BSE & NSE
19 Dec - 21 Dec '23
₹266 - ₹280
Credo Brands Marketing Ltd (MUFTI) is well known for its clothing line MUFTI. This is an alternative clothing brand that has grown in popularity as India has been more economically emancipated since the 1990s. MUFTI was founded more than three decades ago to divert Indian men's attention away from the monotonous formal dress of pale blue and white shirts and dark slacks.
Credo Brands Marketing Ltd's (MUFTI) initial public offering (IPO) will be purely an offer for sale (OFS), with no fresh issue component. The offer for sale (OFS) part of Credo Brands Marketing Ltd's (MUFTI) IPO consists of the sale of 1,96,34,960 shares (196.35 lakh shares approximately), resulting in an offer for sale (OFS) issue size of 549.78 crore at the upper price range of 280 per share.
|Application opens on
|19th December 2023
|Last date of application
|21st December 2023
|Date of Allotment
|22nd December 2023
|Refund begins from
|26th December 2023
|Credit of shares to Demat
|26th December 2023
|27th December 2023
The revenue growth for the company has been exceptionally strong over the last three years, averaging over 40%. What distinguishes Credo Brands Marketing Ltd (MUFTI) is that its net profits have increased twofold over the previous year and multifold over the year before that. This resulted in a significant increase in net profit margins as well as a strong ROE.
The company's showrooms are strategically located and the product portfolio is diversified across price points and categories. The business has an established heritage and legacy spanning over two decades with efficient systems and procedures to mitigate risk. In the last 3 years, revenue growth has been robust and growing. However, what stands out about Credo Brands MarketingLtd. is that the company's net profits have more than doubled in the past two years.
The concentration of credit risk concerning trade receivables is considerably high, needing regular monitoring and control through loan approvals and setting limitations. The company is primarily exposed to foreign currency risk against the USD, although the sensitivity analysis shows that a 10% change in exchange rates has little impact on profit or equity.
The company has a strong brand equity with a presence across a wide category of products, that de-risks the business model. The business model is also scalable and is a largely asset-light model; so, any expansion from here can be done on minimal investments.
While the corporation designs its items in-house, the final product is manufactured elsewhere. Any inability to obtain sufficient quantities of apparel of the required quality in a timely and acceptable manner, or any slowdown in the performance of such third-party manufacturing partners, could have a negative impact on its business, cash flows, results of operations, and financial condition. Aside from that, one of the company's non-executive directors serves on the board of directors of Arvind Fashions Limited, a company in the same industry as Mufti.
Check out the financial performance of Credo Brands for recent years:
|Rs 282.41 crore
|Rs 293.40 crore
|Rs 9.26 crore
|Rs 460.24 crore
|Rs 341.17 crore
|Rs 33.75 crore
|Rs 554.23 crore
|Rs 498.18 crore
|Rs 77.45 crore
Credo Brands Marketing has Aditya Birla Fashion and Retail Limited,Go Fashion (India) Limited, Arvind Fashions Limited as its peers. Take a look at their performances:
|Aditya Birla Fashion and Retail Limited
|Go Fashion (India) Limited
|Arvind Fashions Limited
You can apply for the Credo Brands Marketing Ltd. IPO in these ways:
Link your personal bank A/C to a trusted UPI ID and map it with your TradeSmart account. Now, proceed further to book your IPO. On acceptance of the mandate, the bid amount will get blocked in your bank account Learn more.
What are the opening and closing dates for Credo Brands Marketing IPO?
Credo Brands Marketing IPO will open for subscription on December 19 and close on December 21.
What is the price band for Credo Brands Marketing IPO?
The price band for Credo Brands Marketing IPO is ₹266 to ₹280 per share.
Who is taking part in the OFS?
There will be no Offer For Sale (OFS) component.
What is Credo Brands Marketing IPO Minimum and Maximum Lot Size?
The minimum lot size for Credo Brands Marketing IPO is 1 and the maximum can go up to 13 lots.
What will be the promoter shareholding in Credo Brands Marketing after the IPO?
The promoter shareholding in Credo Brands Marketing after the IPO will reduce to 56.66% from 66.66%.
Who are Credo Brands Marketing IPO Lead Managers?
DAM Capital Advisors, ICICI Securities and Keynote Financial Services are the joint Book Running Lead Managers (BRLMs) to the issue.
Who is the registrar of the issue?
Link Intime India Pvt Ltd. is the registrar for Credo Brands Marketing IPO.
When will Credo Brands Marketing IPO allotment take place?
The finalisation of the basis of allotment for Credo Brands Marketing IPO will be done on December 22, and the allotted shares will be credited to investors’ demat accounts by December 26.
When and where will the Credo Brands Marketing shares be listed?
The equity shares of Credo Brands Marketing are proposed to be listed on December 26, 2023, on the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE).