Vishal Mega Mart
Book Building issueMainboardNSE₹8,000 Cr issue
+41.03%
Listing gain over issue price
Issue size
₹8,000 Cr
1 lot at cut-off
₹14,820
Lot size
190shares
Open
11 Dec 2024
Close
13 Dec 2024
Allotment
16 Dec 2024
Listing
18 Dec 2024
Listing performance
Issue price
₹78
Listed at
₹110
Listing-day close
₹111.95
Latest price
₹87.35
Close on 23 Oct 2026
Listing gain
+41.03%
Return since issue
+11.99%
Scheduled dates
Tentative timetable — a past date is not confirmation the step completed
Issue details
- IPO date
- 11 Dec 2024 – 13 Dec 2024
- Listing date
- 18 Dec 2024
- Face value
- ₹10 per share
- Issue price
- ₹78 per share
- Lot size
- 190 shares
- Issue type
- Book Building issue
- Listing at
- NSE
- Total issue size
- ₹8,000 Cr
- Market cap at offer price
- ₹35,168 Cr
- Promoter holding
- 98.77% → 76.02% pre-issue → post-issue
- ISIN
- INE01EA01019
- Registrar
- Kfin Technologies Ltd.
- Lead managers
- Kotak Mahindra Capital Co.Ltd.
- Registered office
- Plot No.184, Fifth Floor Platinum Tower, Udyog Vihar Phase-1, Haryana
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 | 30,76,92,307 | — | — |
| Market maker | 0 | — | — |
Application size
Minimum 190 shares per lot, in multiples, at ₹78
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (min) | 1 | 190 | ₹14,820 |
| Retail (max) | 13 | 2,470 | ₹1,92,660 |
| S-HNI (min) | 14 | 2,660 | ₹2,07,480 |
| S-HNI (max) | 67 | 12,730 | ₹9,92,940 |
| B-HNI (min) | 68 | 12,920 | ₹10,07,760 |
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.
Shares allocated
30,76,92,307
Anchor portion
₹2,400 Cr
at ₹78 per share
Valuation and performance
Valuation at offer price
₹78 per share
| Metric | Pre-issue | Post-issue |
|---|---|---|
| EPS (₹) | 1.02 | 1.13 |
| P/E (×) | 76.47 | 69.03 |
| Price to book (×) | 6.23 | — |
| Market cap | — | ₹35,168 Cr |
Key performance indicators
Latest reported period
- Return on net worth
- 8.18%
- ROCE
- 68.76%
- PAT margin
- 5.18%
- NAV per share
- ₹12.53
- Price to book
- 6.23
Single period as reported. Year-on-year movement is in the financials table below, where every period is published.
About Vishal Mega Mart
Vishal Mega Mart Limited, originally incorporated as Rishanth Wholesale Trading Private Limited in March 2018 and later renamed, operates as a retail company serving middle and lower-middle income India. The company curates a diverse range of merchandise through its portfolio of own brands and third-party brands to fulfill the aspirational and daily needs of consumers. It operates 645 Vishal Mega Mart stores, a mobile application, and a website as of September 30, 2024. The company derives revenue primarily from the sale of products across three major product categories: apparel, general merchandise, and fast-moving consumer goods. For the six months ended September 30, 2024, revenue from operations was ₹50,325.13 million, with profit of ₹2,541.37 million.
Company Analysis
from RHPVishal Mega Mart is a one-stop retail destination offering apparel, general merchandise, and fast-moving consumer goods through own brands and third-party brands across a pan-India network of stores and online channels.
