Cello World fixes IPO price at Rs. 617-648 per share
Cello World Ltd, a leading manufacturer of household items and stationery, has established a share price range of Rs. 617-648 for its Rs. 1,900-crore initial public offering (IPO), as per industry insiders. The public subscription for the IPO will commence on October 30 and end on November 1, with the anchor book opening for a single day on October 27. The company's shares are set to be listed on both BSE and NSE.
Offer details and promoters
The IPO consists entirely of an offer for sale (OFS) by the promoters and other existing shareholders, without any new equity share issuance. A portion of shares valued at up to Rs. 10 crore is reserved for subscription by eligible employees. The OFS includes the sale of equity shares by Pankaj Ghisulal Rathod, Sangeeta Pradeep Rathod, Gaurav Pradeep Rathod, Pradeep Ghisulal Rathod, Babita Pankaj Rathod, and Ruchi Gaurav Rathod.
Cello World's product portfolio and manufacturing facilities
Cello World's product offerings span three main categories: consumer houseware, stationery and writing instruments, as well as molded furniture and related items. In 2017, the company expanded into the glassware and opal ware market under the "Cello" brand. As of March 31, Cello World operates 13 manufacturing plants across five locations, including Daman, Baddi (Himachal Pradesh), Haridwar (Uttarakhand), Chennai (Tamil Nadu), and Kolkata (West Bengal). Additionally, the company is in the process of establishing a glassware production facility in Rajasthan.
Financial performance and lead managers
For FY23, the net profit of Cello World increased by 30% to Rs. 285 crore, up from Rs 219.52 crore in the previous fiscal year. The book-running lead managers for the IPO are Kotak Mahindra Capital Company Ltd, IIFL Securities Ltd, ICICI Securities Ltd, JM Financial Ltd, and Motilal Oswal Investment Advisors Ltd.
