Cello World Ltd., a leading household consumer products and stationery maker, has filed its draft papers with the Securities and Exchange Board of India (SEBI) to raise Rs 1,750 crore through an initial public offering (IPO). Cello IPO will be a pure offer-for-sale, comprising up to Rs 300 crore by Pradeep Ghisulal Rathod, up to Rs 670 crore by Pankaj Ghisulal Rathod, up to Rs 380 crore by Gaurav Pradeep Rathod, up to Rs 200 crore by Sangeeta Pradeep Rathod, and up to Rs 100 crore each by Babita Pankaj Rathod and Ruchi Gaurav Rathod.
Cello World, a Mumbai-based company that is backed by ICICI Venture, owns a 54.9% stake in Wim Plast Ltd., a listed company that manufactures plastic-molded furniture, insulated ware, and air coolers. Cello World competes with brands such as Milton, Borosil, Princeware, Stovekraft, Kokuyo Camlin, Flair Writing, among others, in the household products and stationery segments.
The company has a diversified product portfolio across categories such as kitchenware, tableware, glassware, thermoware, storage containers, cleaning products, writing instruments, and office stationery. The company has a strong distribution network of over 1.5 lakh retailers and over 2,000 distributors across India.
The company intends to use the proceeds from the IPO for repayment or prepayment of certain borrowings availed of by the company and its subsidiaries, funding capital expenditure requirements of the company and its subsidiaries, and general corporate purposes. The company also plans to expand its manufacturing capacity and enhance its brand visibility through marketing initiatives.
Cello World IPO will be managed by five investment banks: Kotak Mahindra Capital Co., ICICI Securities Ltd., IIFL Securities Ltd., JM Financial Ltd. and Motilal Oswal Investment Advisors Ltd. The company is expected to file the final prospectus with SEBI by September this year and launch the IPO by October. The Cello IPO will be one of the largest public issues in the consumer sector in India.
Source:
(1) Cello World files draft IPO papers with Sebi to raise Rs 1,750 crore. https://www.moneycontrol.com/news/business/ipo/cello-world-files-draft-ipo-papers-with-sebi-to-raise-rs-1750-crore-11190511.html.
(2) Cello World Seeks SEBI Nod For Rs 1,750-Crore IPO. https://www.bqprime.com/markets/cello-world-seeks-sebi-nod-for-rs-1750-crore-ipo.
(3) Cello World aims for a Rs 2,000 Crore IPO fundraise. https://www.sharemarketexpress.com/cello-world-aims-rs-2000-crore-ipo/.
(4) Cello World kicks off IPO to raise around Rs 2,000 crore; picks 5 …. https://www.moneycontrol.com/news/business/icici-venture-backed-cello-world-kicks-off-ipo-to-raise-around-rs-2000-crore-picks-five-i-bankers-10256621.html.