Offer period |
Dec 12, 2022, to Dec 14, 2022, |
Price Band |
₹340 to ₹357 per share |
Lot Size |
42 Shares |
Issue Size |
₹960.35 Cr |
Listing Date |
Dec 22, 2022 |
Allotment Date |
Dec 19, 2022 |
Sula Vineyards Limited, established in 2003, is India's leading winemaker and seller as of March 31, 2022. With its flagship brand "Sula" serving as India's "category creator" of wine, the company also distributes wines under a number of well-known brands, including "RASA," "Dindori," "The Source," "Satori," "Madera," and "Dia."
The operations of the company are divided into two categories:
wine production, wine and spirit importation, and wine and spirit distribution (the "Wine Business")
the sale of services derived from the ownership and operation of wine tourism establishments such as vineyard resorts and tasting rooms (the "Wine Tourism Business")
The company currently produces 56 different wine labels in the Indian states of Maharashtra and Karnataka, using four owned and two leased production facilities.
With nearly 13,000 retail touchpoints across the country by 2021, the company will have built the largest distribution network among wine companies in India.
Furthermore, the company has a strong direct-to-consumer ("D2C") selling channel, primarily via the Wine Tourism Business facilities in Nashik and Bengaluru. Sula Vineyards Limited had entered into long-term supply agreements (of up to 12 years) with grape growers for approximately 2,290 acres as of September 30, 2022.
The company's distribution platform included over 50 distributors, 11 corporations, 14 licenced resellers, 7 company depots, and 3 defence units as of September 30, 2022. The company had over 23,000 points of sale as of March 31, 2022. (including over 13,500 retail touchpoints and over 9,000 hotels, restaurants, and caterers).
The company had 141 permanent sales employees as of September 30, 2022.
Sula Vineyards, India's largest winemaker, is planning an initial public offering (IPO) that will begin on December 12th and end on December 14th.
Sula Vineyards is regarded as a "category creator," It is the first IPO in India by a pure-play wine manufacturer.
The company intends to raise approximately Rs. 960.35 crores through a pure OFS of 25,546,186 equity shares. The price range is Rs 340-357, with a lot size of 42 shares. The shares will be distributed on December 19th, and the issue will go public on December 22nd.
The investment banks involved in the project are CLSA, Kotak Mahindra Capital, and IIFL Capital.
The following uses for the offering's net proceeds:
to conduct a public offering of up to 26,900,530 equity shares;
to reap the benefits of listing the equity shares on stock exchanges.
Period Ended |
Total Assets |
Total Revenue |
Profit After Tax |
Net Worth |
Total Borrowing |
31-Mar-20 |
831.04 |
523.21 |
-15.94 |
299.95 |
368.24 |
31-Mar-21 |
751.6 |
421.53 |
3.01 |
304.74 |
301.26 |
30-Sep-21 |
717.55 |
160.46 |
4.53 |
344.32 |
262.45 |
31-Mar-22 |
758.56 |
456.7 |
52.14 |
395.26 |
228.93 |
30-Sep-22 |
770.95 |
225.76 |
30.51 |
449.18 |
214.64 |
High entry barriers
Established market leader in the Indian wine industry with the leading brand "Sula"
India's largest wine producer, with the most diverse and innovative product offering supported by an efficient production mechanism;
India's largest wine distribution network and sales presence
Subjected to a licencing and excise regime with changing laws, rules, and regulations, as well as legal uncertainties, including the adverse application of corporate and tax laws;
Reduction or elimination of high import duties imposed on international wine imports into India
The effect of adverse weather conditions on the quality of wine grapes, which are the primary raw material
Inability to adjust retail prices of its products due to state regulation; • Changes in consumer taste and preference, with the possibility that they will not prefer wine in the future;
Any supply disruptions in raw materials
Enter your client ID
Enter the OTP received in your registered mobile number.
Choose the IPO and click on apply button.
Enter the UPI ID, Quantity, and Cut off price.
Click on submit button
Confirm the mandate the mandate request received on your phone by entering the UPI Pin.
You can also watch our youtube video on “How to Apply on IPO”
DISCLAIMER |
This report is only for the information of our customers. Recommendations, opinions, or suggestions are given with the understanding that readers acting on this information assume all risks involved. The information provided herein is not to be construed as an offer to buy or sell securities of any kind. ATS and/or its group companies do not as assume any responsibility or liability resulting from the use of such information.