IPO Details
Bidding Dates
21 Nov '23 - 23 Nov '23
Minimum Investment
₹14,896 / 1 Lot ( 49 Shares)
Price Range
₹288 - ₹304
Maximum Investment
₹193,648 / 13 Lots ( 637 Shares )
Retail Discount
Not Applicable
Issue Size
₹ 593 Cr
Investor category and sub category
Qualified Institutional Buyers | Non-Institutional Investors | Retail Individual Investors |IPO Dates
Important dates with respect to IPO allotment and listing
IPO Opening Date
Nov 21, 2023
IPO Closing Date
Nov 23, 2023
Basis of Allotment
Nov 29, 2023
Initiation of Refunds
Nov 30, 2023
Credit of Shares to Demat Account
Dec 3, 2023
IPO Listing Date
Dec 4, 2023
UPI Mandate Expiry Date
Nov 23, 2023
Flair Writing Industries India IPO Subscription Details
| Date | QIB | NII | Retail | Total |
|---|---|---|---|---|
Day 1Nov 21, 2023 |
0.56x | 2.94x | 3.05x | 2.31x |
Day 2Nov 22, 2023 |
1.43x | 10.61x | 7.56x | 6.46x |
Day 3Nov 23, 2023 |
122.02x | 35.23x | 13.73x | 49.27x |
Flair Writing Industries India IPO Subscription Status Live
| Investor Category | Subscription (Times) |
|---|---|
| Qualified Institutions Buyers | 122.02 |
| Non-Institutional Buyers | 35.23 |
| Retail Investors | 13.73 |
| Total | 49.27 |
About Flair Writing Industries India Ltd.
Flair Writing Industries is a leading manufacturer and distributor of writing instruments. The company’s primary products include pens, such as fountain pens, ball pens, roller pens, gel pens, metal pens, other stationery products, and calculators. ‘Flair’, i.e. their flagship brand, has enjoyed a market presence for over 45 years now. They also sell products under brands such as Pierre Cardin, Hauser, and Zoox.
To leverage their manufacturing capabilities, as well as their existing customer base, they have also diversified into manufacturing a wide range of houseware products. Major products in this category include casseroles, bottles, storage containers, serving solutions, cleaning solutions, and basket and paper bins. As of March 31, 2023, they offer 699 different products across all their categories. In India, their primary marketing channels comprise super-stockists, distributors, wholesalers, direct dealers, and retailers. This diverse network of distributors helps them understand consumer preferences and respond to them better.
Between FY 2017 to FY 2023, the company’s sales grew at a CAGR of approximately 14%. The Indian writing and creative instruments industry is dominated by organised players and is expected to grow at a CAGR of 7.7% to 8.4% over the financial years 2023 to 2028. A fledgling company with businesses in a growing sector can bear good returns over the years.
Flair Writing Industries India Ltd IPO Details
Flair Writing Industries India Ltd IPO Date
The dates for bidding for the Flair Writing Industries India IPO are November 22, 2023, to November 24, 2023.
Flair Writing Industries India Ltd IPO Price Band
Flair Writing Industries India is a book-built IPO. The price range is ₹288 to ₹304 per share.
Flair Writing Industries India Ltd IPO Lot Size
The Flair Writing Industries India Ltd IPO lot size is 49 shares per lot.
Flair Writing Industries India Ltd IPO Objectives
The net proceeds of the Flair Writing Industries Ltd IPO are proposed to serve the purposes listed below:
- Setting up a new manufacturing facility for writing instruments in district Valsad, Gujarat.
- Funding capital expenditure of the company and its subsidiary, Flair Writing Equipments Private Limited (FWEPL).
- Funding the working capital requirements of the main company and its subsidiaries i.e. FWEPL and Flair Cyrosil Industries Private Limited (FCIPL).
- Repayment/pre-payment, in part or full, of certain borrowings
- General corporate purposes
Peer Details
Some of the major peers of Flair Writing Industries include -
- Linc Ltd.
- Kokuyo Camlin Ltd.
- Hindustan Pencils Pvt Ltd.
- Reynolds Pens India Pvt Ltd.
- Luxor Writing Instruments Ltd.
- DOMS Industries Pvt Ltd.
How to check the allotment status of the Flair Writing Industries India Ltd IPO?
A: Steps to check IPO allotment status on Angel One’s app:
- Log in to the Angel One app
- Validate with an OTP
- Enter your application number, DP ID, and PAN number into the app
- Click on ‘Submit’
Contact Details of Flair Writing Industries India Ltd
Registered office: 63 B/C, Government Industrial Estate Charkop, Kandivali West, Mumbai 400 067, Maharashtra, India.
Phone: +91 22 4203 0405
E-mail:investors@flairpens.com
Flair Writing Industries Company Financials
| Financial year | Total Income | Total Expense | Profit After Tax |
|---|---|---|---|
| Total Income | 9,542.91 | 5,876.42 | 3,108.73 |
| Profit After Tax | 1,181.00 | 551.51 | 9.89 |
| Current Ratio | 2.23 | 2.37 | 3.41 |
| Return on Capital Employed | 31.24% | 17.41% | 0.14% |
| Debt to Equity Ratio | 0.26 | 0.39 | 0.49 |
Know before investing
Strengths
3-
They have a wide range of products across various price points catering to a broad range of consumers, including students, professionals, and offices. This level of diversification in both customers and product lines helps reduce risk and support growth in the long run.
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They are the largest player in the pens segment in FY2023 from the domestic pens segment only. They occupy approximately 9% market share in the overall writing and creative instruments industry in India. Among its peer group, they reported the highest operating and net income margins of 17.8% and 9.6%, respectively, in FY2022. This level of market power and profitability gives them a strong advantage in tackling competition.
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The company has the largest distributor/dealer network as well as wholesale/retailer network in the writing instruments segment in India. Their network comprises roughly 7,700 distributors/dealers and approximately 3,15,000 wholesalers/retailers as of March 31, 2023. Since this is a retail FMCG business, having a large distributor network is a major deciding factor when competing against rivals.
Risks
3-
A large part of their success is dependent on their brands ‘Flair’, ‘Pierre Cardin’, and ‘Hauser’, of which ‘Flair’ contributed 50.06% of the revenue from operations in FY2023. This level of concentration increases the risk of a sudden loss in revenue due to the failure of a single product.
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Their distribution network plays a significant role in the success of their business. However, they do not have any agreements with their distributors that prevent them from trading in their rival’s products. Therefore, their hold over the crucial aspect of a distribution network is not that strong, which may affect revenues in the long run.
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Some of the trademarks of their products are not yet registered, which exposes their product lines to copying by rivals.
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Flair Writing Industries India IPO FAQs
Flair Writing Industries India IPO is a book-built IPO. The dates for the IPO are November 22, 2023, to November 24, 2023.
The allotment date for the IPO is Thursday, November 30, 2023.
The IPO subscription window is November 22, 2023, to November 24, 2023.
The lot size for the IPO is 49 shares per lot.
Flair Writing Industries India Ltd will be listed on the BSE and NSE on Monday, December 5, 2023.
Listing gains cannot be ascertained before the listing of the IPO on the stock exchange. The date of listing is Tuesday, December 5, 2023.
Initially, the bank will only block the amount in your account. The money will not be debited until the stocks are allotted to you.
You must complete the payment process by logging in to your UPI handle and approving the payment mandate.
You can submit only one application using your PAN card.