Vishal Mega Mart Limited, originally incorporated as Rishanth Wholesale Trading Private Limited in March 2018 and later renamed, operates as a retail company serving middle and lower-middle income India. The company curates a diverse range of merchandise through its portfolio of own brands and third-party brands to fulfill the aspirational and daily needs of consumers. It operates 645 Vishal Mega Mart stores, a mobile application, and a website as of September 30, 2024. The company derives revenue primarily from the sale of products across three major product categories: apparel, general merchandise, and fast-moving consumer goods. For the six months ended September 30, 2024, revenue from operations was ₹50,325.13 million, with profit of ₹2,541.37 million.
retailapparelgeneral merchandisefast-moving consumer goods
Objects of the Issue
- Benefits of listing and Offer for Sale by Promoter Selling Shareholder Up to ₹80,000 million p.17
- The primary object of the offer is to achieve the benefits of listing the Equity Shares on the Stock Exchanges and to carry out the Offer for Sale. The company will not receive any proceeds from the Offer for Sale. p.90
- Offer for Sale by the Promoter Selling Shareholder up to ₹80,000 million of Equity Shares p.320
Issue Structure
- Total Issue
- Up to ₹80,000 million
- Fresh Issue
- Not applicable
- Offer for Sale
- Up to [●] Equity Shares of face value of ₹10 each aggregating up to ₹80,000 million by Samayat Services LLP
- Price Band
- Price band to be determined and advertised at least two working days prior to Bid/Offer Opening Date
- Lot Size
- [●] Equity Shares minimum bid lot and multiples thereof (to be determined)
- Face Value
- ₹10 per Equity Share
Business Model
The company operates as a multi-format retailer earning revenue from the sale of own-branded and third-party branded products across three product categories: apparel, general merchandise, and fast-moving consumer goods. For the six months period ended September 30, 2024, sale of products from own brands represented 72.86% of revenue from operations (₹36,665.57 million) while sale of products from third-party brands represented 27.02% (₹13,596.06 million). The company manufactures products under its own brands through third-party contract manufacturers and sources third-party branded products from vendors.
Business Segments
Sale of apparel products including clothing and fashion items
Sale of general merchandise products including home goods and other non-apparel, non-FMCG items
Sale of fast-moving consumer goods including food and grocery items
Fast-moving consumer goods product category
Apparel product category
General merchandise product category
Comprises exclusively of own brands with a range of apparel for all members of a family including t-shirts, shirts, denim, athletic and leisure wear, night wear, innerwear, western wear, formal wear, and ethnic wear for men, women, children, and infants. Prioritizes fashionability, speed-to-market, functionality and feel by identifying latest global and Indian fashion trends.
Comprises own brand and third party brand products ranging across home appliances, crockery and utensils, home products and furnishings, toys, stationery, travel products and footwear. Driven by product innovation and market trends while maintaining focus on quality, reliability and affordability.
Comprises own and third party brand products across packaged food, staples and non-food categories. Offers food products such as biscuits, savoury snacks, noodles, tea, coffee, staples such as mustard oil, soya oil, clarified butter and spices, and non-food products such as baby diapers, hair oil, sanitary pads and handwash. Aims to make aspirations affordable with focus on offering quality products catering to consumer preferences.
Retail of men's wear (t-shirts, shirts, trousers, casual pants, denims, etc.), women's wear (dresses, denims, kurtis, lingerie, etc.) and kids and infants wear (t-shirts, shorts, pyjamas, etc.) under own brands including Black Tip, Pink Almirah, Yellow Hippo, Drift Wood, Wavelength, Unstoppable, Mavie, Viveza, Brink and others; exclusively own brands with no third-party branded apparel.
Retail of home furnishings (pillows, bedsheaths, curtains, door mats, towels, etc.), household products (dinner sets, glass tumblers, containers, steel utensils, etc.), travel accessories (backpacks, duffle bags, trekking bags, etc.), and footwear under own brands (Home Beautiful, Home Finery, Home Select, LevelNeXT, Tandem, Black Tie, Brioni, Scout, Pink Almond, Lucky Charm) and third-party brands (mixers, grinders, gas stoves, pressure cookers, induction cooktops, trolley bags).
