Hyderabad's Electronics Mart files Rs 500-crore IPO papers with SEBI

Consumer durables retail chain Electronics Mart India Ltd has filed preliminary papers with SEBI to raise Rs 500 crore through an initial share-sale.

The initial public offering (IPO) comprises sale of equity shares to the tune of Rs 500 crore, according to the draft red herring prospectus (DRHP).

The company intends to utilise the net proceeds to fund its capital expenditure and incremental working capital requirements to the extent of Rs 133.8 crore and Rs 200 crore, respectively.

In addition, Rs 50 crore will be used towards payment of debt. Funds will also be used for general corporate purposes.

Electronics Mart India Ltd (EMIL) was founded by Pavan Kumar Bajaj and Karan Bajaj as a proprietary concern with a consumer durables and electronics store under the name of 'Bajaj Electronics'.

EMIL is one of the fastest growing companies in the retail of consumer durables and electronics with over 1 crore customers, 7.5 lakh square feet of retail space across over 90 stores supported by a strong workforce of more than 2,600 professionals.

The Hyderabad-based company is also in the process of setting up another such niche outlet under the name of 'Audio & Beyond' catering to high end audio and home automation solutions.