VLCC HEALTH CARE LIMITED IPO details

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VLCC was incorporated as ‘Curls & Curves (India) Private Limited’, a private limited company under the Companies Act, 1956, with a certificate of incorporation issued by the Registrar of Companies, National Capital Territory of Delhi and Haryana (“RoC”) on October 23, 1996 at Delhi. Subsequently, the name of the Company was changed to ‘Curls & Curves (India) Limited’ upon conversion of the Company into a public limited company pursuant to a special resolution of the shareholders of the Company dated March 5, 1999 and a fresh certificate of incorporation was issued by the RoC on April 20, 1999. Subsequently, the name of our Company was changed to ‘VLCC Health Care Limited’ pursuant to a special resolution of the shareholders of our Company dated October 18, 2004 and a fresh certificate of incorporation was issued by the RoC on November 18, 2004.

VLCC gets Sebi nod for Rs. 400 crore IPO.

VLCC Profile

Founded by Vandana Luthra in 1989, the company has operations in India, Sri Lanka, Bangladesh, Nepal, Malaysia, Singapore, the UAE, Oman, Bahrain, Qatar, Kuwait, Saudi Arabia and Kenya.

VLCC have leveraged exclusive consumer database, and the company is involved  into evolving beauty and wellness needs to build and grow a diversified product portfolio in-house, through our Subsidiary VLCC Personal Care Limited. Company  focuses on building a carefully planned portfolio of innovative and differentiated personal care, nutritional and functional food products, targeting fast growing, underserved market opportunities where competition is limited or fragmented. We currently market 169 skin care, hair care, body care, functional foods and fortified foods products. We manufacture 158 of these products at our own GMP-certified manufacturing plant in India. Company growing distribution network reaches over 72,000 outlets in India, apart from retail outlets in the overseas markets, primarily in the GCC Region, in addition to third party channels and emerging new channels such as e-commerce and teleshopping, which VLCC is actively pursuing. The company  also manufacture substantially all the products that we use in-house as consumables in treatments and therapies, or that we retail exclusively through our VLCC Wellness Centres.

VLCC key competitive strengths include:

  1. VLCC’s stature as a leading brand in the Indian beauty and wellness industry.
  2. Capability to leverage scale, scope and breadth of our operations.
  3. Bespoke integrated business model.
  4. Capability to identify and innovate a differentiated product portfolio.
  5. Attractive financial structure.
  6. Experienced Promoters and strong management capability.

Company Promoters:

  1. Vandana Luthra;
  2. Mukesh Luthra.

Issue Detail:

  • fresh issue of shares worth Rs 400 crore .
  • company plans to sell up to 18 lakh equity shares for Rs 100 crore through a pre-IPO placement of its shares to the institutional investors.
  • offer for sale of up to 37.67 lakh equity shares by the existing shareholders – Indivision India Partners and Leon International.
  • listed will be on BSE and NSE.

Objective of the IPO:

  • Set up VLCC Wellness Centers and VLCC Institutes in India and investment in Subsidiary to set up VLCC Wellness Centers overseas;
  • Repayment/pre-payment, in full or part, of certain existing loan facilities of our Company and Subsidiaries;
  • Investment in Subsidiary to set up a manufacturing facility;
  • Investment in Subsidiary for brand development;
  • Investment in information technology infrastructure; and
  • General corporate purposes

Issue Expenses are listed below:

Particulars Total Estimated Cost* Amount to be deployed from the Net Proceeds in
Fiscal Year 2017 Fiscal Year 2018 Fiscal Year 2019
Set up VLCC Wellness Centers and VLCC Institutes in India and investment in Subsidiary to set up VLCC Wellness Centers overseas 1,454.42 450.26 558.67 445.49
Repayment/ pre-payment, in full or part, of certain existing loan facilities of our Company and Subsidiaries 683.43 683.43
Investment in Subsidiary to set up a manufacturing facility 281.35 250.00 31.35
Investment in Subsidiary for brand development 500.00 250.00 250.00
Investment in information technology infrastructure 168.20 100.92 67.28
General corporate purposes** [.] [.] [.]
Total [.] [.] [.] [.]

 

Merchant bankers:

  • ICICI Securities,
  • Citigroup
  • Global Markets India
  • Axis Capital 

REGISTRAR TO THE OFFER:

Karvy Computershare Private Limited

Karvy Selenium Tower B Plot 31-32,

Gachiboli, Financial District,

Nanakramguda Hyderabad – 500 032,

India Telephone: +91 40 6716 2222 Facsimile: +91 40 2343 1511

E-mail: einward.ris@karvy.com Investor Grievance E-mail: vlcc.ipo@karvy.com Website: www.karishma.karvy.com

Contact Person: Mr. M. Murali Krishna SEBI Registration No.: INR00000021

Draft red herring prospectus (DRHP) with Sebi :

click@ VLCC

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