VLCC Health Care IPO is a proposed Mainboard Book Build Issue by VLCC Health Care Limited. The latest available Draft Red Herring Prospectus dated 13 August 2021 proposed a fresh issue of equity shares aggregating up to ₹300 crore and an Offer for Sale of up to 89,22,672 equity shares. The company had also proposed a Pre-IPO Placement of up to ₹100 crore, subject to applicable conditions.
VLCC Health Care Limited operates across the wellness and beauty services, personal care products and skill development segments. As of March 2021, the company had a presence across 310 locations in 143 cities in 12 countries covering South Asia, South East Asia, the GCC region and East Africa.
The latest offer documents available publicly do not provide a final price band, IPO opening date, closing date or minimum lot size. Therefore, these details are marked as Yet to be Updated rather than being estimated.
Table of Contents
VLCC Health Care IPO Details Information
| Particulars | Information |
|---|---|
| IPO Name | VLCC Health Care IPO |
| Company Name | VLCC Health Care Limited |
| IPO Type | Book Build Issue |
| IPO Category | Mainboard IPO |
| Face Value | ₹10 Per Equity Share |
| Price Band | Yet to be Updated |
| Issue Size | Yet to be Updated |
| Fresh Issue | ₹300 Crore |
| Offer for Sale | Up to 89,22,672 Equity Shares |
| Pre-IPO Placement | Up to ₹100 Crore |
| IPO Open Date | Yet to be Updated |
| IPO Close Date | Yet to be Updated |
| Anchor Investor Bidding | Yet to be Updated |
| Basis of Allotment | Yet to be Updated |
| Refund Initiation | Yet to be Updated |
| Shares Credited to Demat Account | Yet to be Updated |
| Listing Date | Yet to be Updated |
| Listing Exchange | BSE & NSE |
| Lot Size | Yet to be Updated |
| Registrar | KFin Technologies Private Limited |
| Book Running Lead Managers | ICICI Securities Limited, DAM Capital Advisors Limited and IIFL Securities Limited |
The fresh issue was proposed to raise up to ₹300 crore, while the OFS comprised up to 18,83,414 shares by Mukesh Luthra, 18,97,540 shares by OIH Mauritius Limited and 51,41,718 shares by Leon International Limited. The final total issue value cannot be determined until the offer price is announced.
VLCC Health Care IPO Dates
The latest available DRHP did not contain final IPO dates. The price band, bidding dates, allotment date and listing date will be updated after the company announces the final issue schedule.
| IPO Event | Date |
|---|---|
| Anchor Investor Bidding | Yet to be Updated |
| IPO Opening Date | Yet to be Updated |
| IPO Closing Date | Yet to be Updated |
| Basis of Allotment | Yet to be Updated |
| Refund Initiation | Yet to be Updated |
| Shares Credited to Demat Account | Yet to be Updated |
| Listing Date | Yet to be Updated |
VLCC Health Care IPO Reservation
The proposed IPO follows the book-building structure under which not less than 75% of the Offer was proposed to be allocated to Qualified Institutional Buyers, not more than 15% to Non-Institutional Investors and not more than 10% to Retail Individual Bidders, subject to valid bids and applicable regulations.
| Investor Category | Reservation |
|---|---|
| Qualified Institutional Buyers (QIB) | Not Less Than 75% |
| Non-Institutional Investors (NII) | Not More Than 15% |
| Retail Individual Investors (RII) | Not More Than 10% |
VLCC Health Care IPO Lot Size
The minimum bid lot and application amount were not disclosed in the available DRHP. These details will be updated once the final price band and lot size are announced.
| Application | Shares | Amount |
|---|---|---|
| Retail Minimum | Yet to be Updated | Yet to be Updated |
| Retail Maximum | Yet to be Updated | Yet to be Updated |
| S-HNI Minimum | Yet to be Updated | Yet to be Updated |
About VLCC Health Care Limited
VLCC Health Care Limited was originally incorporated as Curls & Curves (India) Private Limited in 1996 and was later converted into a public company and renamed VLCC Health Care Limited in 2004. The company’s registered office was at M-14 Greater Kailash-II, Commercial Complex, New Delhi, while its corporate office was at 64, HSIIDC Sector 18, Maruti Industrial Area, Gurgaon.
