V-Mart Retail Ltd IPO - Feb 05, 2013

Issue Price: Rs. 195 - Rs. 215 Per Equity Share

Objects of the Issue:
The objects of the Issue are to:
1. Finance their expansion plans;
2. Part sale of equity shares of the Selling Shareholder; and
3. Achieve the benefits of listing on the Stock Exchanges.

Issue Detail:
»» Issue Open: Feb 01, 2013 - Feb 05, 2013
»» Issue Type: 100% Book Built Issue IPO
»» Issue Size: 5,746,000 Equity Shares of Rs. 10
»» Issue Size: Rs. 112.05 - 123.54 Crore
»» Face Value: Rs. 10 Per Equity Share
»» Market Lot: 66 Shares
»» Minimum Order Quantity: 66 Shares
»» Listing At: BSE, NSE

CARE has assigned an IPO Grade 3 to V-Mart Retail Ltd IPO. This means as per CARE, company has 'Average Fundamentals'. CARE assigns IPO grading on a scale of 5 to 1, with Grade 5 indicating strong fundamentals and Grade 1 indicating poor fundamentals.

Incorporated in 2002, V-mart is a medium-sized hypermarket format retail chain based in New Delhi. They are multi-brand family store offers apparels, general merchandise and kirana bazar.

VMRL has established stores in Metro, Tier-I, Tier-II and Tier-III cities which are primarily located as standalone stores in high-street areas and shopping hubs of such cities. The average size of store is approximately 8,000 Sq. Ft. The company follows the concept of "value retailing" to target the strata of the population belonging to the expanding “aspiring class‟ and “middle class‟ and is based on customer’s socio-economic conditions, purchasing power, demographic details and customer trends. Its offerings in untapped markets provide customers with a different shopping experience, comprising of a vast range of value retail products under a modern ambience and feel of a large retail mall.

V-mart have more than 62 stores across 53 cities including metro cities with a total area of more than 4 lac sq.ft. Company's stores are located in prime cities such as New Delhi, Gujarat, Uttar Pradesh, Bihar, Punjab, Chandigarh, Haryana, Jammu and Kashmir, Rajasthan and Madhya Pradesh. They are setting up stores across various small Indian towns and cities including Sultanpur, Ujjain, Motihari. Their aim is to provide fancy garments at lower price points in an organised modern retail format to middle and lower middle classes.

Company Promoters:
The Promoters of the Company are:
1. Madan Agarwal;
2. Lalit Agarwal; and
3. Hemant Agarwal

Company Financials:

Particulars	For the year/period ended (in Rs. Million)
	31-Mar-12	31-Mar-11	31-Mar-10	31-Mar-09	31-Mar-08
Total Income	2,819.54	2,147.98	1,441.56	1,423.57	980.71
Profit After Tax (PAT)	106.12	62.65	23.26	10.46	35.24