The initial public offering (IPO) of digital-first beauty brand Ravelcare Limited has witnessed an overwhelming response from investors on its second day. The public issue, which opened for subscription on December 1, is set to close on December 3. By the afternoon of Day 2, the offer was already subscribed a staggering 62.86 times, signaling robust investor confidence in the company's growth story.
Strong Investor Demand Across Categories
Data available until 3:20 PM on December 2 revealed a fascinating breakdown of the subscription numbers. The portion reserved for retail individual investors (RIIs) was booked 73.51 times. The non-institutional investors (NIIs) category, which includes high-net-worth individuals, saw an even more spectacular demand, getting subscribed a massive 112.41 times. The qualified institutional buyers (QIBs) portion received a healthy 6.8 times bids. In total, investors placed bids for 7.76 crore equity shares against the 12.35 lakh shares on offer.
IPO Details and Financial Snapshot
The Ravelcare IPO is a fresh issue of 19 lakh equity shares, aiming to raise ₹24.10 crore. There is no offer-for-sale (OFS) component, meaning all proceeds will go to the company. The price band has been fixed between ₹123 to ₹130 per share. With a lot size of 1,000 shares, the minimum investment for retail investors at the upper price band stands at ₹2.60 lakh.
Incorporated in 2018, Ravelcare is a direct-to-consumer (D2C) beauty and personal care brand. It sells haircare, skincare, and bodycare products through its own digital channels and major e-commerce platforms. The company has also expanded its reach to international markets like the UAE, USA, Australia, Canada, Germany, and Saudi Arabia.
Financially, the company reported a revenue of ₹24.98 crore and a profit after tax (PAT) of ₹5.25 crore for the financial year 2024-25. For the six months ended September 30, 2025, it posted revenue of ₹14.4 crore and a PAT of ₹3.2 crore.
Use of Proceeds and Key Dates
The company plans to utilise the net proceeds from the IPO for several strategic initiatives. A significant chunk, ₹11.5 crore, will be deployed for marketing and advertising to boost brand visibility. Another ₹7.8 crore is earmarked for setting up a new manufacturing facility in Mauje-Peth, Amravati. The remaining funds will be used for general corporate purposes.
Ahead of the public issue, Ravelcare raised ₹6.83 crore from anchor investors on November 28. The book-running lead manager for the issue is Marwadi Chandarana Intermediaries Brokers Pvt. Ltd., while Kfin Technologies Ltd. is the registrar.
The basis of allotment is expected to be finalised on Thursday, December 4. Successful applicants will likely get their shares credited on Friday, December 5, which is also the day refunds will be initiated for non-allottees. The equity shares of Ravelcare are scheduled to list on the BSE SME platform on Monday, December 8.
Grey Market Premium Signals Strong Debut
Investor optimism is further reflected in the grey market premium (GMP). On December 1, Ravelcare's GMP was ₹65. The grey market premium indicates the premium at which IPO shares are traded unofficially before listing. This GMP suggests the stock could debut at around ₹195 per share, a potential premium of 50% over the upper end of the IPO price band of ₹130. This positive sentiment in the grey market aligns with the strong subscription numbers seen during the offer period.