Retail of food (milk, butter, curd, yogurt, paneer, cheese, ghee, chocolates, sweets, biscuits under brands Tat Bunnin, Taj Treat, Farm Brand, Brioni Gold, Sweet Corn), non-food (baby diapers, baby oil, soaps, shampoo, sanitizer, detergent under brands Choco Magic, Brioni, Brioni Active, White Power), staples (ragi, rice, flour, pulses, sugar, salt, spices, detergent under brands Gold Grain, Brioni, Swadesh) and home appliances (mixer grinder, pressure cooker, gas stoves, kettles, air fryers, geysers under Tandem brand) under own brands and third-party brands (biscuits, cakes, rusk, cookies, flavoured milk, detergent powder, hair shampoo, sanitary pad, baby diaper, toothbrush, shaving razor, etc.).
Trading of apparels
Trading of fast moving consumer goods
Trading of general merchandise
Exclusively own brands with apparel ranges for all family members including t-shirts, shirts, denim, athletic and leisure wear, night wear, innerwear, western wear, formal wear, and ethnic wear for men, women, children, and infants
Own brand and third party brand products including home appliances, crockery and utensils, home products and furnishings, toys, stationery, travel products and footwear
Own and third party brand products across packaged food, staples and non-food categories including biscuits, snacks, noodles, tea, coffee, staples (oils, ghee, spices), and non-food items (diapers, hair oil, sanitary pads, handwash)
Operation of grocery and general merchandise retail stores
SWOT Analysis
Strengths
- • One-stop destination for aspirational retail across three product categories(p.12)
- • Strong network of 645 stores across India with expanding presence(p.12)
- • Significant portfolio of own brands generating 71.81% of revenue(p.44)
- • Growing business with revenue increasing from ₹55.9B (FY2022) to ₹89.1B (FY2024)(p.43)
- • Improving profitability with profit margin expanding to 5.18% in FY2024(p.43)
- • Diversified vendor base with no over-dependence on single suppliers(p.28)
- • Efficient inventory management with improving inventory days from 71 to 60 days(p.30)
- • Strong cash generation from operations with ₹8.3B in FY2024(p.34)
- • Strong own-brand portfolio driving majority of revenue(p.46)
- • Significant store expansion and network growth(p.47)
- • Asset-light business model with leased infrastructure(p.47)
- • Demonstrated revenue and profit growth trajectory(p.65)
- • Focused on large, fast-growing aspirational segment with quality at affordable prices(p.93)
- • Diverse portfolio of 19+ own brands, 6 exceeding ₹5,000 million in sales annually(p.93)
- • Pan-India presence with 645 stores across 414 Tier 1, 2 and beyond cities as of Sept 2024(p.93)
- • Technology-enabled operations enabling timely, cost-effective merchandise delivery(p.93)
- • Experienced management with average 21 years retail/consumer industry experience(p.93)
- • Leadership in opening price points across major product categories vs. peers(p.145)
- • Own brands contribute 72.86% of revenue with 27.72% CAGR growth FY2022-24(p.145)
- • Fastest-growing offline-first diversified retailer by PAT growth FY2021-24(p.143)
- • Diverse, high-margin own-brand portfolio with strong revenue growth(p.151)
- • Pan-India store network with rapid expansion and proven unit economics(p.152)
- • Large, growing loyalty program with 133.82 million registered members(p.150)
- • Technology-enabled operations driving efficiency and omni-channel capability(p.152)
- • Most diversified merchandise mix among offline-first retailers(p.150)
- • Leadership in opening price points across key categories(p.150)
- • Leasehold store model enabling rapid rollout with capital efficiency(p.152)
- • Strong financial performance with consistent revenue and profit growth(p.153)
- • Established wholesale and retail trading business in India(p.212)
- • Strong revenue growth trajectory(p.209)
- • Significant goodwill and intangible assets from acquisitions(p.234)
- • Positive operating cash flows and liquidity position(p.210)
- • Profitable operations with improving margins(p.209)
