Devyani International Ltd. launched its Rs 1,838-crore initial public offering on Aug. 4, joining the companies going public in what may be India’s record year for maiden offers.
The operator of KFC, Pizza Hut and Costa Coffee stores in India will sell shares at Rs 86-90 apiece. The IPO comprises a fresh issue of Rs 440 crore and an offer-for-sale worth Rs 1,398 crore by selling shareholder—Dunearn and RJ Corp.
The company is seeking a market valuation of Rs 10,823 crore at the upper end of its price band.
Devyani International plans to use the proceeds to repay or make advance payments for long-term borrowings to the extent of Rs 324 crore. Outstanding borrowings as on June 30 stood at Rs 541.58 crore. The company has recorded an operating profit in each of the last three years, although it incurred a net loss during this period.
The company has raised Rs 824.8 crore by allotting 9.16 crore shares to 63 anchor investors before its IPO.
Besides Devyani International, Windlas Biotech Ltd., Exxaro Tiles Ltd. and Krsnaa Diagnostics Ltd. launched their maiden offers on Aug. 4. The IPOs will close on Aug. 6.
Subscription Details: Day 1
The IPO was subscribed 0.78 times as of 12 p.m. today.
Institutional investors: 0.00 times
Non-institutional investors: 0.09 times
Retail investors: 4.16 times
Employees: 0.22 times
Watch BloombergQuint’s IPO Adda with Devyani International: