India’s largest wine producer Sula Vineyards will launch its initial public offering (IPO) next week on Monday, December 12 and close on December 14. If the IPO gets listed as planned, this would make Sula Vineyards India’s first pure-play wine manufacturer to make a debut on Dalal Street.
According to the company’s DRHP, the issue is entirely an offer for sale (OFS) by the promoters and existing shareholders of the company, who will offload about 2.56 crore equity shares from their kitty. This means that the proceeds will not go to the company.
Sula’s offer is a pure offer-for-sale (OFS) of up to 26,900,530 equity shares aggregating up to Rs 960.34 crore.
“Our Company expects that listing of the Equity Shares will enhance our visibility and brand image and provide liquidity to our Shareholders and will also provide a public market for the Equity Shares in India,” Sula Vineyards said in red herring documents filed with SEBI.
Sula IPO dates, price band
The wine maker has fixed the IPO price band at Rs 340-357 per share, according to Moneycontrol. The company’s IPO will open for subscription on December 12 and close on December 14. Bidding by anchor investors will open on December 9 while credit of shares will be Sula will start crediting shares on December 21 and the stock will be listed on exchanges on December 22.
As of March 31, 2021, Sula Vineyards is India’s largest wine producer and seller. The Nashik-based company was established in 1999 and its flagship brand ‘Sula’ is the ‘category creator’ of wine in India. Sula Vineyards also distributes wines under a bouquet of popular brands including RASA, Dindori, The source, Satori, Madera and Dia, among others.
For the six months ended September 2022, Sula Vineyards’ revenue came out to be Rs 224.06 crore against Rs 159.15 crore a year ago. The company’s total income during this period was reported at Rs 225.7 crore as against Rs 160.4 crore in the year-ago period. Net profit for the period stood at Rs 30.51 crore as against Rs 4.53 crore last year.
The wine maker had a presence in 25 states and six UTs as of September 30, 2022. Sula also has a global presence and it currently offers wines in over 20 countries including Spain, France, Japan, the United Kingdom and the US.