- • No dividend payout policy allowing capital reinvestment(p.201)
- • Leading offline-first diversified retailer with significant market position(p.272)
- • Fastest-growing leading offline-first retailer with strong PAT growth(p.272)
- • Strong own brands portfolio with significant revenue contribution(p.273)
- • Rapid store expansion with strong network across India(p.273)
- • Leadership in opening price points across product categories(p.273)
- • Asset-light business model with operational efficiency(p.273)
- • Most efficient company in adjusted ROCE among leading offline-first retailers(p.274)
- • Strong profitability with improving profit margins(p.273)
- • Established offer structure with multiple investor categories and proportionate allocation(p.346)
- • Professional governance with independent board oversight(p.377)
- • Clear underwriting arrangements and financial safeguards(p.360)
Weaknesses
- • Complete reliance on third-party vendors for own-brand manufacturing(p.28)
- • Geographic concentration with 36.32% of revenue from three states (UP, Karnataka, Assam)(p.33)
- • Significant contingent liabilities of ₹606.61 million as of September 30, 2024(p.42)
- • High employee attrition rate of 72.08% for six months ended September 30, 2024(p.33)
- • Pending Enforcement Directorate investigation with potential penalties(p.29)
- • Subsidiary ARHPL facing multiple regulatory proceedings (247 statutory/regulatory matters)(p.37)
- • No proceeds from IPO for company; entire amount goes to promoter selling shareholder(p.42)
- • Pending regulatory approvals for store and distribution centre operations(p.45)
- • Past deficiency in internal controls regarding CSR compliance(p.49)
- • Dependence on Material Subsidiary for store operations and e-commerce(p.50)
- • History of store closures affecting expansion plans(p.48)
- • New brand launch failures affecting growth strategy(p.47)
- • Low inventory turnover of 8x, slower than peers like Avenue Supermarts (14x) and Trent (11x)(p.139)
- • Concentrated store portfolio with 451 of 645 stores (70%) in Tier 2 cities and beyond(p.97)
- • Limited geographic footprint compared to Reliance Retail's 18,806 stores(p.138)
- • Lower EBITDA margin of 13.27% vs. Premium Offline retailers at 11-18% and peer Avenue at similar levels(p.100)
- • Complete dependence on third-party vendors for own-branded product manufacturing(p.158)
- • Vendor concentration risk in contract manufacturing(p.158)
- • High store operating costs with thin margins despite growth(p.153)
- • Highly concentrated promoter ownership(p.238)
- • Delayed statutory provident fund deposits(p.229)
- • Non-compliance with CSR transfer requirements(p.230)
- • Audit trail deficiencies in accounting software(p.228)
- • High working capital variance in bank reporting(p.241)
- • Dependence on few major lenders(p.241)
- • Significant lease liability obligations creating fixed cost burden(p.250)
- • Central distribution centre concentration in North India(p.275)
- • Dependence on vendor relationships for manufacturing and product sourcing(p.273)
- • Significant contingent liabilities from pending litigation and tax matters(p.262)
- • Commodity price inflation increased COGS faster than revenue growth(p.293)
- • Exposure to contingent liabilities from tax and other matters(p.297)
- • Significant employee provident fund liability claim pending(p.311)
- • Extensive food safety and standards complaints and litigation(p.306)
- • Multiple legal metrology and regulatory violations(p.310)
- • Regulatory constraint on foreign investment limiting capital raising capacity(p.362)
- • Potential adverse impact from change in shareholding control structure(p.362)
- • Subsidiary operational limitations under sector-specific foreign investment restrictions(p.362)
Opportunities
- • Aspirational retail market projected to grow at 9% CAGR to ₹104-112 trillion by 2028(p.12)
- • Consistent shift towards organized retail from unorganized retail(p.12)
- • Own brand penetration can be further increased from current 71.81% of revenue(p.44)
- • Expanding store network with 645 stores providing growth potential in tier 2 and 3 cities(p.12)
