Flair Writing Industries files DRHP with SEBI
Flair Writing Industries has filed draft red herring prospectus (DRHP) with the market regulator Securities and Exchange Board of India (SEBI) to raise funds through an initial public offering (IPO). The IPO comprises a fresh issue of equity shares aggregating up to Rs 365 crore and an offer-for-sale (OFS) of equity shares worth up to Rs 380 crore by promoters and promoter group entities.
The company proposes to utilize the net proceeds of the fresh issue for setting up a manufacturing facility for writing instruments at Valsad district, in Gujarat; funding its capital expenditure and its arm Flair Writing Equipments; funding its working capital requirements and its subsidiaries, FWEPL and Flair Cyrosil Industries, payment of the loan, and general corporate purposes. Nuvama Wealth Management (formerly known as Edelweiss Securities) and Axis Capital are the book-running lead managers to the IPO issue.
Flair Writing Industries, which owns the over 45-year-old flagship brand ''Flair'', is among the top three players in the overall writing instruments industry with a market share of about nine per cent, as of March 2023. It manufactures and distributes writing instruments including pens, stationery products, and calculators, and has also diversified into manufacturing houseware products and steel bottles.
