SD Retail IPO

Their Company was originally incorporated as S D Retail Private Limited vide registration no. 146313 under the provisions of the Companies Act 1956 pursuant to Certificate of Incorporation dated May 14, 2004 issued by Registrar of Companies, Mumbai, Maharashtra. Further, the registered office of their Company was shifted from Mumbai, Maharashtra to Ahmedabad, Gujarat w.e.f. February 6, 2009. Subsequently their Company was converted into Public Limited Company and name of company was changed from S D Retail Private Limited to S D Retail Limited vide fresh certificate of incorporation dated June 19, 2024 issued by the Registrar of Companies, Central Processing Centre.

The India sleepwear market is anticipated to reach market size of USD 1303.88 Million by 2029, with progressive CAGR of 15.12% by 2024-29. The sleepwear industry in India has witnessed significant growth over the past decade. Traditionally, sleepwear in India consisted of simple and utilitarian garments, but evolving fashion trends, increasing disposable income, and a growing awareness of comfort and lifestyle have transformed this sector into a dynamic and profitable market.

Their company is in the business of designing, manufacturing, outsourcing, marketing, and retailing sleepwear under the brand name SWEET DREAMS. SWEET DREAMS is a sleepwear-focused company offering a wide portfolio of stylish and comfortable sleepwear for the entire family, celebrating the transition from work to home life and catering to every aspect of downtime. We design their products to cater to men and women across all age groups including kids (from age 2 Year to 16 Year) and fits that are suitable to various body types and physiques. In addition, we are in adjacent categories such as loungewear, workout wear, athleisure, and work leisure pants.

SD Retail IPO Strengths

• Multi-channel pan-India distribution network and newfound focus on EBOs.
• In-house expertise in designing and developing products.
• Strong unit economics with scalable asset light model.
• Scalable Business Model.
• Organizational stability along with management expertise.

SD Retail IPO Risks

• The application has been filed to NCLT under section 9 of Insolvency and Bankruptcy Code, 2016 against the Company and the same is pending with NCLT, Ahmedabad. Any adverse outcome of the pending proceeding will impact the operations of the Company.
• The company products are sold under a single brand, SWEET DREAMS’. Any inability to effectively market its products, or any deterioration in public perception of the company brand, could affect consumer footfall and consequently adversely impact its business, financial condition, cash flows and results of operations.
• Its business is primarily concentrated on the sale of women’s sleepwear’s and is vulnerable to variations in demand and changes in consumer preferences which could have an adverse effect on its business, results of operations and financial condition.