Why is FabIndia rushing its public offer?

The financial battering of the last 18 months and the absence of a sizeable e-commerce play do little to deter the ethnic wear retailer from going ahead with its IPO.

William Nanda Bissell must be one confident entrepreneur.

His company, ethnic wear and lifestyle retailer Fabindia, just announced a public issue of shares to raise Rs 4,000 crore. Most of the shares in the issue will be sold by Bissell, his family and other existing shareholders, with just a fraction constituting new shares, the proceeds of which will go to benefit the company.

Nothing amiss about that except Fabindia has had one of its worst years financially in 2020-21 and reported losses in the first six months of the current financial year as well. While it is the season for …

Author

T Surendar

Surendar helps lead the newsroom at The Morning Context as executive editor. Over the years, Surendar has worked in industries from pharmaceuticals to diamonds, as well as a stint as an equity analyst. In his long career as a business journalist, he has led teams at The Times of India, India Today and Fortune India. He was part of the founding team at Forbes India and interned at and published in The Times, London.

Executive Editor

surendar@mailtmc.com

Mumbai