Forcas Studio
Listing performance
Scheduled dates
Tentative timetable — a past date is not confirmation the step completed
Issue details
- IPO date
- 19 Aug 2024 – 21 Aug 2024
- Listing date
- 26 Aug 2024
- Face value
- ₹10 per share
- Issue price
- ₹80 per share
- Lot size
- 1,600 shares
- Issue type
- Book Building issue
- Total issue size
- ₹37.44 Cr
- Market cap at offer price
- ₹141 Cr
- Promoter holding
- 82.17% → 60.30% pre-issue → post-issue
- ISIN
- INE0U2501017
- Registrar
- MAS Services Ltd.
- Lead managers
- Horizon Management Pvt.Ltd.
- Registered office
- Tara Maa Tower, B3-71C/161 B B T Road, Vivekanandapur, Thakurpukur Mahestola, West Bengal
Reservation and application size
How the issue is split between investor categories, and what each may bid
| Investor category | Shares | % of net | % of total |
|---|---|---|---|
| Anchor investor · within QIB | 13,31,200 | — | — |
| Market maker | 2,35,200 | — | — |
Application size
Minimum 1,600 shares per lot, in multiples, at ₹80
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (min) | 1 | 1,600 | ₹1,28,000 |
| S-HNI (min) | 2 | 3,200 | ₹2,56,000 |
| S-HNI (max) | 7 | 11,200 | ₹8,96,000 |
| B-HNI (min) | 8 | 12,800 | ₹10,24,000 |
Category limits
| Category | Bid size | Cut-off |
|---|---|---|
| Retail (RII) | Up to ₹2 lakh | Yes |
| Small HNI (sNII) | ₹2 lakh – ₹10 lakh | No |
| Big HNI (bNII) | Above ₹10 lakh | No |
| Employee | Up to ₹5 lakh | Yes |
Bidding at cut-off means accepting the final issue price without naming one. Only retail and employee applicants may do so.
Anchor investors
Institutional allocation placed a day before the issue opens, carved out of the QIB portion and locked in after listing.
Valuation and performance
Valuation at offer price
| Metric | Pre-issue | Post-issue |
|---|---|---|
| EPS (₹) | 0.89 | 3.43 |
| P/E (×) | 89.89 | 23.32 |
| Price to book (×) | 5.43 | — |
| Market cap | — | ₹141 Cr |
Key performance indicators
- Return on net worth
- 27.06%
- ROCE
- 18.54%
- Debt / equity
- 1.50
- PAT margin
- 5.36%
- NAV per share
- ₹14.74
- Price to book
- 5.43
Single period as reported. Year-on-year movement is in the financials table below, where every period is published.
About Forcas Studio
Forcas Studio Limited, originally established in 2010 as a partnership firm under the name M/s. Forcas Apparels, was converted to a private limited company in January 2024 and subsequently to a public limited company in April 2024. The company operates as a menswear specialist, designing and selling a broad range of men's garments including shirts, denims, T-shirts, trousers, cotton pants, sportswear, party-wear, and boxers. It operates through three primary channels: online sales via major e-commerce platforms (Flipkart, Amazon, Myntra, Meesho, AJIO, and others), wholesale distribution to retailers and large format stores (including V-Mart, V2 Retail, City Kart, and D-Mart), and white-label manufacturing for brands like Landmark Group and Cobb. The company follows an asset-light, outsourced manufacturing model with no own production facilities, instead leveraging contract manufacturers primarily based in Kolkata. As of February 29, 2024, it served over 15,000 pin codes across India and maintained presence in 500+ large format stores with a portfolio of 1,200+ SKUs.
Company Analysis
from RHPForcas Studio Limited manufactures and sells menswear garments under the FTX, TRIBE, and Conteno brands through online e-commerce platforms, wholesale channels, and large format retail stores across India.
