Brainbees Solutions Limited IPO (Firstcry IPO) – Review, Valuation, Financials, Date & GMP

Brainbees Solutions Limited IPO (Firstcry IPO) Review –

Brainbees Solutions Limited IPO (Firstcry IPO) is set to open from 6th Aug 2024 to 8th Aug 2024. This article will analyze the financials , strengths and weaknesses of the Brainbees Solutions Limited IPO (Firstcry IPO). Keep scrolling below to read more!

Brainbees Solutions Limited IPO (Firstcry IPO) Overview –

Brainbees Solutions Limited IPO (Firstcry IPO) Market Lot

Brainbees Solutions Limited IPO (Firstcry IPO) minimum market lot is 32 shares with ₹14,880 application amount. The retail investors can apply up-to 13 lots with 416 shares or ₹193,440 amount.

Brainbees Solutions Limited IPO (Firstcry IPO) Book Running Lead Managers –

• Kotak Mahindra Capital Company Limited
• Morgan Stanley India Company Private Limited
• BofA Securities India Limited
• JM Financial Limited
• Avendus Capital Private Limited

Brainbees Solutions Limited IPO (Firstcry IPO) Registrar to the offer –

The registrar for the Brainbees Solutions Limited IPO (Firstcry IPO) is Link Intime India Private limited. They are responsible for ensuring the IPO allotment and refund processes are carried out smoothly.

The Objective Of The Issue –

The company proposes to utilize the Net Proceeds from the IPO towards the achievement of the following objects:

1. Expenses of the Company for: (i) setting up new modern stores under the “BabyHug” brand; and (ii) setting up a warehouse, in India;
2. Expenditure on lease payments for the existing identified modern stores owned and operated by the Company, in India;
3. Investments in its Subsidiary Digital Age for (i) setting up new modern stores under the FirstCry brand and other house brands of the Company; and (ii) lease payments for the existing identified modern stores owned and controlled by Digital Age, in India;
4. Investment in Subsidiary FirstCry Trading for overseas expansion by: (i) establishment of new modern stores; and (ii) establishment of warehouses, in KSA;
5. Investment in the subsidiary, Globalbees Brands for the acquisition of an additional stake in its Subsidiaries;
6. Sales and marketing initiatives;
7. Technology and data science costs, including cloud and server hosting costs; and
8. Financing of inorganic growth through acquisitions and other strategic initiatives and general corporate purposes.

Key Performance Indicator –

The market capitalization of Brainbees Solutions (Firstcry IPO) is Rs 24141.75 Cr.

KPI as of March 31, 2024.

Financial Status –

Firstcry’s revenue surged nearly 15% to ₹6,575.08 crore in FY24 compared to ₹5731.28 crore in FY23. The company’s net loss narrowed to ₹321.51 crore in FY24 compared to a net loss of ₹486.06 crore in FY23. The company’s net worth fell over 8% to ₹3,170.74 crore in FY24 compared to ₹3,456.26 crore in FY23.

Evaluation of P/E Ratio

The P/E Ratio of Brainbees Solutions (Firstcry) Limited is N/A.

Comparative Analysis with Listed Peers

The average P/E Ratio of the industry is N/A.

Peers of Brainbees Solutions Limited IPO (Firstcry IPO) – 

Brainbees Solutions (Firstcry) Limited doesn’t have any peer comparison.

Brainbees Solutions Limited IPO (Firstcry IPO) Strengths –

• Firstcry offers a vast selection of over 1.5 million Store Keeping Units (SKU’s) from more than 7500 brands.
• Diverse product offerings range from products of global and domestic brands such as Medela, Chicco, Mee-Mee and Funskool, “mompreneurs” (i.e., mothers who operate home-based businesses) and its own home brands like BabyHug, Pine Kids, Cute Walk by Baby Hug and Baby-oye.
• Largest multi-channel, multi-brand retailing platform for Mothers’, Babies’ and Kids’ products with a network of 1,063 modern stores in India as of 31 March 2024.
• Company is a full-stack platform with 900+ contract manufacturers across India and overseas, two subsidiaries, Swara Baby and Solis Hygiene, and an integrated supply chain of 80 warehouses and stockists across 47 cities in India.
• Higher customer engagement through personalized customer journeys, data-driven sales approach, and centralized inventory management.
• Company employs 3,411 full-time employees and 2,475 contract employees, which helps manage operations effectively and sustain growth.

Brainbees Solutions Limited IPO (Firstcry IPO) Weakness –

• Has total borrowings of ₹462 crore as of 31 March 2024, which subjects it to restrictive conditions imposed by lenders.
• Has consistently had negative cash flows from operating activities in the last three fiscals.
• It may not be able to obtain sufficient quantity or quality of its products as it engages contract manufacturers to manufacture them.
• The company faces competition from organized players in the Indian childcare products market, which consists of horizontal online platforms such as Amazon, Flipkart, and Meesho, vertical online platforms such as Hopscotch, Myntra, and Ajio, and multi-brand and exclusive retailers such as Reliance Trends and Gini & Jony.
• Has consistently incurred losses between FY22 and FY24 due to materials cost, other expenses, employee benefits expense, and depreciation and amortization expense.
• The company is exposed to the risks associated with reliance upon the services of third-party data centre hosting facilities and other third-party providers.

Brainbees Solutions Limited IPO (Firstcry IPO) Status

Brainbees Solutions Limited IPO (Firstcry IPO) allotment status will be available on Link Intime’s website.

Click on Link Intime IPO weblink to get allotment status.

Brainbees Solutions Limited IPO (Firstcry IPO) GMP Today –

IPO’s last GMP is ₹32, last updated Aug 7th 2024. With the price band of 465.00, IPO’s estimated listing price is ₹497(cap price + today’s GMP). The expected percentage gain/loss per share is 6.88%.

Note : The GMP prices shown here are only news related to the grey market. We do not trade/deal in grey market or subject to rates, nor do we recommend trading in grey market.

Conclusion –