Fashion retailer Gaurik Fashions has filed a draft red herring prospectus (DRHP) with the Securities and Exchange Board of India to raise funds through an initial public offering (IPO).
The proposed IPO comprises a fresh issue of up to 62 lakh equity shares and an offer-for-sale (OFS) of up to 8 lakh shares by Aries Opportunities Fund.
The company is engaged in the retail and distribution of fashion and lifestyle brands in India and operates a network of 59 stores across 14 states and union territories as of March 2026.
Gaurik Fashions has partnered with several international brands across footwear, apparel and accessories categories, including Skechers, Bugatti, Guess? and Sweaty Betty.
The company currently operates 33 stores for Skechers and 20 stores for Guess?. It also holds exclusive Indian distribution rights for Bugatti, T.T. Bagatt and Bagatt. Through its subsidiary, Nuvora Retail, the company has secured exclusive rights for London-based activewear brand Sweaty Betty as it looks to strengthen its position in the women’s athleisure segment.
Gaurik Fashions follows a combination of Company Owned Company Operated (COCO) and Franchise Owned Franchise Operated (FOFO) retail models.
The company plans to utilise the IPO proceeds towards store expansion, debt reduction and general corporate purposes. Around Rs. 43.81 crore (US $4.60 million) will be allocated towards setting up 18 new stores, including six Skechers stores, seven Guess? stores through Gaurik Lifestyle, and five Bugatti stores through Nuvora Retail.
The company also plans to use approximately Rs. 64.08 crore (US $6.73 million) towards repayment or partial repayment of borrowings in order to reduce interest costs and improve its debt-to-equity ratio. Remaining funds will be utilised for working capital requirements and brand-building initiatives.
Financially, Gaurik Fashions reported revenue from operations of Rs. 202.59 crore (US $21.29 million) during the first nine months of FY26. EBITDA stood at Rs. 52.95 crore (US $5.56 million), with EBITDA margin improving to 26.14%. Profit after tax (PAT) for the nine-month period reached Rs. 17.33 crore (US $1.82 million), while PAT margin stood at 8.55%.