The company operates across three major business areas: Wellness & Beauty Services, Personal Care Products and Skill Development through VLCC Institutes. Its business includes wellness clinics, beauty and wellness treatments, personal care products and vocational training in beauty and nutrition.
Business Operations
VLCC Health Care’s business operations are spread across the following segments:
- Wellness Clinics – VLCC operates wellness and beauty clinics offering weight management, beauty treatments and wellness services.
- Personal Care Products – The company markets skincare, haircare and body-care products under the VLCC brand.
- VLCC Institutes – The company provides entry-level and advanced skill development courses in beauty and nutrition.
- International Operations – The company has operations across countries in South Asia, South East Asia, the GCC region and East Africa.
- Franchise Operations – The wellness clinic network includes company-operated as well as franchisee-operated centres.
As of March 31, 2021, VLCC operated 191 Wellness Clinics across 106 cities in 23 states, including 88 franchisee-operated clinics. It also operated 94 VLCC Institutes, including 52 company-operated and 42 franchisee-operated institutes.
Industry Overview
The Indian wellness and beauty industry includes beauty services, weight management, personal care products, fitness, wellness treatments and skill development. The sector has evolved from largely individual and small-scale operators towards organised multi-outlet businesses and branded service providers.
VLCC operates across both services and products, giving it exposure to the wellness and beauty services market as well as the personal care products segment. The company also uses its wellness clinics and customer base to support its personal care products business.
Business Strategy
VLCC’s proposed strategy includes expanding its wellness clinics and institutes, increasing its personal care products business and strengthening its digital capabilities.
The company also proposed leveraging technology and digital initiatives, expanding its presence in India and the GCC region, increasing same-store sales and strengthening brand visibility and customer loyalty.
VLCC Health Care IPO Financial Information
The latest offer-document financial information available is for FY2021, FY2020 and FY2019. The restated consolidated financial statements reported total income of ₹565.24 crore in FY2021, compared with ₹775.02 crore in FY2020 and ₹861.31 crore in FY2019.
VLCC Health Care Financial Summary
| Particulars | FY2021 | FY2020 | FY2019 |
|---|---|---|---|
| Revenue from Operations | ₹532.92 Crore | ₹769.57 Crore | ₹852.43 Crore |
| Total Income | ₹565.24 Crore | ₹775.02 Crore | ₹861.31 Crore |
| EBITDA | ₹150.12 Crore | ₹147.89 Crore | ₹123.30 Crore |
| Profit Before Tax (PBT) | ₹5.14 Crore | (₹16.53 Crore) | (₹53.25 Crore) |
| Profit After Tax (PAT) | ₹6.24 Crore | (₹15.31 Crore) | (₹52.71 Crore) |
| Net Worth | ₹70.97 Crore | ₹66.10 Crore | ₹73.22 Crore |
| Total Assets | ₹692.32 Crore | ₹751.34 Crore | ₹812.21 Crore |
VLCC reported a return to profitability in FY2021, with PAT of ₹6.24 crore compared with a loss of ₹15.31 crore in FY2020 and a loss of ₹52.71 crore in FY2019. Total income declined in FY2021 compared with FY2020, reflecting the impact on operations during the period.
VLCC Health Care IPO Key Performance Indicators (KPIs)
The key financial indicators disclosed in the available offer documents provide information about earnings, net worth and return on net worth.
| KPI | FY2021 |
|---|---|
| EPS – Basic | ₹1.63 |
| EPS – Diluted | ₹1.62 |
| RoNW | 8.60% |
| NAV Per Share | ₹18.84 |
| P/E | Yet to be Updated |
The company reported basic EPS of ₹1.63, diluted EPS of ₹1.62, RoNW of 8.6% and NAV of ₹18.84 for FY2021. The P/E ratio cannot be calculated until the final IPO price is available.
Objects of the VLCC Health Care IPO
The company proposed to utilise the net proceeds from the fresh issue for the following purposes:
- Setting up VLCC Wellness Clinics in India and the Gulf Cooperation Council region, VLCC Institutes in India and refurbishment of certain existing VLCC Wellness Clinics in India and the GCC region — approximately ₹83.24 crore.
