The country’s leading wine maker Sula Vineyards’ share sale via initial public offering (IPO) will open for subscription on December 12 and end on December 14. The company is planning to raise Rs 960 crore from the IPO which is purely an offer for sale by its promoters and existing investors. The bidding for anchor investors will open on December 9, the company said in a statement.
Sula Vineyards has fixed price band of Rs 340-357 per share in the IPO and retail investors will be allowed to bid for minimum one lot of 42 shares up to maximum of 13 lots. At the upper end of the price band one lot of Sula Vineyards shares will cost Rs 14,994. The company has reserved 50 per cent of shares in the IPO for Qualified Buyers (QIBs), 15 per cent for Non Institutional Investors (NII) which also include high net worth Individuals and 35 per cent for retail investors.
Sula Vineyards is planning to raise Rs 960 crore and it is entirely an offer for sale (OFS) aggregating to 26,900,532 equity shares by the promoter, investors and other shareholders.
Those offloading shares through the OFS route are promoter, founder and CEO Rajeev Samant, and investors such as Cofintra, Haystack Investments Limited, Saama Capital III, Ltd, SWIP Holdings Limited, Verlinvest S.A and Verlinvest France S.A.
Sula Vineyards has been recognised as the market leader across wine variants, including red, white and sparkling wines. The company distributes wines under a bouquet of popular brands such as Sula, its flagship brand, besides other popular brands like RASA, Dindori, The Source, Satori, Madera & Dia.
Currently, it produces 56 different labels of wines across 13 distinct brands at its four owned and two leased production facilities located in Maharashtra and Karnataka.
The Nashik-based wine maker's profit after tax increased multi-fold to Rs 30.51 crore for the six months ended September 30, 2022 from Rs 4.53 crore a year earlier. Its revenue from operations surged by 40.8 per cent to Rs 224.07 crore for the six months ended September 30, 2022 from Rs 159.15 crore registered in the same period of the preceding fiscal.
Kotak Mahindra Capital Company, CLSA India and IIFL Securities are the book running lead managers. The equity shares are proposed to be listed on BSE and NSE.
Reliance Corporate Advisory Services, a wholly-owned subsidiary of Reliance Capital, in 2018 sold a 19.05 per cent stake in Sula Vineyards for Rs 256 crore.
(With inputs from PTI)
