Ethos Ltd. IPO

Ethos Ltd.

IPO Listing Details

Listed On

BSE & NSE

Listed On

Issue Price

₹878

Issue Price

Listing Price

₹830

Listing Price

Listing Gains

-₹48.00 (-5.47%)

Listing Gains

IPO Details

Bidding Dates

18 May - 20 May '22

Bidding Dates

Min. Investment

₹14,212

Min. Investment

Lot Size

17.00

Lot Size

Price Range

₹836 - ₹878

Price Range

Issue Size

468 Cr

Issue Size

IPO Doc

(D)RHP PDF  

(D)RHP PDF

Subscription Rate - Ethos Ltd. IPO

  • Retail Individual Investor
    0.84x
  • Non-Institutional Investor
    1.48x
  • Qualified Institutional Buyers
    1.06x
  • Employees
    NA


About Ethos Ltd. IPO

Ethos Ltd is the largest luxury and premium watch retailer in India with both online and offline presence. The company operates on an omnichannel model through website and social media and has a watch portfolio of 50 premium brands. These include Omega, Jaeger LeCoultre, Panerai, IWC Schaffhausen, Rado, Longines, Baume & Mercier, Bvlgari, H. Moser & Cie, Oris SA, Corum, Tissot, Raymond Weil, Carl F. Bucherer, Louis Moinet and Balmain. The company operates 50 physical stocks in 17 Indian cities in a multi-store format and has 7,000 different premium watches and 30,000 watches in stock at any given time. The company’s website had 21,844,216 visitor sessions, as of December 31, 2021. Ethos Ltd IPO will open for subscription on May 18 and close on May 20. The anchor book will open on May 17. The price band for the issue has been set at Rs 836-878 per share. Ethos IPO consists fresh issue of shares worth Rs 375 crore and an offer for sale of up to 11.08 lakh shares by shareholders and promoters. At the upper end of the price band, the total issue size will amount to Rs 472.29 crore. The IPO lot size is 17 shares and a retail-individual investor can apply for up to 13 lots. According to the draft red herring prospectus (DRHP), the company will utilise the proceeds from the issue to repay debt, finance capital expenditure for establishing new stores, fund working capital requirements and general corporate purposes.

Why should you invest in Ethos IPO?

Ethos Ltd has a leadership position in an attractive luxury watch market and has access to a large base of luxury customers. It has a pan-India presence and is India’s largest luxury and premium watch retail player having a 13% share of the total retail sales in the premium and luxury segment and a share of 20% when seen in the exclusive luxury segment in the financial year 2020.

Financial Snapshot - Ethos Ltd IPO

Ethos Ltd has reported inconsistency in its financial performance over the last few years. In the table provided below, you can get a snapshot of Ethos in recent years.

Financial Year Total Assets Total Revenues Profit After Tax
March 2019 Rs 368.92 crore Rs 445.09 crore Rs 9.89 crore
March 2020 Rs 421.95 crore Rs 461 crore Rs -1.33 crore
March 2021 Rs 392.04 crore Rs 403.14 crore Rs 5.79 crore


Important Dates - Ethos Ltd IPO

Application opens on 18th May 2022
Last date of application 20th May 2022
Date of Allotment 25th May 2022
Refund begins from 26th May 2022
Credit of shares to Demat 27th May 2022
Listing date 30th May 2022

SWOT Analysis - Ethos Ltd. IPO

Strengths

Ethos Ltd has a deep understanding of digital and Omnichannel commerce. It has strong and long-standing relationships with luxury watch brands and luxury groups.

Weaknesses

The company’s business partly depends on the continued success and reputation of its third-party brands globally. Its wholly owned subsidiary, Cognition Digital LLP may incur losses in the future.

Opportunities

India has one of the youngest populations globally with a median age of 28.1 yrs. This offers unprecedented opportunities for consumer industries such as fashion, real estate, telecom, etc. The growth of organized pre-owned market for luxury watches helps to unlock the collectible market thereby increasing both the vibrancy of the market and the addressable market opportunity.

Threats

The company has been subject to various litigation, regulatory and other proceedings and the same are pending at various levels of adjudication. The growth of online retailers may create pricing pressures and increase competition. Any increase in regulatory duties payments including the customs/import duties may affect its business.

 

Ethos Ltd Noteworthy Highlights

Check out some of the key details and information about Ethos before investing:

- Ethos Ltd operates an Omni-channel retail platform across India and sells its products through its stores categorised as Ethos Summit Stores, multi-brand stores, Ethos Boutiques, Airport Store, CPO luxury watch lounge and mono-brand boutiques, and via online channel.

- It has strategically located and well-invested store network with an attractive in-store experience.

- The company has undertaken a pre-IPO placement of 302,663 shares at a price of Rs 826 per share, aggregating to Rs 25 crore in the month of March 2022. 

- It has reserved 50% of the offer for qualified institutional buyers (QIB), around 35% for retail investors and the remaining 15% for non-institutional investors (NII) in the IPO

- The lot size of Ethos IPO is 17 shares and a retail-individual investor can apply for up to 13 lots.



How to apply for Ethos Ltd. IPO?

You can apply for the Ethos Ltd. IPO in these ways:

UPI
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.

Demat Account

1. If you are an Existing TradeSmart demat account holder and wish to apply for an Ethos Ltd. click here.
2. If you don't have a TradeSmart Account? Sign up.

Looking to invest in an IPO?

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Frequently Asked Questions (FAQs) - Ethos Ltd. IPO

When will Ethos IPO open?

Ethos IPO will open for subscription on May 18 and close on May 20.

What is Ethos IPO price band? 

The price band for the issue is Rs 836-878 per share.

Who are the promoters of Ethos Ltd?

Yashovardhan Saboo, KDDL Limited and Mahen Distribution are the promoters of Ethos Ltd.

Who are the Ethos IPO Lead Managers?

Emkay Global Financial Services Ltd. and InCred Capital Wealth Portfolio Managers Pvt. Ltd. are the book running lead managers to the issue.

Who is the registrar of the issue?

KFin Technologies Ltd is the registrar of the issue.

 

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