Genesis Colors Gets Nod for .₹ 500-cr IPO
Co to raise .₹ 380 cr via fresh share issue, rest will be on behalf of its investors seeking exit
New Delhi: Genesis Colors, the holding company of fashion brands like Satya Paul, received the capital markets regulator’s approval to make a ₹ 500-crore initial public offering (IPO).
Genesis Luxury, which retails brands like Jimmy Choo, Armani and Burberry in India, is a subsidiary of Genesis Colors.
Of the ₹ 500 crore it aims to raise, ₹ 380 crore will be through a fresh issue of shares while the rest will be on behalf of existing shareholders who want to monetise their holding, executive chairman Sanjay Kapoor said.
Genesis Group’s investors include Sequoia, Henderson, Mayfield and Saama Capital.
The draft red herring prospectus, or the initial offer document, was filed in last September.
Genesis Colors owns fashion brands Satya Paul and Bwitch, while Genesis Luxury markets and distributes luxury and premium brands such as Armani, Bottega Veneta, Jimmy Choo, Michael Kors and Coach in India. The company has joint venture arrangements with Burberry and Canali. Brands of Genesis Colors are present in 20 cities through over 100 standalone stores.
“They have a fairly good bouquet of brands which gives them a competitive pricing advantage which helps them influence real estate prices (to set up outlets),” said Vivek Kaul, head, retail services India, CBRE South Asia.
Last May, Genesis Group shuffled key management positions, which it stated were in line with plans to restructure and consolidate the business as one entity in 12-18 months as investors could consider an exit. Managing director Sanjay Kapoor was elevated to executive chairman, while Nikhil Mehra, the operations chief, was named the chief executive.
Co is the holding entity of fashion brands like Satya Paul and Bwitch