Allied Blenders and Distillers Ltd, the maker of Officer’s Choice whisky, on June 20 fixed a price band of ₹267 to ₹281 per share for its ₹1,500-crore initial public offering (IPO).
The initial share-sale will open for public during June 25-27 and the bidding for anchor investors will open for a day on June 24, the company announced.
Broking firms have pegged the company’s market capitalisation to ₹7,860 crore post-issue.
The initial share-sale comprises fresh issuance of equity shares worth ₹1,000 crore and an Offer-for-Sale (OFS) of shares to the tune of ₹500 crore by promoters.
As a part of the OFS, Bina Kishore Chhabria, Resham Chhabria Jeetendra Hemdev and Neesha Kishore Chhabria will sell shares.
Proceeds from the fresh issue worth ₹720 crore will be used for the payment of debt. Besides, a portion will be used for general corporate purposes.
The total debt on the the company’s books was around ₹808 crore as of December 2023.
Half of the issue size has been reserved for qualified institutional investors, 35% for retail investors and the remaining 10% for non-institutional investors. Further, investors can bid for 53 shares and in multiples thereof.
With a market share of over 8% in Indian-Made Foreign Liquor (IMFL) market by sales volumes in fiscal 2023, Allied Blenders and Distillers is engaged in the manufacturing, marketing and sale of alcoholic beverages in India and abroad. The product portfolio of the firm comprises several brands of IMFL across whisky, brandy, rum and vodka.
Some of the major brands of the company include Officer’s Choice whisky, Sterling Reserve whisky, Jolly Roger rum and Class 21 vodka.
ICICI Securities Ltd, Nuvama Wealth Management Ltd, and ITI Capital Ltd are the book running lead managers to the issue. The equity shares of the company are proposed to be listed on the BSE and NSE.
