RSB Retail India Limited, a leading multi-format apparel retailer catering to premium, mid- premium, and value customer segments offering ethnic wear, everyday casual wear and formal wear, has filed the draft red herring prospectus (DRHP) with capital markets
regulator SEBI to raise funds through an initial public offering (IPO).
According to the DRHP, the proposed IPO of the Hyderabad based company is a combination of a fresh issue of equity shares aggregating up to Rs. 500 crore and an offer for sale (OFS) of up 2.98 crore equity shares by the selling shareholders.
As part of the OFS, the Selling Shareholders include Potti Venkateswarlu, Seerna Rajamouli, Tiruveedhula Prasada Rao, Potti Venkata Sai Abhinay, Seerna Suresh, Tiruveedhula
Rakesh, Tiruveedhula Keshav Gupta, Maturu Venkata Lakshmi Sindhu, Gourishetty Lalitha and Potti Malathi Lakshmi Kumari.
RSB Retail proposes to utilize the Net Proceeds from the Fresh Issue as follows: Rs. 275 crore towards repayment/ prepayment of certain loan facilities availed by the company; Rs.
118 crores towards setting up of new stores under the R. S. Brothers and South India
Shopping Mall formats; and rest on general corporate purposes.