- • Digital channels (mobile app and website) offer growth avenue complementing store footprint(p.12)
- • Pan-India store network expansion in new cities and towns(p.47)
- • Growth in India's aspirational retail market segment(p.53)
- • E-commerce and digital expansion capabilities(p.46)
- • Total addressable market for Aspirational Retail growing to ₹104-112 trillion by CY2028, +9% CAGR(p.143)
- • Middle-income households growing to 246 million by CY2028, primary target demographic(p.115)
- • Tier 2 cities and beyond poised for 32% CAGR growth in organized retail through CY2028(p.118)
- • Organized Apparel channel growing at 13% CAGR with unorganized share declining from 47-52% to 40-45%(p.123)
- • Organized Staples & FMCG channel set to grow 18% CAGR as unorganized share declines to 86-91% by CY2028(p.124)
- • General Merchandise channel growing at 18% CAGR with organized share expanding from 36-41% to 44-49%(p.125)
- • E-commerce penetration only 7% in India vs. 32% in China, indicating significant online expansion opportunity(p.132)
- • Value-First Offline retailers targeting 250 million addressable households with SAM of ₹90-96 trillion by CY2028(p.134)
- • Massive addressable market in aspirational retail segment with 9% CAGR(p.150)
- • Significant shift towards organized retail in aspirational segment(p.150)
- • Substantial untapped market in tier-2 cities with low organized retail density(p.153)
- • Opportunity to deepen penetration in existing markets(p.154)
- • Expansion of own brands and product portfolio(p.154)
- • Hyperlocal delivery expansion across store network(p.154)
- • Leverage consumer data and loyalty program insights(p.154)
- • Expansion of retail presence through store additions(p.233)
- • Growth in e-commerce channel through subsidiary(p.212)
- • Increasing inventory levels supporting revenue growth(p.236)
- • Improved profitability and earnings trajectory(p.209)
- • Diversified product portfolio across categories(p.244)
- • Large and growing middle-income consumer base in India(p.272)
- • Significant addressable market in aspirational retail segment with strong CAGR(p.272)
- • Shift towards organized retail providing expansion opportunity(p.272)
- • Omni-channel expansion through digital platforms(p.273)
- • Same-store sales growth potential through merchandise expansion(p.274)
- • Large whitespace for organized retail expansion in Tier 2 and beyond cities(p.274)
- • Store expansion and capital investment in new locations(p.293)
- • Expansion of warehouse and distribution network(p.318)
- • Geographic expansion across Indian states(p.316)
- • Multi-channel investor participation through advanced payment mechanisms(p.347)
- • Broad market access through multiple investor categories and allocation strategies(p.346)
- • Retail investor inclusion with dedicated allocation and manageable entry thresholds(p.346)
- • Accelerated listing timeline through modernized UPI processing(p.347)
Threats
- • Supply chain disruptions from vendor dependence affecting product availability(p.28)
- • Volatile raw material costs impacting product pricing and margins(p.28)
- • Changing consumer preferences difficult to predict and requiring timely adaptation(p.29)
- • Significant competition from established retailers in Indian retail sector(p.42)
- • Seasonal business with higher sales in Q3 leading to operational fluctuations(p.45)
- • Heavy lease liabilities (₹14.1B as of September 30, 2024) creating financial risk(p.38)
- • Centralized distribution hub in North India creating regional concentration risk(p.42)
- • Food safety and regulatory compliance risks for ARHPL with multiple food safety notices(p.37)
- • Intense competition from organized and unorganized retailers(p.53)
- • Vulnerability to economic downturns and inflationary pressures(p.53)
- • Dependence on third-party transportation services(p.49)
- • Cybersecurity and data security breach risks(p.45)
- • Natural disasters and fire incidents disrupting store operations(p.52)
- • Regulatory and compliance changes in labour laws and taxation(p.54)
