Metro Brands Ltd
Complete IPO details, including price band, financials, subscription status, and key insights.
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IPO Snapshot
Key metrics and details at a glance.
Price Band
₹500
Per ShareLot Size
30 Shares
Minimum Investment
₹15,000
Issue Size
₹1,335.33 Cr
Face Value
₹5
Per ShareIPO Type
Book Building
Retail Quota
35%
QIB Quota
50%
NII Quota
15%
IPO Timeline
Important dates for your applying strategy.
Subscription Status
Live demand across investor categories.
Track real-time subscription levels:
*Real-time data subject to exchange updates
Metro Brands Ltd
Business model, operations, and market positioning.
Promoter Holding (Pre-Issue)
68.43%
Promoter Holding (Post-Issue)
68.43%
Issue Type
Book Building
ISIN
INE317I01021
About the Company
Metro Brands Limited is an Indian footwear retailer targeting the economy, mid and premium segments in the footwear market. The Company opened its first store under the Metro brand in Mumbai in 1955 and have since evolved into a one-stop shop for all footwear needs, by retailing a wide range of branded products for the entire family including men, women, unisex and kids, and for every occasion including casual and formal events. As of September 30, 2021, the Company operated 598 Stores across 136 cities spread across 30 states and union territories in India.
Industry Overview
The Indian footwear industry has witnessed increased activity over the last few years, with changing consumer attitude towards footwear. The footwear segment comprises approximately 1.5% share of total retail industry and is estimated at RS. 1 trillion as of Fiscal 2020. The segment is expected to grow in the coming years to reach an estimated Rs. 1.4 trillion by Fiscal 2025, growing at a CAGR of approximately 21% between Fiscals 2021 and 2025.
Company History
Metro Brands Limited was originally incorporated as "Metro Shoes Private Limited", a private limited company under the Companies Act, 1956 on January 19, 1977, at Mumbai, Maharashtra. The name of the Company was subsequently changed to "Metro Shoes Limited" on May 18, 1992 upon conversion into a deemed public company. Thereafter, the Company was converted into a private limited company and the name was changed to "Metro Shoes Private Limited" with effect from October 16, 2002. Subsequently, the name of the Company was again changed to "Metro Shoes Limited" pursuant to a special resolution passed by the shareholders of the Company on March 21, 2007. A fresh certificate of incorporation consequent to change of name was issued by the RoC on May 14, 2007. Thereafter, the name of the Company was further changed to "Metro Brands Limited" pursuant to a special resolution passed by the shareholders of the Company on August 3, 2018. A fresh certificate of incorporation pursuant to change of name was issued by the RoC on September 6, 2018.
Financial Performance
Revenue, profit after tax and total assets across the last 3 reported financial years.
Revenue
Amount in ₹ crore
Profit After Tax (PAT)
Amount in ₹ crore
Total Assets
Amount in ₹ crore
Figures in ₹ crore, on a consolidated basis, as reported for FY24 to FY26.
Objects of the Issue
How the company plans to utilize IPO proceeds.
Use of Proceeds
The funds raised through this IPO will be used for:
Initial public offering of 27,350,100* equity shares of face value of Rs. 5 each ("Equity Shares") of the company for cash at a price of Rs. 500 per equity share (including a share premium of Rs. 495 per equity share) ("Offer Price") aggregating to Rs. 1367.51 crores (The "Offer") comprising a fresh issue of 5,900,000* equity shares aggregating to Rs. 295.00 crores by the company (The "Fresh Issue") and an offer for sale of 21,450,100* equity shares aggregating to Rs. 1072.51 crores by the selling shareholders comprising 13,015,000 equity shares aggregating to Rs. 650.75 crores by the promoter selling shareholders, 8,427,000 equity shares aggregating to Rs. 421.35 crores by the promoter group selling shareholders and 8,100 equity shares aggregating to Rs. 0.41 crores by the other selling shareholder (together the "Offer for Sale"). The offer would constitute 10.07 % of the post-offer paid-up equity share capital. *Subject to the finalisation of the basis of allotment. The offer price is 100 times the face value of the equity shares. Bids can be made for a minimum of 30 equity shares and in multiples of 30 equity shares thereafter.
*Subject to approvals and market conditions.
Strengths & Risks
Key competitive advantages and factors to consider before investing.
- One of India's largest pan India footwear retailers with a brand appeal among aspirational consumer segments in the fast-growing footwear retail industry;
- Wide range of brands and products catering to all occasions across age groups and market segments resulting in strong customer loyalty;
- Efficient operating model through deep vendor engagements and TOC based supply chain;
- Asset light business with an efficient operating model leading to sustained profitable growth;
- Presence across multiple formats and channels;
- The current and continuing impact of the ongoing COVID-19 pandemic on its business and operations has been significant. The impact of the pandemic on its operations in the future, including its effect on the ability or desire of customers to visit its stores, is uncertain and may be significant and continue to have an adverse effect on its business prospects, strategies, business, operations, its future financial performance, and the price of the company Equity Shares.
- The company inability to identify customer demand accurately and maintain an optimal level of inventory in its stores may impact the company operations adversely.
- The company inability to promptly identify and respond to changing customer preferences or evolving trends may decrease the demand for its products among its customers, which may adversely affect the company business, profitability and results of operations.
- The company may not be successful in maintaining and enhancing awareness of its brands. Any deterioration in public perception of its brands could affect customer foot fall and consequently adversely impact its business, financial condition, cash flows and results of operations.
- If the company is unable to effectively manage or expand its retail network and operations or pursue its growth strategy, its new stores may not achieve its expected level of profitability which may adversely affect its business prospects, financial condition and results of operations.