segment for men, women and kids, offering a comprehensive range of woolen, cotton and cotton blended knitted and woven apparel and home furnishings through 196 exclusive Monte Carlo brand outlets and more than 1,300 multi-brand outlets (MBOs).

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