Metro Brand’s IPO opens today — here are all the important details you need to know. Lead investor Rakesh Jhunjhunwala backed Metro Brands, which is one of India’s largest specialty footwear retailers in India, opened its initial public offering (IPO) today (December 10). Launched in 1955 as a specialty footwear retailer in India, Metro Brands now caters to the footwear needs of men, women, unisex men, and children. It operates 586 stores in 134 cities in 29 states and union territories in India. Some of Metro’s brands include Mochi, Walkway, Davinchi, and J. Fontini, as well as third-party brands such as Crocs, Skechers, Clarks, Florsheim, and Fitflop.
Contents
Metro Brands IPO 2022 All Details
| Metro Brands IPO Opening Date | December 10, 2022 |
| Metro Brands IPO Closing Date | December 14, 2022 |
| Issue Type | Book Built Issue IPO |
| Face Value | Rs. 5 per equity share |
| IPO Price | Rs. 485 to 500 per equity share |
| Market Lot | 30 Shares |
| Min Order Quantity | 30 Shares |
| Listing At | BSE, NSE |
| Issue Size | Worth Rs. 1,367.51 Crore |
| Fresh Issue | Worth Rs. 295.00 Crore) |
| Offer for Sale | 21,450,100 Equity Shares (Worth Rs. 1,072.51 Crore) |
Important Dates
Metro Brands IPO 2022 Dates
| Metro Brands IPO Opening Date | Dec 10, 2022 |
| Metro Brands IPO Closing Date | Dec 14, 2022 |
| Allotment Date | Dec 17, 2022 |
| Initiation of Refunds | Dec 20, 2022 |
| The credit of Shares to Demat Account | Dec 21, 2022 |
| Metro Brands IPO Listing Date | Dec 22, 2022 |
Fresh Issue vs. OFS
- Metro Brands includes a new issue and a sell offer which is in full aggregation up to Rs. 1,367.51 crore.
- New issue – Valid Rs. 295 crore
- Offer to sell (by promoter) – 21,450,100 shares (value Rs 1,072.51 crore).
Lot Size
| Min/Max | Lots | Shares | Amount |
| Minimum | 1 | 30 | ₹15,000 |
| Maximum | 13 | 390 | ₹195,000 |
Objectives of Issue
Metro Brands plans to use the proceeds of the new issue to open new company stores, under the brands “Metro”, “Mochi”, “Walkway” and “Crocs” (“New Stores”) and for general business purposes.
Metro Brands Limited will not receive any proceeds from the OFS. Metro Brands intends to use the net proceeds for the purposes set out below.
- Expenses for the opening of new stores of our Company under the Metro, Mochi, Walkway and Crocs brands.
- From the net proceeds of the new issue, the company proposes to create 219 new stores.
- It is proposed that the creation of the New Stores be carried out entirely from the net proceeds of the new issue.
Metro Brands Company Financials
The below table includes the financials of Metro Brands for the past three years.
| Rs. in Millions | 30-Sep-21 | 31-Mar-21 | 31-Mar-20 | 31-Mar-19 |
| Total Assets | 17,396.06 | 16,593.40 | 16,174.23 | 13,215.06 |
| Total Revenue | 4,892.68 | 8,785.38 | 13,110.68 | 12,368.95 |
| Profit After Tax | 430.74 | 646.19 | 1,605.75 | 1,527.31 |
Metro Brands IPO Allotment 2022
The divestment of Metro Brands IPO is scheduled for next week, December 17, 2022, and the granted shares will be credited to Demat accounts on/by December 21, 2022.
Metro Brands GMP Today
The Metro Brands The 2022 IPO gray market premium is approximately 7,580 on December 10, 2022. Metro Brands IPO GMP percentage is approximately 1,516%.
Special features
Metro Brands Limited is one of the largest pan-Indian footwear retailers with brand appeal among ambitious consumer segments in the rapidly growing retail footwear industry.
It sells brands such as Metro, Mochi, Walkway, Da Vinchi, and J Fontini, Crocs, Skechers, and Clarks. The wide range of brands and products cater for all occasions in all age groups and market segments, resulting in strong customer loyalty.
The company has an efficient operating model through deep engagement with suppliers and a TOC-based supply chain.
Choice Broking
Providing a ‘Subscribe for long term review’ said: ‘MBL is among the top 5 shoe brands in India and is ranked fourth in the domestic footwear market (in terms of sales during exercise 21).
Among major footwear retailers, has the highest net profit margin in FY21 and the best operating margin performance in FY1521.
The company is one of the ambitious Indian brands in the footwear category (i.e. it caters to the mid to high end) and therefore has a higher retail ASP than the mid-market.
Angel One
“In terms of valuations, the post-issue TTM P / E is 91x (at the high end of the issue price range), which is high considering MBL’s historic CAGR and below. 9%, respectively. 1820.
In addition, the company’s historical net profit growth is weak compared to its colleagues Relaxo Footwears.
However, MBL has a light business, strong brands, and a wide product line, but we believe these positives are captured in the notes commissioned by the company.
Promoters of Metro Brands
Promoters of the company include Rafique A. Malik (President), Farah Malik Bhanji (CEO), Alisha Rafique Malik (Vice President – E-Commerce and Marketing) of the company, Rafique Malik Family Trust, and Aziza Malik Family Trust.
About Metro Brands Limited
Metro Brands Limited (MBL) is one of India’s largest specialty footwear retailers and one of the most ambitious Indian brands in the footwear category.
Formed in January 1977, Metro Brands has grown into a one-stop-shop for all footwear needs. Metro Brands Limited is the distributor and reseller of Crocs in India.
From opening a store in 2015 to a network of over 150 Crocs stores in 2019 speaks for itself.
A professionally managed organization, with over 4000 passionate employees, strong processes, and core values, makes Metro Brands Limited stand out from the class.
That was all we know about Metro Brands IPO GMP, Lot Size, Price, Allotment date. If you have any queries, just mention them below in the comment section.
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