Upcoming IPO: Marri Retail Files Draft Papers with SEBI to Raise Funds

Marri Retail, an apparel and jewellery retailer based out of Hyderabad, has filed draft papers with the SEBI to raise funds through an initial public offering (IPO).  

As per the draft red herring prospectus filed on February 1, the IPO includes a fresh issue of shares worth ₹522 crore and an offer-for-sale of 2.7 crore equity shares by promoter Marri Venkat Reddy. 

Pre-IPO Fundraising Plan 

The company has also said that it may raise up to ₹104.4 crore through a pre-IPO placement. If this is completed, the size of the fresh issue will be reduced accordingly. The draft papers do not specify the timeline for the placement. 

Planned Use of Proceeds 

Proceeds from the fresh issue are proposed to be used across expansion, debt repayment and routine business needs.  

Around ₹250.5 crore has been earmarked for opening new stores, including 10 apparel outlets, one apparel store with a jewellery store-in-store format, and 2 standalone jewellery stores.  

Another ₹35.8 crore is proposed to be used towards lease and sub-lease rental payments for existing stores and warehouses. Debt repayment will account for ₹115.6 crore, while the remaining amount will be used for general corporate purposes. As of December 2025, the company had fund-based outstanding borrowings of ₹310.7 crore. 

Operations and Store Network 

Marri Retail started operations in 1999 as a proprietorship under the ‘Jeans Corner’ brand. It entered the large-format retail segment in 2013 with the launch of The Chennai Shopping Mall in Hyderabad.  

The company currently operates 34 stores across 26 districts in Telangana, Andhra Pradesh, Karnataka and Maharashtra. Its apparel business operates under brands such as The Chennai Shopping Mall, JC Mall, JC Brothers and Jeans Corner, while jewellery retail is carried out under The Chennai Shopping Mall Jewellers. 

Marri Retail Financial Performance 

During the 6 months ended September 2025, the apparel segment contributed 54% of total revenue, while jewellery accounted for over 45%. The company reported revenue of ₹1,301.4 crore and profit of ₹84.2 crore for the same period.  

For the financial year ended March 2025, profit declined 14.1% year-on-year to ₹99 crore, while revenue rose 10.8% to ₹2,456.3 crore. 

The proposed IPO is being managed by Nuvama Wealth Management, IIFL Capital Services and Motilal Oswal Investment Advisors. 

Read More: Upcoming IPOs This Week: 4 SME IPOs to Hit Market Between February 2 and February 6, 2026! 

Conclusion  

The proposed public issue combines fresh capital raising with a partial promoter exit through an offer-for-sale, subject to regulatory approvals. 

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