Flair Writing IPO: Subscription, Price, and Listing Details

Get all the details about the Flair Writing IPO, including subscription status, price band, and listing date. Don’t miss out on this investment opportunity. Read now!

Flair Writing Industries Limited is set to launch its Initial Public Offering (IPO), aiming to raise Rs 593.00 crores. The IPO comprises a fresh issue of 0.96 crore shares and an offer for sale of 0.99 crore shares, with a bidding period from November 22, 2023, to November 24, 2023.

Subscription and Listing Details of Flair Writing IPO

IPO Schedule

  • Bidding Period: November 22, 2023, to November 24, 2023
  • Allotment Finalization: Thursday, November 30, 2023
  • Listing Date: Tuesday, December 5, 2023

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Price Band

The IPO price band is set at ₹288 to ₹304 per share, with a minimum lot size of 49 shares.

Allotment Details

Retail investors can participate with a minimum investment of ₹14,896. For sNII (Small Non-Institutional Investors), the minimum lot size is 14 lots (686 shares), amounting to ₹208,544. For bNII (Big Non-Institutional Investors), it is 68 lots (3,332 shares), amounting to ₹1,012,928.

Book Running Lead Managers

Nuvama Wealth Management Limited and Axis Capital Limited are the book running lead managers, and Link Intime India Private Ltd is the registrar for the issue.

Flair Writing IPO Highlights

  • Issue Period: November 22, 2023, to November 24, 2023
  • Listing Date: Tuesday, December 5, 2023
  • Face Value: ₹5 per share
  • Price Band: ₹288 to ₹304 per share
  • Lot Size: 49 Shares

  • Total Issue Size: 19,506,578 shares (₹593.00 Cr)
  • Fresh Issue: 9,605,263 shares (₹292.00 Cr)
  • Offer for Sale: 9,901,315 shares (₹301.00 Cr)
  • Issue Type: Book Built Issue IPO
  • Listing At: BSE, NSE

Reservation Details

Flair Writing IPO offers 19,506,577 shares with allocations as follows:

  • QIB: 3,901,316 shares (20.00%)
  • NII: 2,925,987 shares (15.00%)
  • RII: 6,827,302 shares (35.00%)
  • Anchor investors: 5,851,972 shares (30.00%)

Anchor Investors and Timeline

The Flair Writing IPO raised Rs 177.90 crores from anchor investors. Anchor bidding took place on November 21, 2023, with a lock-in period for 50% shares until January 12, 2024, and the remaining shares until April 5, 2024.

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Tentative IPO Schedule

  • IPO Open Date: Wednesday, November 22, 2023
  • IPO Close Date: Friday, November 24, 2023
  • Basis of Allotment: Thursday, November 30, 2023
  • Listing Date: Tuesday, December 5, 2023

Lot Size Information

Investors can bid for a minimum of 49 shares, with details as follows:

  • Retail (Min): 1 lot (49 shares, ₹14,896)
  • Retail (Max): 13 lots (637 shares, ₹193,648)
  • S-HNI (Min): 14 lots (686 shares, ₹208,544)
  • S-HNI (Max): 67 lots (3,283 shares, ₹998,032)
  • B-HNI (Min): 68 lots (3,332 shares, ₹1,012,928)

Promoter Holding

The promoters hold 97.49% of the company pre-issue, which will reduce to 79.21% post-issue.

About Flair Writing Industries Limited

Established in 1976, Flair is a key player in developing and manufacturing writing instruments. With a focus on global business and social norms, it owns brands like FLAIR, HAUSER, PIERRE CARDIN, FLAIR CREATIVE, FLAIR HOUSEWARE, and ZOOX. In FY 2023, it sold 1,303.60 million units of pens globally.

Financial Performance

Flair Writing Industries Limited witnessed a significant growth in revenue and profit after tax between March 31, 2022, and March 31, 2023:

  • Revenue: ₹954.29 Cr (March 2023) vs. ₹587.64 Cr (March 2022)
  • Profit After Tax: ₹118.10 Cr (March 2023) vs. ₹55.15 Cr (March 2022)

Key Performance Indicators

  • Market Cap: ₹3204 Cr
  • P/E (x): 23.36
  • ROE: 31.17%
  • ROCE: 31.24%
  • Debt/Equity: 0.26
  • EPS (Rs): 12.33
  • RoNW: 31.17%

Objectives of the Issue

The net proceeds from the issue will be used for:

  1. Setting up a new manufacturing facility in District Valsad, Gujarat.
  2. Funding capital expenditure for the company and its subsidiary, FWEPL.
  3. Meeting working capital requirements of the company and its subsidiaries.
  4. Repayment/pre-payment of certain borrowings.

IPO Review

As per [Dilip Davda], FWIL is a leading player in writing instruments, stationery, and houseware. The issue, based on FY24 earnings, is fully priced, offering medium to long-term rewards.

Subscription Status

As of November 23, 2023, the Flair Writing IPO is subscribed 6.47 times. Retail, QIB, and NII categories are subscribed 7.57, 1.43, and 10.61 times, respectively.

Prospectus and Rating

Refer to the Flair Writing IPO DRHP and RHP for detailed information. The IPO has been rated 3.7 stars.

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