Go Fashion slips 5% after over 10% equity change hands on NSE

Shares of Go Fashion (India) slipped 5 per cent to Rs 1,135 on the National Stock Exchange (NSE) in Monday’s intra-day trade after over 10 per cent equity of the speciality retail company changed hands.

Till 09:16 AM; around 6.87 million shares representing 12.73 per cent of total equity of Go Fashion had changed hands on the NSE, the exchange data shows. The names of the buyers and sellers were not ascertained immediately.

According to reports, the Indian arm of US venture capital firm Sequoia Capital was planning to sell 10 per cent stake in Go Fashion (India) worth Rs 625 crore on Monday in block deals.

The sale of the fashion retailers’ shares was be conducted at a floor price of Rs 1,135 a share. JM Financial was to be the broker for the transaction.

Sequoia India & Southeast Asia last week rebranded to Peak VX Partners, with the Sequoia Capital splitting into three entities. The venture capital firm will now manage its AUM in the region of over $9.2 billion across 13 funds independently, the Business Standard reported.

Go Fashion (India) is one of the leading women’s bottom-wear brand in India engaged in the development, design, sourcing, marketing and retailing a range of women’s bottom-wear products under the brand, ‘Go Colors’.

For the financial year 2022-23 (FY23), the company’s revenues grew by 66 per cent year-on-year (YoY) to Rs 665 crore and profit after tax grew by 133 per cent YoY to Rs 83 crore. This has been on the back of volume growth and consistently increasing the number of EBOs, the company said.

In Q4 FY23, the company has net added 26 new stores, and in FY23 the company net added 127 new stores. The management said it looks forward to continuing innovative and creative approach and launch more designs while providing more brand destinations for consumers which will help the company grow at 20 per cent plus CAGR and gain market share in the coming years.