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FSN E-Commerce Ventures Limited Capital/Financing Update 2023

May 15, 2023

61209_rns_2023-05-15_f3ee6c85-100d-428e-a62d-ee6099be6a3f.pdf

Capital/Financing Update

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FSN E - Commerce Ventures Limited

(formerly ‘FSN E-Commerce Ventures Private Limited’)

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May 15, 2023

National Stock Exchange of India Limited Exchange Plaza, 5[th] Floor, Plot No. C/1, G Block, Bandra – Kurla Complex, Bandra (E), Mumbai – 400 051

BSE Limited

Corporate Relationship Department, 2[nd] Floor, New Trading Wing, Rotunda Building, P.J. Towers, Dalal Street, Mumbai – 400 001

Symbol: NYKAA

Scrip Code: 543384

Dear Sirs,

Sub - Monitoring Agency Report for the quarter ended March 31, 2023

Pursuant to Regulation 32(6) of Securities Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015 read with Regulation 41(4) of Securities Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2018, please find attached the Monitoring Agency Report for the quarter ended March 31, 2023, issued by ICICI Bank Limited, Monitoring Agency, appointed to monitor the utilisation of proceeds of the Public Issue (IPO) of the Company.

Request you to please take the above on record.

Thanking you,

Yours faithfully, For FSN E-Commerce Ventures Limited

(formerly ‘FSN E-Commerce Ventures Private Limited’)

SUJEET Digitally signed by SUJEET ROOPCHA ROOPCHAND JAIN Date: 2023.05.15 ND JAIN 17:19:09 +05'30'

_______ Sujeet Jain Chief Legal and Regulatory Officer, Company Secretary & Compliance Officer Mem. No.: F6144

Registered Office: 104 Vasan Udyog Bhavan | Sun Mill Compound | S. B. Marg | Tulsi Pipe Road | Lower Parel (W) | Mumbai – 400013 Website: www.nykaa.com | Phone: +91 22 6614 9696 | Email – [email protected] CIN: L52600MH2012PLC230136

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Report of the Monitoring Agency

Name of the Issuer: : FSN E-Commerce Ventures Limited For quarter ended: Mar 31, 2023 Name of the Monitoring Agency: ICICI Bank Limited

a) Deviation from the objects: No deviation from the objects

  • (b) Range of Deviation*: Not applicable

Declaration:

We declare that this report is based on the format prescribed by the SEBI (ICDR) Regulations, 2018, We further declare that this report provides a true and fair view of the utilization of the issue proceeds.

We declare that we do not have any direct/indirect interest in or relationship with the issuer/promoters/ directors/management and also confirm that we do not perceive any conflict of interest in such relationship/interest while monitoring and reporting the utilization of the issue proceeds by the issuer.

Signature:

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Name of the Authorized Person/Signing Authority: Sagar Welekar Designation of Authorized person/Signing Authority: Chief Manager Seal of the Monitoring Agency: Date: 15[th] May 2023

Regd. Office: ICICI Bank Tower, Near Chakli Circle, Old Padra Rd, Vadodara 390 007, India

ICICI Bank Limited ICICI Bank Towers Bandra-Kurla Complex Mumbai 400 051, India

Tel.: (91-22) 2653 1414 Fax: (91-22) 2653 1122 Website www.icicibank.com CIN.: L65190GJ1994PLC021012

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1) Issuer Details:

Name of the issuer: FSN E-Commerce Ventures Limited

Names of the promoter: Mrs. Falguni Nayar , Mr. Sanjay Nayar., Sanjay Nayar Family Trust & Falguni Nayar Family Trust Industry/sector to which it belongs: E-Commerce Business

2) Issue Details:

Issue Period: October 28, 2021 to November 1, 2021

Type of issue (public/rights): Public Issue Type of specified securities: Equity Shares Public Issue Grading, if any: NA

Issue size (in Million): 'Equity Shares of ₹ 53,497.24 Million (Including Fresh Issue of ₹ 6,300 Million)

3) Details of the arrangement made to ensure the monitoring of issue proceeds:

Particulars Reply Source
of
information
/
certifications
considered
by
Monitoring
Agency
for
preparation
of
report
Comments of the
Monitoring
Agency
Comments of the
Board
of
Directors
Whether all utilization is as per the disclosures in the Offer
Document?
Yes/No Certificate provided
by Chartered
Accountant
Yes Yes
Whether shareholder approval has been obtained in case of
material deviations* from expenditures disclosed in the Offer
Document?
Yes/No NA NA NA
Whether the means of finance for the disclosed objects of
the issue has changed?
Yes/No Declaration provided
bythe company
No No
Is there any major deviation observed over the earlier
monitoringagencyreports?
Yes/No NA NA NA
Whether all Government/statutory approvals related to the
object(s)have been obtained?
Yes/No Declaration provided
bythe company
NA NA
Whether all arrangements pertaining to technical
assistance/collaboration are in operation?
Yes/No Declaration provided
bythe company
NA NA
Are there any favorable events improving the viability of
these object(s)?
Yes/No NA NA NA
Are there any unfavorable events affecting the viability of
the object(s)?
Yes/No Declaration provided
bythe company
No NA
Is there any other relevant information that may materially
affect the decision makingof the investors?
Yes/No NA NA No

