Exclusive : Homeshop18 files for a $75 million IPO at NYSE

Homeshop18 which earlier filed for a confidential IPO in 2012 has now filed for $75mn IPO at the New York Stock Exchange (NYSE).Homeshop18

Owned by Network18, Homeshop18 has booked $51 million in sales for the 12 months ended September 30, 2013. The company plans to list under the symbol HS.

Citi and Credit Suisse are the joint bookrunners on the deal. No pricing terms were disclosed and an exchange has not yet been announced.

In 2013, Homeshop18 raised $14mn from GS Home shopping and also raised $30 mn from Asian hedge fund OCP Asia Limited and Network18. Network18 holds 51% stake in the company and Korea’s G S Home Shopping owns 15%.

Homeshop18 IPO Details

- Over 8.9 million consumers have placed orders through our platform, and over 13.4 million transactions have been executed through our platform.

- Strong repeat business : 45% during the second quarter of fiscal 2014.

Homeshop18 Ownership Structure

Homeshop18 Ownership Structure

Homeshop18 Ownership Structure

TV Vs. Internet Business?

What’s interesting about Homeshop18 is that TV business drives almost 4 X the revenue, Internet business does.

What Sells Most @Homeshop18?

Homeshop18_sales_2013 Homeshop18_sales_2014

 

Digital – i.e. mobile phones, cameras, computers sell the most, followed by lifestyle (apparel, jewelry, health & beauty, office stationery etc).

What’s interesting is the low share of books – that definitely isn’t a good news for Homeshop18.

For fiscal years 2011, 2012, and 2013 and the six months ended September 30, 2013, the company reported revenue from operations of $19.2 million, $24.5 million, $40.7 million and $25.6 million.

For fiscal years 2011, 2012 and 2013 and the six months ended September 30, 2013, the total value of all products sold through Homeshop platform was $62.6 million, $108.5 million, $166.5 million and $94.6 million, respectively.

Recent Funding Spree in India’s Ecommerce Industry

- Flipkart Raised $160mn. Claims to have hit $1Bn GMV.

- Snapdeal which was rumored to be planning for an IPO raised $133.77mn from eBay.

Myntra raised $50mn.

Jabong has raised $27.5mn. They have sold off logistics arm, Javas.