Crocodile manufacturer SP Apparels files for IPO

The makers Crocodile brand of menswear, Coimbatore’s SP Apparels, have filed for initial public offering (IPO). The draft red herring prospectus (DRHP) has been filed with capital market regulators SEBI (Securities and Exchange Board of India). The company is hoping to raise up to Rs 215 crores through fresh issuefs of shares. It may be recalled that in December 2014, another PE-backed apparel maker Monte Carlo Fashions went public.

SP Apparels is the third among PE backed firms to go for IPO. Early in 2015, theme park operator Adlabs Imagica went public. Recently, Jacob Ballas part-exited from PNC Infratech.

SP Apparels was established in 1989. It specialises in manufacturing and exporting knitwear, mainly children’s and women’s wear apart from menswear. Children and infant wear include body suits, sleep suits, tops and bottoms. These are exported to large retailers in Europe and the US. In the financial year 2014-15, the company exported approximately 29.15 million pieces of knitted garments to international customers such as TESCO and Primark. The company has two subsidiaries, Crocodile Products (CPPL) and SP Apparels (UK) (SPUK).