Vishal Mega Mart IPO
Incorporation & Overview Established in 2001, Vishal Mega Mart is a leading hypermarket chain in India, offering an extensive product portfolio including:
Apparel: Clothing and home furnishings.
Groceries: Staples and packaged food.
Electronics: Kitchen appliances and gadgets.
Home Essentials: Travel accessories and non-food items.
The company caters primarily to middle- and lower-middle-income groups through its Pan-India network of 645 stores, a mobile app, and an e-commerce website. As of September 30, 2024, Vishal Mega Mart is present in 414 cities across 28 states and 2 union territories.
Operating on an asset-light model, the company leases its distribution centres and stores while sourcing products from third-party vendors or manufacturing under its own brand.
IPO Promoters
Samayat Services LLP and Kedaara Capital Fund II LLP are the primary promoters.
Pre-Issue Holding: 96.46%
Post-Issue Holding: 76.02%
Key Strengths
Affordable Offerings: Targeted product portfolio for middle-income groups.
Pan-India Presence: Extensive network of 645 stores.
Strong Brand Portfolio: Diverse own-brand products across categories.
Technology-Driven Operations: Efficient and cost-effective management practices.
Customer Trust: Built on affordability, variety, and quality.
Experienced Leadership: Expertise in retail and consumer markets.
Associated Risks
Vendor Dependence: Heavy reliance on third-party vendors for consistent product supply.
Regulatory Challenges: Potential investigations leading to penalties or disruptions.
Evolving Consumer Trends: Difficulty in adapting to changing preferences.
Operational Challenges: Demand forecasting and inventory management risks.
Geographic Revenue Concentration: Heavy reliance on specific states.
Key Personnel Dependence: Loss of experienced personnel may impact operations.
External Threats: Vulnerability to natural disasters and civil unrest.
Vishal Mega Mart IPO: Key Details
IPO Dates: 11–13 December 2024
Price Band: ₹74–₹78 per share
Lot Size: 190 shares
Issue Size: ₹8,000 Crores
Retail Quota: 35%
GMP: 20% (only for information)
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