- Repayment and/or pre-payment of certain borrowings of the company and its subsidiaries — approximately ₹66 crore.
- Investment in brand development — approximately ₹30.80 crore.
- Investment in digital and information technology infrastructure — approximately ₹40 crore.
- General corporate purposes.
The company stated that the proposed investments would support expansion of its wellness clinics and institutes, brand development and digital infrastructure, while part of the proceeds would be used for debt repayment.
VLCC Health Care IPO Listing Performance
The listing performance will be available only after the proposed shares are listed on the stock exchanges.
| Particular | Value |
|---|---|
| Listing Exchange | BSE & NSE |
| Listing Date | Yet to be Updated |
| Issue Price | Yet to be Updated |
| Listing Price | Yet to be Updated |
| Listing Gain | Yet to be Updated |
| Listing Gain (%) | Yet to be Updated |
VLCC Health Care IPO Subscription Status
The subscription figures will be updated when the IPO opens for bidding.
VLCC Health Care IPO Subscription
| Investor Category | Subscription |
|---|---|
| Qualified Institutional Buyers (QIB) | Yet to be Updated |
| Non-Institutional Investors (NII) | Yet to be Updated |
| Retail Individual Investors (RII) | Yet to be Updated |
| Total Subscription | Yet to be Updated |
VLCC Health Care IPO Review
VLCC Health Care operates an integrated wellness and beauty business covering clinics, personal care products and skill development institutes. The company’s operations extended across India and international markets, while its personal care portfolio included skincare, haircare and body-care products.
The company reported a return to profit in FY2021 after losses in FY2019 and FY2020. However, total income declined from ₹775.02 crore in FY2020 to ₹565.24 crore in FY2021. Investors reviewing the IPO should consider the company’s revenue trend, profitability, clinic expansion, personal care products business, debt position and the final valuation once the price band is announced.
VLCC Health Care IPO Strengths
- Established VLCC brand in the wellness and beauty industry.
- Integrated business model covering services, products and skill development.
- Presence across India and international markets.
- Large network of Wellness Clinics and VLCC Institutes.
- Diversified personal care product portfolio.
- Return to profitability in FY2021.
- Experienced promoters and management team.
VLCC Health Care IPO Risk Factors
- Revenue declined in FY2021 compared with FY2020.
- The company reported losses in FY2019 and FY2020.
- The wellness and beauty industry is competitive.
- The business depends on consumer discretionary spending.
- Expansion of clinics and institutes requires continued investment.
- International operations expose the company to different market conditions.
- Changes in consumer preferences may affect demand for products and services.
- The final IPO valuation and price band were not available in the latest DRHP.
VLCC Health Care IPO Promoters
The promoters of VLCC Health Care Limited are Mrs. Vandana Luthra and Mr. Mukesh Luthra. As per the available DRHP, the promoters and promoter group held 82.38% before the proposed Offer.
VLCC Health Care IPO Promoters Details
| Promoter | Designation |
|---|---|
| Mrs. Vandana Luthra | Promoter |
| Mr. Mukesh Luthra | Promoter |
VLCC Health Care IPO Management Team
The Board of Directors disclosed in the August 2021 DRHP included Mukesh Luthra as Chairman and Non-Executive Director, Jayant Khosla as Managing Director and Group Head, along with independent and nominee directors.
| Name | Designation |
|---|---|
| Mukesh Luthra | Chairman and Non-Executive Director |
| Jayant Khosla | Managing Director and Group Head |
| Sanjay Kapoor | Independent Director |
| Sanjay Mehta | Independent Director |
| Rajiv Krishan Luthra | Independent Director |
| Roshini Bakshi | Nominee Director |
VLCC Health Care IPO Registrar Details
KFin Technologies Private Limited was appointed as the Registrar to the Offer. The registrar is responsible for processing applications, finalising allotment and handling investor-related services.
