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Swara Baby Products Secures SEBI Nod For ₹1,000 Cr IPO

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Swara Baby Products Secures SEBI Nod For ₹1,000 Cr IPO

Swara Baby Products, a contract manufacturer of disposable hygiene products and a subsidiary of omnichannel kidswear brand FirstCry’s parent Brainbees Solutions, has received approval from SEBI for its proposed ₹1,000 Cr IPO.

Swara Baby Products filed its DRHP in July this year. According to SEBI’s latest processing status update, the regulator issued the final observation today.

The IPO will comprise a fresh issue of equity shares worth up to ₹500 Cr and an offer for sale (OFS) of shares aggregating up to ₹500 Cr.

Brainbees Solutions, which owns a 76.6% stake in Swara Baby Products, will sell shares worth up to ₹300 Cr through the OFS. Another promoter selling shareholder, Anadya Bon Merchari LLP, will offload shares worth up to ₹200 Cr. The company may also consider a pre-IPO placement of up to ₹100 Cr. 

Swara Baby Products plans to use the net proceeds from the fresh issue primarily to expand its manufacturing capacity and pare debt.

Around ₹198.2 Cr will be used to set up a new manufacturing facility in Madhya Pradesh, while ₹100 Cr will go towards repayment or prepayment of certain borrowings. Another ₹27.5 Cr will be invested in subsidiaries Solis Hygiene, Swara Hygiene and K.A. Enterprises Hygiene Pvt Ltd (KAEHPL) for debt repayment.

The company also plans to pursue inorganic growth through unidentified acquisitions, alongside general corporate purposes.

Founded in 2018 by Alok Birla, Rahul Bubna and Ritum Jain, Swara Baby Products manufactures disposable hygiene products across the baby care, adult incontinence, and feminine hygiene categories.



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