Popees Baby Care Marks its Presence in the Stock Market

KOCHI:
In a significant development within the Kerala business landscape, Popees Baby Care, a brand renowned for its baby clothing, has transitioned into a publicly listed company in the stock market, bypassing the traditional Initial Public Offering (IPO) route.

The brand’s entry into the market was facilitated through the acquisition of shares in Archana Software Ltd, a company already listed on the Bombay Stock Exchange, by Popees’ promoters Shaju Thomas and his wife, Linta P. Jose. Following this acquisition, an application was submitted to ROC & BSE to change the name of Archana Software to Popees Cares Limited, marking a new chapter for the company.

Shaju Thomas, Managing Director of Popees, recently applied for share warrants worth ₹12.8 crores, with each warrant priced at ₹51.15, reflecting a strategic move to consolidate the company’s market position. This action comes on the heels of an attempted open offer in July to acquire additional shares in the market, an initiative that has since seen the market price of Archana Software soar, with daily gains in share value. Over the span of eight months, the share price escalated from ₹10 to surpass ₹100, a testament to the robust market confidence in the newly branded entity.

Popees Baby Care Products Private Limited, under the stewardship of Shaju Thomas and Linta P. Jose, has emerged as a company with revenues exceeding ₹100 crores, positioning itself as a rapidly growing retail chain in South India. According to the sources, the strategy behind merging this thriving entity with the newly public company is aimed at raising capital through private placement to fuel expansion across India, but management is not ready to comment on the same.

The entry of prominent baby care brand FirstCry into the public share market underscores the competitive landscape in this sector, hinting at a heated rivalry among the few brands that have recognised and capitalised on the opportunities in this niche market.

As Popees Baby Care embarks on this new journey, its strategic foray into the stock market without an IPO illustrates a savvy approach to business expansion and market penetration. This move not only signifies a major leap for the company but also sets a precedent for innovative market entry strategies in the competitive landscape of baby care products in India.