RSB Retail India Seeks Rs 1,500 Crore IPO for Growth Push
- RSB Retail India files DRHP with SEBI for Rs 1,500 crore IPO, including Rs 500 crore fresh issue and OFS of 2.98 crore shares.
- Proceeds to fund Rs 275 crore debt repayment, new store expansion, and general corporate needs.
- Operates 73 stores in South India under brands like R S Brothers and South India Shopping Mall, with FY25 profit of Rs 104 crore.
RSB Retail India Limited, the Hyderabad-based multi-format apparel retailer formerly known as R S Brothers Retail India Limited, has filed its draft red herring prospectus (DRHP) with markets regulator SEBI to raise around Rs 1,500 crore through an initial public offering (IPO), according to market sources.
The IPO will comprise a fresh issue of equity shares worth up to Rs 500 crore and an offer for sale (OFS) of around 2.98 crore equity shares by promoters and other shareholders. Prominent selling shareholders include Potti Venkateswarlu, Seerna Rajamouli, Tiruveedhula Prasada Rao, Potti Venkata Sai Abhinay, Seerna Suresh, Tiruveedhula Rakesh, Tiruveedhula Keshav Gupta, as well as Maturu Venkata Lakshmi Sindhu, Gourishetty Lalitha, and Potti Malathi Lakshmi Kumari.
As per the DRHP, the fresh issue proceeds will be used to repay or prepay Rs 275 crore of debt, set up new stores under the R S Brothers and South India Shopping Mall brands with an outlay of Rs 118 crore, and for general corporate purposes.
RSB Retail operates 73 stores across 22 cities in Telangana, Andhra Pradesh, and Karnataka under five formats: R S Brothers, South India Shopping Mall, Kanchipuram Narayani Silks, Dè Royal, and Value Zone Hyper Mart. In FY25, the company reported a profit after tax of Rs 104 crore on revenues of Rs 2,694 crore.
