boAT Will Launch Mega IPO To Raise Rs 2000 Crore: IPO Launch Date, Price Band & More
- Imagine Marketing has filed a DRHP for an IPO of up to Rs. 2,000 crore with SEBI for it’s company Boat.
- The firm is going to use the IPO proceeds to repay or prepay debt.
- Boat is seeking a valuation of about $1.5 to 2 billion in the IPO.
- The company clocked a net profit of Rs. 78 crore in the last fiscal.
Imagine Marketing, the company that owns the brand Boat which produces earphones and smartwatches, filed a DRHP for an initial public offer (IPO) of up to Rs. 2,000 crore with regulatory board SEBI on Thursday.
What does the IPO consist of?
According to the DRHP, the IPO is going to consist of a new issue of shares worth up to Rs. 900 crore and an offer-for-sale of shares worth up to Rs. 1,100 crore. South Lake Investment is going to sell shares worth up to Rs. 800 crore in Imagine Marketing’s IPO.
The firm is planning on using the IPO proceeds to repay or prepay debt.
Boat brand valuation
An ET report stated that the New Delhi-based enterprise is expecting to seek a valuation of about $1.5 to 2 billion in the IPO that is to be floated this year.
Boat was last valued at around Rs. 2,200 crore when it raised Rs. 50 crore through Qualcomm Ventures in April last year. It is now looking for a valuation of around five to six times its revenue for this fiscal year, the report added that Boat is getting indications to price the IPO at revenue multiples of five to six times.
Axis Capital, Bofa Securities, Credit Suisse Securities, ICICI Securities are going to be the book running lead managers to the issue.
The company Boat was founded in 2016 and has emerged as one of the most illustrious homegrown direct-to-consumer brands. It has challenged the market leaders in the space of earphones and wearables.
The company clocked a net profit of Rs. 78 crore when the last fiscal year ended on March 31, 2021 on the back of Rs. 1,500 crore in revenue.