Harindarpal Singh Banga and his wife Indra Banga on Thursday divested a 2.1 per cent stake in FSN E-Commerce Ventures, the parent company of fashion and beauty retailer Nykaa, through bulk deals worth Rs 1,213 crore. Following the stake sale, shares of Nykaa declined by 4 per cent to Rs 203.50 apiece on the BSE, and by 3.82 per cent to Rs 203.50 per piece on the NSE. Harindarpal Singh is a commodities billionaire and Chairman and CEO of Hong Kong-based Caravel Group. Banga was an early investor in Nykaa, which went public in 2021. As per the deal, up to 6 crore equity shares of FSN were sold at a final price of Rs 202.25 per share. This represents a discount of about 4.4 per cent to FSN's closing price of Rs 211.59 on NSE on Wednesday, as per the term sheet accessed by PTI. Goldman Sachs (India) Securities and J P Morgan India were the brokers for the deal. The transaction comprises a sale of approximately 6 crore shares amounting to around 2.1 per cent stake in FSN. At the final
Nykaa shares fell nearly 5 per cent on Thursday after about 65.3 million shares changed hands in multiple block deals
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Nomura described Nykaa's growth plans in the BPC segment as being "in line with our view," and highlighted the company's strong positioning in the premium beauty space.
FSN E-Commerce Ventures expects strong margin gains and repeat business to help Nykaa Fashion achieve profitability, while brand GMV target for FY30 is set at Rs 6,000 crore
Nykaa posted strong BPC performance in Q4 FY25, but regulatory risks and intense competition may slow margin expansion, with analysts seeing limited upside in its stock
Nykaa share price slips 4 per cent in trade despite posting strong Q4 numbers; Check more details here
Strong growth in beauty, fashion, and Superstore verticals lifted Nykaa's Q4 PAT 193% YoY, while revenue rose 24% and GMV expanded 27% to ₹4,102 crore in Q4FY25
FSN E-Commerce, Nykaa's parent company, reported a 193% rise in Q4 net profit to ₹20 crore, with revenue up 24% to ₹2,062 crore, driven by strong growth in its core beauty segment
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In the Q4 update, released on Sunday, Nykaa witnessed a continued growth momentum in Q4FY2025 with consolidated net revenue growth expected to be in the low to mid-twenties Y-o-Y
The company's revenue growth for FY25 is also expected to be in the mid-20 per cent range
Shares of FSN E-Commerce Ventures are down nearly 30 per cent since its peak in August last year
The primary objective of the new subsidiary is to engage in the trading and dealing of a wide range of products, including cosmetics, toiletries, beauty and personal care item
The uptick initially in the Nykaa share price came after Zurich, Switzerland-based brokerage firm UBS upgraded Nykaa stock to 'Buy', from 'Neutral'
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