INSUBCONTINENT EXCLUSIVE:
TCNS IPO: Shareholders of TCNS Clothing are selling up to 1,57,14,038 equity shares.TCNS Clothing Co Ltd (TCCL), which owns women's wear
brands W, Aurelia and Wishful, launched an initial public offer (IPO) on Wednesday
the TCCL IPO, estimated at Rs 1,125.12 crore, will close on July 20
TCNS Clothing designs, manufactures, markets and retails a wide portfolio of women's branded apparel
TCNS Clothing sells its products across the country through multiple distribution channels
As on March 31, 2018, TCNS has a distribution network of 465 exclusive brand outlets in the woman apparel category, 1,469 large format store
outlets and 1,522 multi-brand outlets.Out of the total 1.09 crore on offer, only 0.05 times were subscribed by 1 pm, according to data from
National Stock Exchange (NSE)
to the selling shareholders.Three product lines of TCNS ClothingW is a premium fusion wear brand, which merges Indian and western
sensibilities with an emphasis on distinctive design and styling
The brand is targeted primarily at the modern Indian woman's work and casual wear requirements, according to the company's
website.Aurelia is a contemporary ethnic-wear brand targeted at women looking for great design, fit and quality for their casual and work
As of March 31, 2018, Aurelia had 183 exclusive brand outlets and 752 large format store outlets located across 184 cities in India and one
outlet outside India.Wishful is a premium occasion wear brand, with elegant designs catering to women's apparel requirements for evening
negativesHDFC Securities said that TCNS is unable to anticipate and respond to changes in fashion trends
Besides, the company is unable to effectively manage or expand its retail network.Angel Broking said that TCNS Clothing's above industry
gross margin (55-60 per cent) could be dented by value focused fashion retailers and the high premium enjoyed by its brands may not be
Besides, the brokerage also cited promoters' stake coming down to 32 per cent after TCNS IPO from pre-IPO stake of 44 per cent as one of the
has an early-mover advantage in the women's apparel business which helped in establishing strong brands and generating industry above
The brokerage has a 'Neutral' call on TCNS Clothing IPO.Hem Securities said that TCNS Clothing's business model relies on the strength of
Term Subscribe" call on TCNS IPO or issue.