*Where material deviation may be defined to mean:

a) Deviation in the objects or purposes for which the funds have been raised

b) Deviation in the amount of fund actually utilized by more than 10% of the amount projected in the offer documents. NA

Regd. Office: ICICI Bank Tower, Near Chakli Circle, Old Padra Rd, Vadodara 390 007, India

ICICI Bank Limited ICICI Bank Towers Bandra-Kurla Complex Mumbai 400 051, India

Tel.: (91-22) 2653 1414 Fax: (91-22) 2653 1122 Website www.icicibank.com CIN.: L65190GJ1994PLC021012

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4) Details of object(s)s to be monitored:

(i) Cost of object(s)-(All In ₹ millions) (i) Cost of object(s)-(All In ₹ millions) (i) Cost of object(s)-(All In ₹ millions)
Sr.
No
Item Head Source of
information /
certifications
considered by
Monitoring Agency
for preparation of
report
Original
Cost (as
per Offer
Documen
t)
Revised
Cost
Comments
of
Monitoring
Agency
Comments of Board of Directors
Reason
of cost
revision
Proposed
financing
option
Particulars
of firm
arrangeme
nts made
1 Investment in certain of our
Subsidiaries, namely, FSN
Brands and / or Nykaa Fashion
for funding the set-up of new
retail stores
As per Prospectus
and Company
Declaration
420.00 420.00 No
Comments
NA NA NA
2 Capital expenditure to be
incurred by our Company and
investment in certain of our
Subsidiaries, namely, Nykaa E-
Retail, FSN Brands and Nykaa
Fashion for funding the set-up
of new warehouses
As per Prospectus
and Company
Declaration
420.00 420.00 No
Comments
NA NA NA
3 Repayment or prepayment of
outstanding borrowings
availed by our Company and
one of our Subsidiaries, namely,
Nykaa E-Retail
As per Prospectus
and Company
Declaration
1560.00 1560.00 No
Comments
NA NA NA
4 Expenditure to acquire and
retain customers by enhancing
the visibility and awareness of
our brands
As per Prospectus
and Company
Declaration
2340.00 2340.00 No
Comments
NA NA NA
5 General Corporate Purposes * As per Prospectus
and Company
Declaration
1269.51 1305.72 No
Comments
NA NA NA
Total 6009.51 6045.72
  • On finalization of IPO issue expenses, the amount proposed to be utilized for General Corporate Purposes is revised to INR.1305.72 million, compared to the original amount of INR. 1269.51 million.

Regd. Office: ICICI Bank Tower, Near Chakli Circle, Old Padra Rd, Vadodara 390 007, India

ICICI Bank Limited ICICI Bank Towers Bandra-Kurla Complex Mumbai 400 051, India

Tel.: (91-22) 2653 1414 Fax: (91-22) 2653 1122 Website www.icicibank.com CIN.: L65190GJ1994PLC021012

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(ii) Progress in the object(s)-(All In ₹ millions) (ii) Progress in the object(s)-(All In ₹ millions) (ii) Progress in the object(s)-(All In ₹ millions)
S
r
.
N
o
Item Head Source of
information /
certifications
considered by
Monitoring
Agency for
preparation
of report
Amount
as
proposed
in Offer
Documen
t
Amount utilized* Total
unutilized
Amount
Comments
of
Monitoring
Agency
Comments of
Board of Directors
As at
Beginning
of the
quarter
During
the
quarter
#
At the
end of
the
quarter
Reason
of idle
funds
Propose
d
Course
of
Action
1 Investment in certain
of our Subsidiaries,
namely, FSN Brands
and / or Nykaa
Fashion for
funding the set-up of
new retail stores
CA
Certification
and Company
Declaration
420.00 129.17 53.41 182.58 237.42 No
Comments
NA No
Comme
nts
2 Capital expenditure
to be incurred by our
Company and
investment in certain
of our Subsidiaries,
namely, Nykaa E-
Retail, FSN Brands
and Nykaa Fashion
for funding the set-up
of new warehouses
CA
Certification
and Company
Declaration
420.00 269.07 55.87 324.94 95.06 No
Comments
NA No
Comme
nts
3 Repayment or
prepayment of
outstanding
borrowings availed
by our Company and
one of our
Subsidiaries, namely,
Nykaa E-Retail
CA
Certification
and Company
Declaration
1560.00 1560.00 - 1560.00 - No
Comments
NA No
Comme
nts
4 Expenditure to
acquire and retain
customers by
enhancing the
visibility and
awareness of our
brands
CA
Certification
and Company
Declaration
2340.00 2340.00 - 2340.00 - No
Comments
NA No
Comme
nts
5 General corporate
purposes*
CA
Certification
and Company
Declaration
1305.72 1305.72 - 1305.72 - No
Comments
NA No
Comme
nts
Total 6045.72 5603.96 109.28 5713.24 332.48

