Campus Activewear’s initial public offering will open next week on 26 April and close on 28 April. The public issue of sports and athleisure footwear company comprises an entire offer for sale of up to 4.79 crore shares by its existing shareholders and promoters. The OFS comprises up to 80 lakh shares by Hari Krishna Agarwal, up to 45 lakh shares by Nikhil Aggarwal, 2.91 crore shares by TPG Growth III SF Pte Ltd, 60.5 lakh shares by QRG Enterprises Ltd, 1 lakh equity shares by Rajiv Goel, and 2 lakh shares by Rajesh Kumar Gupta.
The company will finalise the basis of allotment on 4 May, and initiation of refunds or unblocking of funds from ASBA account will take place on 5 May. The equity shares will get credited to depository accounts of allottees on 6 May. Campus Activewear IPO is likely to list on stock exchanges on 9 May 2022, according to RHP.
Currently, promoters and promoters group collectively hold 23.8 crore equity shares, representing a 78.21 per cent stake in the company. TPG Growth and QRG Enterprises own 17.19 percent and 3.86 percent shareholding, respectively. While Rajiv Goel holds 0.06 per cent, and Rajesh Kumar Gupta owns 0.12 per cent stake. The book running lead managers to the Campus Activewear issue are BofA Securities India Limited, JM Financial, CLSA India and Kotak Mahindra Capital Company. Link Intime India Private Ltd is the registrar to the
Upon successful listing on stock exchanges, Campus Activewear will join the likes of Bata India, and Relaxo Footwears. The average industry peer group P/E ratio stood at 98.49x. The company, in its RHP, said that a substantial rise in India’s working age population from 36% in FY 2000 to 50% in FY 2019 is expected to continue sustaining the growth momentum of the Indian economy and lead to rising income levels in the long-term. “The younger segment of the population is naturally predisposed to adopting new trends given their exposure to media and technology, which presents an opportunity for branded products and organized retail,” it added.
India footwear industry, being the 2nd largest producer of footwear globally, has benefitted tremendously with 100% FDI for leather products manufacturing via an automatic route. The government of India has also allowed 100% FDI in single-brand retail with a clause of 30% mandatory local sourcing.
Campus Activewear claims a market share of 17 per cent in branded sports and athleisure footwear industry in India by value for FY21. Presently, Campus has around 100 exclusive brand stores, of which around 65 are company-owned and the rest are on the franchise model.