Imagine Marketing, the parent firm for consumer electronics brand boAt, has filed an Updated Draft Red Herring Prospectus (UDRHP) with the Securities and Exchange Board of India (SEBI), signalling plans for an initial public offering (IPO) of up to Rs 1,500 crore, of which around 66.7% will be raised through an Offer for Sale (OFS) by existing shareholders.
boAt IPO: Breakdown of issue
The company, which it says was the largest brand in India’s branded personal audio segment in FY2025 with a 26% market share by value and 34% by volume, is proposing a two-part issue: a fresh equity issue of up to Rs 500 crore and an offer for sale (OFS) of up to Rs 1,000 crore.
The offer for sale will include share sales by several existing shareholders, including Sameer Ashok Mehta, who will sell shares worth Rs 75 crore; Aman Gupta, who will offload shares worth Rs 225 crore; South Lake Investment Limited, a promoter selling shareholder, selling shares worth Rs 500 crore; Fireside Ventures Investment Fund-I, which operates under the Scheme of Fireside Ventures Investment Trust, selling shares worth Rs 150 crore; and Qualcomm Ventures, which will sell shares worth Rs 50 crore.
boAt IPO: Objctives of the issue
According to the filing, Imagine Marketing intends to deploy the net proceeds primarily to support operations and brand-building. The company plans to use around Rs 225 crore for working capital needs and Rs 150 crore for brand and marketing activities to increase product and brand visibility; the remaining funds are earmarked for general corporate purposes.
ICICI Securities, Goldman Sachs (India) Securities, JM Financial and Nomura Financial Advisory and Securities (India) have been appointed as bankers to the issue.