Cello World's Rs. 1,900cr IPO opens on October 30
Cello World, a popular consumer goods company, is preparing to launch its Rs. 1,900-crore initial public offering (IPO) on October 30. The IPO, set to close on November 1, is an offer for sale by shareholders, including the company's promoters. The Rathod family, who are the promoters of Cello World, will receive the proceeds from the IPO. The price range for the IPO will be announced on October 25, with the anchor book opening on October 27.
About the company
Based in Mumbai, Cello World has allocated 50% of the issue size for qualified institutional buyers, 15% for high-net-worth individuals, and the remaining 35% for retail investors. The company operates in various consumer sectors, including houseware, writing instruments and stationery, molded furniture and related products, and consumer glassware. Cello World has 13 manufacturing facilities across five locations and is currently establishing a glassware manufacturing plant in Rajasthan.
Financial performance
In FY23, Cello World's net profit rose by 30.5% to Rs. 266.1 crore, while revenue increased by 32.2% to Rs. 1,796.7 crore. However, the margin declined by 110 basis points to 23.4%. In Q1 FY24, the company's net profit grew by 25.2% to Rs. 77.4 crore and revenue by 9% to Rs. 471.8 crore. Cello World plans to finalize the share allotment basis by November 6 and credit shares to eligible investors' demat accounts by November 8.
Listing date
Cello World's stock is set to be listed on the BSE and NSE on November 9. The merchant bankers for the issue include Kotak Mahindra Capital Company, ICICI Securities, IIFL Securities, JM Financial, and Motilal Oswal Investment Advisors. Link Intime India serves as the registrar.
