Another retail player is knocking on Dalal Street's door. Gaurik Fashions Limited, the New Delhi-based company that runs Skechers, Guess? and Bugatti stores across India, filed its draft red herring prospectus with SEBI on May 10, 2026. The company plans to list on both NSE and BSE, with the issue size expected to be around ₹125 crore.
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For a business that was sitting on a net worth of just ₹0.41 crore back in FY20 with a debt-to-equity ratio of nearly 22 times, this DRHP filing marks quite a turnaround.
What's inside the IPO
The offer is a mix of fresh issue and offer for sale. The fresh issue portion is up to 62 lakh equity shares (around ₹110 crore), while Aries Opportunities Fund will sell up to 8 lakh shares through the OFS route. Total issue size comes to about 70 lakh shares.
Promoters Vishnu Pillai and Rajesh Dudi currently hold 63.45% in the company. Both bring serious retail experience from their stints at Adidas, Puma and Reebok, which probably explains how Gaurik landed such strong exclusive deals with global brands.
Credora Partners and Unistone Capital are the book-running lead managers. MAS Services is the registrar.
The financial turnaround
The numbers tell a clear story. Revenue from operations jumped from ₹57.98 crore in FY23 to ₹220.40 crore in FY25. For the nine months ending December 31, 2025, the company has already clocked ₹202.59 crore, which means FY26 will comfortably cross the ₹270 crore mark.
EBITDA margins have moved from 21.27% in FY23 to 26.14% in 9M FY26. Profit after tax went from a small ₹0.35 crore in FY23 to ₹17.33 crore in just nine months of FY26. Basic EPS now stands at ₹9.13 on an annualised basis.
Debt has come down sharply too. The debt-to-equity ratio fell from 6.30 in FY23 to 0.92 by December 2025. ROE for FY25 was 41.35% and ROCE was 36.08%, which are genuinely strong numbers for a retail business.
The brand portfolio
Gaurik runs 59 stores across 14 states. Skechers is the biggest franchise with 33 stores, and four of these are among the top 10 highest-grossing Skechers outlets in India. Guess? is run through subsidiary Gaurik Lifestyle with 20 stores. The company controls 22 of the 29 total Guess? stores operating in the country.
Bugatti, where Gaurik has exclusive India rights, is the productivity star. Just 5 stores, but they pull in ₹46,636 per square foot. The company also has exclusive India tie-ups for Bagatt, T.T. Bagatt and Sweaty Betty, the London-based activewear brand.
Where the money goes
Of the ₹110 crore fresh issue, ₹64.08 crore will go toward repaying debt at the parent and subsidiary levels. Another ₹43.81 crore is set aside for opening 18 new stores. This includes 6 new Skechers outlets, 7 Guess? boutiques and 5 Bugatti stores. Whatever's left goes to general corporate purposes.
The risks retail investors should think about
A few things stand out. Skechers alone brings in 56.16% of revenue, so any hiccup in that franchise relationship would hurt badly. Delhi-NCR and Karnataka together account for roughly 57% of revenue. And 84.41% of sales come from Tier 1 cities, which means the Tier 2 and Tier 3 story is yet to play out.
Also, 43 of the 59 stores sit inside premium malls. That's good for footfall but exposes the company to rent escalations and inventory write-down risks if fashion cycles turn quickly.
FAQs
When is the Gaurik Fashions IPO likely to open? The DRHP was filed on May 10, 2026. SEBI usually takes a few months to clear filings, so the listing window will become clearer once observations are issued.
What's the price band for the IPO? Not yet announced. It'll come closer to the IPO opening date through the red herring prospectus.
Which brands does Gaurik Fashions operate? Skechers, Guess?, Bugatti, Bagatt, T.T. Bagatt and Sweaty Betty, along with distribution rights for Ray-Ban (Luxottica) and Shrey in Delhi-NCR.
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