Private equity firm TPG has fully exited omnichannel kidswear retailer FirstCry, which operates under parent company Brainbees Solutions, through a bulk deal valued at ₹202 crore on the National Stock Exchange. The transaction involved TPG entity NewQuest Asia Investments III Ltd offloading its entire 2.21 percent holding, amounting to 1.2 crore shares, at an average price of ₹175.15 per share. The development underscores continued institutional repositioning in a stock that has faced sustained selling pressure despite a recent weekly rebound.
Transaction Details
According to exchange data, NewQuest Asia Investments III Ltd sold 1.2 crore shares at an average price of ₹175.15 per share, generating approximately ₹202 crore in proceeds. The block trade was executed at a discount of about 2.4 percent to FirstCry’s previous closing price on the exchange, reflecting a modest markdown for the exit. TPG had first invested in the company in 2021 and has been gradually reducing its stake since FirstCry’s initial public offering in 2024 through a series of secondary market sales.
Goldman Sachs Participation
Goldman Sachs Investments Mauritius I Ltd acquired 68 lakh shares at ₹175 per share, translating to a total investment of approximately ₹119 crore in the listed company. The global investment bank had earlier participated as an anchor investor during Brainbees Solutions’ initial public offering, signalling continued interest in the business. It remains unclear which investors purchased the remaining shares that were part of TPG’s block trade, although exchange data confirmed Goldman Sachs as the largest identifiable buyer.
Market Performance and Selling Pressure
FirstCry shares have risen 6.13 percent over the past week but remain down 37.4 percent on a year-to-date basis, reflecting the volatile nature of the stock. On 24 September 2026, the stock touched an intraday high of ₹181.55 and a low of ₹177 on the BSE before closing 0.66 percent lower at ₹179.40. TPG is believed to have used the recent weekly uptick to exit at a comparatively favourable price, while selling pressure remains evident on the counter.
Financial Performance
FirstCry continues to operate as a loss-making company while spending heavily to fend off competition in core categories and manage supply chain costs that are piling up. In the first quarter of fiscal 2027, the company reduced its net loss by 35 percent to ₹44 crore from ₹66.5 crore in the year-ago period, supported by better cost control. Operating revenue rose 13 percent year-on-year to ₹2,106.2 crore during the quarter, indicating gradual improvement in unit economics despite ongoing challenges.
Subsidiary IPO Plans
Separately, FirstCry’s subsidiary Swara Baby Products has filed its draft red herring prospectus with SEBI for an initial public offering. The proposed IPO is valued at ₹1,000 crore, comprising a fresh issue of equity shares worth up to ₹500 crore and an offer-for-sale component of up to ₹500 crore. Swara Baby Products specialises in disposable hygiene products and operates as a contract manufacturer, adding another potential capital markets event for the group.
Analyst Commentary
Technical analysts suggest that FirstCry remains in a downtrend and below key moving averages on the weekly chart, with the MACD line below the zero line on daily and weekly timeframes. The ₹200 to ₹205 zone is expected to act as immediate resistance, while support is seen in the ₹160 to ₹165 range. A decisive break below this support could extend the stock’s weakness, leaving the bearish trend intact.
TPG’s exit marks another milestone in the post-IPO shareholder transition for FirstCry, as early investors continue to pare positions after the company’s listing in 2024. The entry of Goldman Sachs through a sizeable block purchase provides a degree of institutional confidence in the company’s long-term prospects despite near-term headwinds. However, ongoing losses, competitive pressures, and a weak technical setup suggest that the stock may face continued volatility in the near term.