I got interested in this company when I read about the background of the entrepreneur - started off in a sari shop and has become a Rs.40 crore brand online! Started off small and definitely looks like he has the hunger for growth. Got to know that their products are good quality ( ordered a few to get actual feedback) and at reasonable price so the addressable market is quite big and they are one of the better vendors selling traditional women’s products on Myntra and other e-commerce channels. Sales have grown quite reasonably in spite of COVID.
They will be opening brick and mortar stores as well going forward to scale up their brand and business. I think the timing is fortuitous as they are starting them now probably at low rentals
Interestingly the promoter had some loans given to the company which he has chosen to convert to equity. Currently the stock is listed in the NSE SME (minimum lot size is 5000 shares) but will be migrating to the main board soon.
Sales - Approx 45 Cr, Market Cap - ~1 x Sales
Interesting play in the online space where most deals happen between 2 to 4 times sales.
Counterviews invited
Disc : Invested
2 posts - 2 participants