FMCG company Adani Wilmar, a joint venture between Adani Group and Wilmar Group, plans to raise Rs 3600 crore through initial public offering (IPO).
The price band is fixed at Rs 218-230 per equity share. The IPO subscription will start on January 27 and end on January 31 ,2022.
The IPO comprises of only fresh issue of equity shares of face value Re 1 for an amount of up to Rs 3,600 crore, according to filing. Promoters and existing shareholders are not selling their stake via Offer For Sale in the issue.
The company has reserved equity shares aggregating up to Rs 107 crore for its eligible employees, who will get a discount of Rs 21 per share during the bidding process.
Adani Wilmar is one of the leading fast moving consumer goods (FMCG) company in India. The company focuses in providing essential kitchen commodities such as edible oil, wheat flour, rice, pulses and sugar. The company’s products are offered under different brands at various price levels catering to diverse customer groups.
Adani Wilmar has a dominant position among edible oil brands and it has a market share of 18.30% in branded edible oil category. Its flagship brand “Fortune” is the largest selling edible oil brand in India.
The company has a wide range of edible oil products which include soyabean oil, palm oil, sunflower oil, rice bran oil, mustard oil, groundnut oil, cottonseed oil, blended oil, vanaspati, specialty fats and a range of functional edible oil products with distinctive health benefits.
The company has 22 plants which are strategically located across 10 states in India, comprising 10 crushing units and 18 refineries. The company’s refinery in Mundra is the one of the largest single location refineries in India with a designed capacity of 5,000 million tonne per day.
The company plans to expand their business based on integrated business model and seek to develop additional integrated manufacturing facilities in the near future. Moreover, they also expect to establish additional food processing units at its existing crushing units or refineries.
The company operates in the following industries: packaged food , packaged edible oil, personal care, castor oil and derivatives, and oleochemical.
- Leading consumer product company with dominant position in edible oil and packaged food business as well as industry essentials.
- Integrated business model with well-established operational infrastructure and robust manufacturing capabilities.
- Strong raw materials sourcing capabilities.
- Expansive pan-India distribution network.
- Experienced and qualified senior management team.
For the year/period ended (Rs in crore)
Profit After Tax
Adani Enterprises Limited, Adani Commodities LLP and Lence Pte. Ltd are the promoters of the company.
Purpose of the IPO
The company wants to use the net proceeds from the IPO in the following ways:
- To expand their existing manufacturing facilities and to develop new manufacturing facilities aggregating to Rs 1900 crore.
- Repayment and prepayment of their borrowings totalling to Rs 1058.90 crore.
- Funding strategic acquisitions and investments amounting to Rs 450 crore.
- For general corporate purposes.
IPO Opening Date
January 27, 2022
IPO Closing Date
January 31, 2022
Book Built Issue IPO
Rs 1 per equity share
Rs 218 to Rs 230 per equity share
Minimum Order Quantity
IPO Lot Size