IPO Corner: Allied Blenders & Distillers Ltd.

• Issue Opens: June 25, 2024
• Issue Closes: June 27, 2024
• Face Value: Rs 2 each
• Price Band: Rs 267 to Rs 281 per share
• Lot Size: 53 Shares
• Listing On: BSE & NSE
• Issue Size: 53,380,783 shares
• Fresh Issue: 35,587,189 shares (Rs 1000 cr)
• Offer for Sale: 17,793,594 shares (Rs 500 cr)
• Basis of Allotment: Friday, June 28, 2024
• Initiation of Refund: Monday, July 1, 2024
• Credit to Demat: Monday, July 1, 2024
• Listing Date: Tuesday, July 2, 2024

Financials

Allied Blenders and Distillers Limited’s revenue decreased by 1.27% and PAT rose by 8.47% between the financial year ending with March 31, 2023 and March 31, 2022.

Allied Blenders and Distillers is the largest Indian-owned Indian-made foreign liquor company with a product range which includes five main categories, i.e., whisky, brandy, rum, vodka and gin, has fixed the price band of Rs 267/- to Rs 281/- per Equity Share of face value Rs 2/- each for its maiden initial public offer. The Initial Public Offering of the Company will open on Tuesday, June 25, 2024, for subscription and close on Thursday, June 27, 2024. Investors can bid for a minimum of 53 Equity Shares and in multiples of 53 Equity Shares thereafter. The equity shares are proposed to be listed on BSE and NSE.

The IPO consists of fresh issue of up to Rs 1,000 crore and an offer for sale (OFS) of up to Rs 500 crore by Promoters. The proceeds from the fresh issue will be utilised to the extent of Rs 720 crore for prepayment or scheduled re-payment of a portion of certain outstanding borrowings availed by the company and general corporate purposes.

The company is the third largest IMFL company in India, in terms of annual sales volumes between Fiscal 2014 and Fiscal 2022 and also one of the only four spirits companies in India with a Pan-India sales and distribution footprint, and is a leading exporter of IMFL, with an estimated market share of 11.8% in the Indian Whisky market for fiscal 2023.

The Company started its journey in 1988 with the launch of flagship brand, Officer’s Choice Whisky which marked their entry into the mass premium whisky segment. From 2016 to 2019, Officer’s Choice Whisky was among the top-selling whisky brands globally in terms of annual sales volumes. Over the years, ABD has expanded and introduced products across various categories and segments. As of December 31, 2023, their product portfolio comprised 16 major brands of IMFL across whisky, brandy, rum, and vodka. ABDs brands which includes Officer’s Choice Whisky, Sterling Reserve, ICONiQ Whisky and Officer’s Choice Blue, are ‘Millionaire Brands’ or brands have sold over a million 9-liter cases in one year. As of March 31, 2023, their products were retailed across 79,329 retail outlets across 30 States and Union Territories in India.

ICICI Securities Limited, Nuvama Wealth Management Limited, and ITI Capital Limited are the book running lead managers and Link Intime India Private Limited is the registrar to the offer.