Sunil Singhania, other D-Street bigshots pick stake in IPO-bound Ethos

Mukul Mahavir Agarwal increased his stake in the retailer via a rights issue and bought 23,145 equity shares for Rs 550 apiece. He upped his stake to 9,24,121 equity shares or 4.84 per cent, shows the company’s RHP filed on May 6, from 9,00,976 equity shares earlier. His stake in the company is valued at Rs 81.13 crore at the upper range of the price band.

Hiren Ved-promoted Alchemy Capital also added another 12,500 equity shares through the rights issue to increase its stake to 5,12,500 equity shares or a 2.69 per cent stake in the company. The stake is worth close to Rs 45 crore.

Rakesh Jhunjhunwala is also among the co-founders of Alchemy Capital. The big bull of Dalal Street already holds a significant stake in consumer durable major .

Another celebrity investor, Sunil Singhania, through his Abakkus Growth Fund II, a SEBI registered Alternative Investment Fund came in as a pre-IPO investor.

The fund bought 3,02,663 equity shares of the company for a price of Rs 826 per share, holding a 1.59 per cent stake in the company as on the date of the filing of the RHP. His investment in the company is valued at Rs 24.99 crore.

The initial public offering (IPO) of Ethos will open for subscription between May 18-20. The company will be selling its shares in the range of Rs 836-878 apiece to raise Rs 472.29 crore via the primary route.

The IPO consists of a fresh issue of equity shares aggregating to Rs 375 crore and an offer for sale (OFS) of up to 1,108,037 equity shares.

Commenting on the IPO, Vijay Singhania, Chairman, TradeSmart said that Ethos IPO immediately after a subdued listing of

is a positive sign for the primary markets.

“Irrespective of the market performance, it is heartening to see IPOs lining up and getting subscribed in a market that has seen unprecedented selling by FIIs,” he added.

Chandigarh-based Ethos is India’s largest luxury and premium watch retailer, accounting for 13 per cent of total retail sales in the premium and luxury category and 20 per cent in the luxury market in the financial year 2020.

The company, which operates through the omnichannel model, has a watch portfolio of more than 50 premium brands in its kitty with 50 physical retail stores across 17 cities in India.

(Disclaimer: The entire information is taken from the RHP filed by the company. Economic Times does not endorse the IPO)