Imagine Marketing Limited, which owns the market-leading wireless hearables and wearables brand ‘boAt’,has received the Securities and Exchange Board of India (SEBI) approval for its proposed initial public offering (IPO).
The company plans to raise funds through initial public offerings of equity shares of face value of Rs. 1 each aggregating up to ₹ 20,000 million. (The “Issue Size”). The IPOconsistsof fresh issue of equity shares aggregating up to ₹ 9,000 million (The “Fresh Issue”) and an offer for sale of equity shares aggregating up to ₹ 11,000million by the Promoter selling shareholders and Investor selling shareholders (The“Offer for Sale”).
The offer includes a reservation of equity shares aggregating up to ₹ 15.00 million for subscription by eligible employees (The “Employee Reservation Portion”)
Founded in 2013 and led by its flagship brand “boAt”, Imagine Marketing Limited has established leading market positions in volume and value terms in India across multiple, high-growth consumer categories such as audio and smartwatch as of September 30, 2021. It is a digital-first consumer products company and one of the largest Indian digital-first brands in terms of revenue from operations for the financial year 2021. (Source: RedSeer Report).
The Company proposes to utilise the net proceeds of the IPO towards repayment or prepaymentof debt estimated to be₹ 7,000 million and the balance amount towards general corporate purpose.
This repayment of debt will result in significant reduction in the debt of the Company. As of December 31, 2021, the company had outstanding total secured and unsecured borrowings (long term and short term) of ₹7,641.77million.
Starting initially with hearables products within the audio category, the company offers products across a variety of price points and customer segments across multiple product categories, which comprise (i) audio (wired headphones and earphones, wireless headphones and earphones (neckbands), true wireless stereo (“TWS”), Bluetooth speakers and home theatre systems and sound bars), (ii) wearables (smartwatches), (iii) gaming accessories (wired and wireless headsets, mouse and keyboards), (iv) personal care appliances (trimmers and grooming kits) and (v) mobile accessories (chargers, cables, power banks and other accessories).
Axis Capital Limited, BofA Securities India Limited, Credit Suisse Securities (India) Private Limited and ICICI Securities Limited are the Book Running Lead Managers to the IPO.
.jpg)