VLCC IPO by Q4 FY18

VLCC, one of the largest home grown beauty and wellness companies in India, today said it was optimistic to hit the capital market by the fourth quarter of the current fiscal.
"Our IPO should have been completed but due to demonitization our merchant bankers advised us to wait. Now, we are going to file fresh DRHP with the regulator soon. We hope to come out with IPO between November '17 and March '18," VLCC founder Vandana Luthra said here today.
VLCC officials said that fresh capital raising plan of the company and quantum of dilution by existing shareholders "may change".

But, as per the old DRHP which had been valid till December 2016, the IPO comprised issue of fresh shares worth Rs 400 crore and an offer for sale of up to 37.67 lakh equity shares by the existing shareholders - Indivision India Partners and Leon International.
The Luthra family currently holds about 83 per cent in the company.
VLCC continues on acquisition spree to complete the boutique of offering in the wellness space to incresse its pie in the nearly Rs 1,30,000 crore industry.

"We have a plan to acquire four to five companies - all in wellness space," Luthra said.

The company was eyeing both international and domestic targets.
VLCC recently acquired doorstep beauty treatment service provider-- VanityCube and WellScience Health, a direct-selling dietary-supplements and nutraceuticals.
So far, VLCC has made four acquisitions.
Luthra said that at least three fourth of the wellness industry was controlled by the unorganised sector but with proposed GST in place, the picture was set to change.
"The unorganised sector not paying service tax was always a concern for us but with GST it will help us, " Luthra said.
VLCC would add some 70 wellness centres and a few institutes in the next two years.

Speaking about overseas expansion, she said that everything was ready for opening four centres in Pakistan with a partner but due to political situation they were yet to be opened.
On marketing front, Luthra said that the company would leverage digital marketing in more aggressive manner.