Studds Accessories re-ignites plans for IPO
Two-wheeler helmets and accessories maker Studds Accessories Ltd has reignited its plans for an initial public offer of shares and has initiated talks with investment bankers as the domestic market is rising high on a IPO frenzy, sources said.
The company, which has over a fourth of the market share in India in two-wheeler helmets, had filed for an IPO in 2018 and had obtained regulatory approval for it, but did not go through with it as it was seeking a higher valuation than what it was getting, sources said.
Six years down the line, with the appetite for Indian IPOs stronger than ever, the company has started the process again though the valuation expectations may be more tempered. There was no response from the company to an email sent to it seeking clarification.
In the 2018 filing the company had planned to raise ₹98 crore through a fresh issue and there was an offer for sale component of 3.9 million shares. While the IPO amount is yet to be decided, sources said the company was generating adequate cash and the OFS portion was likely to be higher than the fresh issue.