* On finalization of IPO issue expenses, the amount proposed to be utilized for General Corporate Purposes is revised to INR.1305.72 million, compared to the original amount of INR. 1269.51 million.

Regd. Office: ICICI Bank Tower, Near Chakli Circle, Old Padra Rd, Vadodara 390 007, India

ICICI Bank Limited ICICI Bank Towers Bandra-Kurla Complex

Tel.: (91-22) 2653 1414 Fax: (91-22) 2653 1122 Website www.icicibank.com CIN.: L65190GJ1994PLC021012

Mumbai 400 051, India

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(iii) Deployment of unutilized Public Offer proceeds- (All In ₹ millions)

Sr.
No
Type of instrument and name of the
entity invested in
Amount
invested
Maturity date Total Earning
Upto Maturity
Period (Pre Tax)*
Return on
Investment (ROI
%)
Market Value as at
the end of quarter
31.03.2023*
1 Fixed Deposit - Axis Bank Limited 18.60 09-04-2023 1.14 5.15% 19.69
2 Fixed Deposit - ICICI Bank Limited 19.48 10-04-2023 0.02 3.00% 19.48
3 Fixed Deposit - KMBL# 22.60 16-04-2023 0.43 5.75% 22.98
4 Fixed Deposit - Axis Bank Limited 18.50 09-05-2023 1.24 5.20% 19.60
5 Fixed Deposit - KMBL# 49.50 11-05-2023 2.81 4.40% 52.01
6 Fixed Deposit - KMBL# 43.70 23-05-2023 1.31 6.10% 44.63
7 Fixed Deposit - ICICI Bank Limited 22.50 03-07-2023 0.43 6.50% 22.56
8 Fixed Deposit - ICICI Bank Limited 21.50 24-07-2023 0.49 6.50% 21.56
9 Fixed Deposit - ICICI Bank Limited 22.50 02-08-2023 0.55 6.50% 22.56
10 Fixed Deposit - ICICI Bank Limited 21.00 21-08-2023 0.59 6.50% 21.06
11 Fixed Deposit - ICICI Bank Limited 22.50 04-09-2023 0.69 6.50% 22.56
12 Fixed Deposit - Axis Bank Limited 50.10 19-11-2023 3.69 7.15% 51.42
Total 332.48 13.39 340.10

KMBL – Kotak Mahindra Bank Limited

  • The exact earning & market value shall be available on redemption / realization of the Fixed Deposit The above table does not include net returns on fixed deposits of INR 3.61 million lying in the monitoring agency account of ICICI Bank Ltd as at Mar 31, 2023.

(iv) Delay in implementation of the object(s)-

Object(s)
Name
NA
Completion Date Delay (No. of
days/ months)
Comments of Board of Directors Comments of Board of Directors
As per Offer
Document
**Actual *** Reason of
delay
Proposed Course of Action
NA NA NA No comments
  • In case of continuing object(s) please specify latest/revised estimate of completion date

5) Details of utilization of proceeds stated as General Corporate Purpose (GCP) amount in the offer document: (₹/Million)

Sr.
No
Item Head Amount as
proposed in
Offer
Document
Amount utilized Amount utilized Total unutilized Amount
As at
Beginning of
thequarter
During the
quarter#
At the end
of the
quarter
1 General Corporate
Purpose
1305.72 1305.72 - 1305.72 -

* On finalization of IPO issue expenses, the amount proposed to be utilized for General Corporate Purposes is revised to INR.1305.72 million, compared to the original amount of INR. 1269.51 million.

Signature:

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Name of the Authorized Person/Signing Authority: Sagar Welekar Designation of Authorized person/Signing Authority: Chief Manager Seal of the Monitoring Agency: Date: 15[th] May 2023

Regd. Office: ICICI Bank Tower, Near Chakli Circle, Old Padra Rd, Vadodara 390 007, India

ICICI Bank Limited ICICI Bank Towers Bandra-Kurla Complex Mumbai 400 051, India

Tel.: (91-22) 2653 1414 Fax: (91-22) 2653 1122 Website www.icicibank.com CIN.: L65190GJ1994PLC021012