Forcas Studio Limited, originally established in 2010 as a partnership firm under the name M/s. Forcas Apparels, was converted to a private limited company in January 2024 and subsequently to a public limited company in April 2024. The company operates as a menswear specialist, designing and selling a broad range of men's garments including shirts, denims, T-shirts, trousers, cotton pants, sportswear, party-wear, and boxers. It operates through three primary channels: online sales via major e-commerce platforms (Flipkart, Amazon, Myntra, Meesho, AJIO, and others), wholesale distribution to retailers and large format stores (including V-Mart, V2 Retail, City Kart, and D-Mart), and white-label manufacturing for brands like Landmark Group and Cobb. The company follows an asset-light, outsourced manufacturing model with no own production facilities, instead leveraging contract manufacturers primarily based in Kolkata. As of February 29, 2024, it served over 15,000 pin codes across India and maintained presence in 500+ large format stores with a portfolio of 1,200+ SKUs.
Objects of the Issue
- Funding of upgradation of warehouse ₹165.67 lakhs p.75
- Prepayment or repayment of all or a portion of certain loans availed by our Company ₹1,300.00 lakhs p.77
- Funding of working capital requirements of our Company ₹1,200.00 lakhs p.78
- General corporate purposes [●] (not to exceed 25% of Gross Proceeds) p.82
Issue Structure
- Total Issue
- Upto 46,80,000 Equity Shares aggregating up to ₹[●] lakhs
- Fresh Issue
- Upto 46,80,000 Equity Shares of Face Value of ₹10/- each
- Offer for Sale
- Not applicable - this is a fresh issue
- Price Band
- ₹[●] to ₹[●] (Floor Price to Cap Price - to be determined)
- Lot Size
- [●] Equity Shares and in multiples of [●] Equity Shares thereafter
- Face Value
- ₹10/- per Equity Share
Business Model
The company generates revenue through three distinct models: (1) Own brand retail through e-commerce marketplaces (38.43% of FY2024 revenue), (2) Own brand wholesale and large format retail stores (41.67% of FY2024 revenue), and (3) White-label manufacturing for third-party brands (19.90% of FY2024 revenue). All garment manufacturing is outsourced on a job-work basis to contract manufacturers, with raw materials sourced from Kolkata, Surat, and Mumbai markets. The company maintains centralized inventory management and quality control at its warehouse facilities in Kolkata.
Business Segments
SWOT Analysis
- • Established presence and brand recognition in menswear segment(p.107)
- • Wide geographic reach and digital distribution(p.107)
- • Affordable pricing strategy targeting mass market(p.107)
- • Asset-light outsourced business model(p.121)
- • Strong revenue growth trajectory(p.108)
- • Presence across multiple sales channels(p.108)
- • Heavy dependence on contract manufacturers without long-term agreements(p.27)
- • High customer concentration risk(p.125)
- • Geographic concentration of warehouse and manufacturers(p.29)
- • High working capital requirements(p.34)
- • Significant supplier concentration(p.31)
- • Expansion into women's and kids wear segments(p.116)
- • Growing e-commerce penetration in India(p.99)
- • Tier-2, Tier-3 and Tier-4 city market expansion(p.107)
- • Marketplace expansion(p.107)
- • Increasing organized retail penetration(p.98)
- • Rising demand for value fashion segment(p.98)
- • Intense competition from established players and new entrants(p.124)
- • Fashion industry cyclicality and trend changes(p.126)
- • Raw material price volatility and supply chain disruptions(p.34)
- • Labor cost and resource constraints(p.30)
- • Regulatory and policy changes(p.45)
- • Economic downturn impact on consumption(p.105)
Promoters
| Name | Role | Pre-Issue | Post-Issue |
|---|---|---|---|
| Sailesh Agarwal | Promoter | 95,40,000 shares (73.95%) | 95,40,000 shares (54.27%) |
| Sourav Agarwal | Promoter | 10,60,000 shares (8.22%) | 10,60,000 shares (6.03%) |
Leadership
Auto-extracted from the company's RHP using AI, with each fact linked to its source passage (hover any row to see the quote & page). Provided for research only, not investment advice — verify against the official RHP before relying on it.