- • Geopolitical tensions affecting supply chain and costs(p.53)
- • Economic downturns could materially reduce discretionary retail spending and overall sales(p.140)
- • Inflationary pressures diminish consumer purchasing power, particularly impacting aspirational retail where consumers are price-sensitive(p.140)
- • Geopolitical tensions could disrupt supply chains and increase costs(p.140)
- • Government policy shifts on taxation, FDI, and labour laws could introduce regulatory challenges(p.140)
- • Intensified competition with substantial investments and technological advancements from multiple business models(p.140)
- • Intense competition from organized and unorganized retailers(p.162)
- • Competitors with greater resources and established positions(p.162)
- • Regulatory complexity across multiple states and categories(p.168)
- • Food safety and compliance requirements under FSSA and allied regulations(p.164)
- • Environmental and waste management compliance obligations(p.169)
- • Exposure to competitive retail sector dynamics(p.212)
- • Dependence on lease arrangements for store locations(p.208)
- • Exposure to input price volatility in FMCG segment(p.244)
- • Working capital seasonality and inventory management risks(p.236)
- • Regulatory compliance obligations under MSMED Act(p.230)
- • Economic and market conditions in India beyond company control(p.275)
- • Risk of failure to identify and respond to changing consumer preferences(p.274)
- • Competitive landscape and rival brands affecting consumer choices(p.275)
- • Impact of technological advancements and e-commerce growth on retail(p.275)
- • Risk from supply chain disruptions and regional concentration(p.275)
- • Potential impact from changes in accounting standards and regulations(p.267)
- • Regulatory and food safety enforcement actions(p.306)
- • Directorate of Enforcement investigation regarding foreign investment(p.303)
- • Potential FEMA violation penalties(p.303)
- • Pending criminal proceedings involving company and subsidiaries(p.303)
- • Labour law compliance violations and pending notices(p.310)
- • Material civil litigation for fraud and misrepresentation(p.304)
- • Regulatory dependency on SEBI and government approvals for offer execution(p.341)
- • Potential offer withdrawal or postponement affecting investor confidence(p.340)
- • Minimum subscription requirements creating execution risk(p.340)
- • Foreign investment restrictions from border-sharing nations affecting international participation(p.362)
- • OCB investor exclusion reducing international investor base(p.362)
Promoters
| Name | Role | Pre-Issue | Post-Issue |
|---|---|---|---|
| Samayat Services LLP | Promoter and Promoter Selling Shareholder | 96.46% | — |
| Kedaara Capital Fund II LLP | Promoter | 0% | — |
| Samayat Services LLP | Promoter | 98.77% | — |
| Samayat Services LLP | Promoter | — | — |
| Samayat Services LLP | Promoter | 96.46% (4,453,118,981 equity shares of ₹10 face value) | — |
| Kedaara Capital Fund II LLP | Promoter | 0% (indirect control through Rishanth Services LLP and Rishay Services LLP) | — |
| Samayat Services | Promoter | 98.77% | — |
| Samayat Services LLP | Ultimate Holding Company | — | — |
| Kedaara Capital Fund II LLP | Ultimate Holding Entity / Entities which exercise control | — | — |
| Samayat Services LLP | Promoter Selling Shareholder | approximately 99% | — |
| Samayat Services LLP | Promoter Selling Shareholder | — | — |
Leadership
Gunender Kapur · Managing Director and Chief Executive Officer
Amit Gupta · Chief Financial Officer
Rahul Luthra · Company Secretary and Compliance Officer
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.
Vishal Mega Mart IPO FAQs
What is the lot size of Vishal Mega Mart IPO?
The minimum lot size of Vishal Mega Mart IPO is 190 shares. One lot costs ₹14,820 at the cut-off price.
When does Vishal Mega Mart IPO open and close?
Vishal Mega Mart IPO opened for subscription on 11 Dec 2024 and closed on 13 Dec 2024.
What is the listing date of Vishal Mega Mart IPO?
Vishal Mega Mart IPO listed on 18 Dec 2024.