| Particular | Details |
|---|---|
| Registrar Name | KFin Technologies Private Limited |
| Website | www.kfintech.com |
| IPO Allotment Status | Yet to be Updated |
| Email ID | [email protected] |
| Contact Number | +91 40 6716 2222 |
VLCC Health Care IPO Lead Manager Details
The Book Running Lead Managers appointed for the proposed IPO were ICICI Securities Limited, DAM Capital Advisors Limited and IIFL Securities Limited.
| Particular | Details |
|---|---|
| Lead Manager 1 | ICICI Securities Limited |
| Lead Manager 2 | DAM Capital Advisors Limited |
| Lead Manager 3 | IIFL Securities Limited |
VLCC Health Care Limited Contact Details
| Particular | Details |
|---|---|
| Company Name | VLCC Health Care Limited |
| Registered Office | M-14 Greater Kailash-II, Commercial Complex, New Delhi – 110048 |
| Corporate Office | 64, HSIIDC Sector 18, Maruti Industrial Area, Gurgaon – 122015 |
| Website | www.vlccwellness.com |
| Email ID | [email protected] |
| Contact Person | Narinder Kumar, Group Chief Financial Officer and Company Secretary & Compliance Officer |
| Contact Number | +91 124 4719 700 |
The above contact information is based on the latest available 2021 DRHP.
How to Check VLCC Health Care IPO Allotment Status
The IPO allotment status will be available after the basis of allotment is finalised.
Through KFin Technologies
- Visit the official KFin Technologies IPO allotment portal.
- Select VLCC Health Care IPO from the IPO list.
- Choose PAN Number, Application Number or DP/Client ID.
- Enter the required details.
- Click Submit to check the allotment status.
Through BSE
- Visit the official BSE IPO allotment page.
- Select VLCC Health Care IPO.
- Enter your PAN Number or Application Number.
- Complete the required verification.
- Click Search to view the allotment status.
VLCC Health Care IPO Conclusion
VLCC Health Care IPO was proposed as a Mainboard Book Build Issue comprising a fresh issue of up to ₹300 crore and an Offer for Sale of up to 89,22,672 equity shares. The proposed fresh issue was intended to fund clinic and institute expansion, debt repayment, brand development and digital infrastructure.
VLCC Health Care operates across Wellness & Beauty Services, Personal Care Products and Skill Development. For FY2021, the company reported total income of ₹565.24 crore and PAT of ₹6.24 crore, compared with a loss in FY2020.
The latest publicly available offer document located is the August 2021 DRHP. The final price band, IPO dates, lot size, subscription details and listing details are not available in that document and should be updated only after the company releases the relevant current offer documents.
VLCC Health Care IPO FAQs
What is VLCC Health Care IPO?
VLCC Health Care IPO is a proposed Mainboard Book Build Issue of VLCC Health Care Limited comprising a fresh issue of up to ₹300 crore and an Offer for Sale of up to 89,22,672 equity shares.
What is the price band of VLCC Health Care IPO?
The price band of VLCC Health Care IPO is yet to be announced in the latest available offer document.
What is the issue size of VLCC Health Care IPO?
The proposed fresh issue is up to ₹300 crore, along with an Offer for Sale of up to 89,22,672 equity shares. The final total issue value will depend on the final offer price.
When will the VLCC Health Care IPO open?
The VLCC Health Care IPO opening date is yet to be announced.
When will the VLCC Health Care IPO close?
The VLCC Health Care IPO closing date is yet to be announced.
On which stock exchanges will VLCC Health Care shares be listed?
VLCC Health Care shares are proposed to be listed on the BSE and NSE.
Who is the registrar for VLCC Health Care IPO?
KFin Technologies Private Limited is the Registrar to the proposed VLCC Health Care IPO.
What is the face value of VLCC Health Care IPO shares?
The face value of each VLCC Health Care equity share is ₹10.
What does VLCC Health Care Limited do?
VLCC Health Care operates across Wellness & Beauty Services, Personal Care Products and Skill Development through its wellness clinics, personal care products and VLCC Institutes.
What are the objects of the VLCC Health Care IPO?
The proposed fresh issue proceeds are intended for setting up and expanding VLCC Wellness Clinics and Institutes, refurbishment of existing clinics, repayment or pre-payment of certain borrowings, brand development, digital and information technology infrastructure and general corporate purposes.
