Sula Vineyards Ltd
Complete IPO details, including price band, financials, subscription status, and key insights.
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IPO Snapshot
Key metrics and details at a glance.
Price Band
₹357
Per ShareLot Size
42 Shares
Minimum Investment
₹14,994
Issue Size
₹960.35 Cr
Face Value
₹2
Per ShareIPO Type
Book Building
Retail Quota
35%
QIB Quota
50%
NII Quota
15%
IPO Timeline
Important dates for your applying strategy.
Subscription Status
Live demand across investor categories.
Track real-time subscription levels:
*Real-time data subject to exchange updates
Sula Vineyards Ltd
Business model, operations, and market positioning.
Promoter Holding (Pre-Issue)
27.15%
Issue Type
Book Building
ISIN
INE142Q01026
About the Company
Sula Vineyards Ltd is India's largest wine producer and seller as of March 31, 2022. The Company has been a consistent market leader in the Indian wine industry in terms of sales volume and value (on the basis of the total revenue from operations) since Fiscal 2009 crossing 50 per cent. market share by value in the domestic 100 per cent. grapes wine market in Fiscal 2012. Its consumer proposition focuses on offering its consumers extensive varieties of wine at varying price points, with 56 labels to choose from a portfolio of 13 distinct Own Brands as of September 30, 2022. Additionally, the company also import and distribute 21 international labels (18 wine labels, two vodka labels and one brandy label).
Industry Overview
The Indian alcoholic beverage market is the third largest market in the world after China and Russia. The Indian wine industry is growing at a much quicker pace at 18.3 per cent by value between Fiscal 2014 to Fiscal 2021 than the IMFL market growing at 10.8 per cent during the same period. India's per capita consumption of wine is less than 100 ml. The contribution of wine to overall alcohol consumption in India is less than 1 per cent against the world average of close to 13 per cent. According to Technopak, wine category in India is estimated at 2 million cases in Fiscal 2021 and projected to grow to 3.4 million cases by Fiscal 2025 with a CAGR of more than 14 per cent in volume.
Company History
Sula Vineyards Limited was incorporated as "Nashik Vintners Limited" as a public limited company under the Companies Act, 1956, pursuant to a certificate of incorporation issued by the Registrar of Companies, Maharashtra at Mumbai ("RoC") on February 26, 2003. The Company was granted the certificate for commencement of business on March 6, 2003 by the RoC. The name of the Company was changed to "Nashik Vintners Private Limited", pursuant to a fresh certificate of incorporation consequent on change of name issued by the RoC on January 24, 2006. Subsequently, the name of the Company was changed to "Sula Vineyards Private Limited", pursuant to a certificate of incorporation pursuant to change of name issued by the RoC on August 11, 2014. On the conversion of the Company to a public limited company, pursuant to a resolution passed by its Shareholders on December 27, 2021, its name was changed to "Sula Vineyards Limited" and a fresh certificate of incorporation was issued by the RoC on February 11, 2022.
Products & Services
- The Company is India's largest wine producer and seller.
Growth Strategy
- Continuous focus on its Own Brands
- Focus on premiumization of its product portfolio
- Increasing wine awareness and consumption, and penetrating further into Tier-1 and 2 cities in India
- Effectively use digital media to increase awareness of wine in India
- Continue to make sustainability and climate change readiness the heart of its long term strategy
- Pursue strategic investments and acquisitions to further consolidate the Indian wine industry
- Continue to expand its Wine Tourism Business
Customer Base
Wholesalers and Retailers
Financial Performance
Revenue, profit after tax and total assets across the last 3 reported financial years.
Revenue
Amount in ₹ crore
Profit After Tax (PAT)
Amount in ₹ crore
Total Assets
Amount in ₹ crore
Figures in ₹ crore, on a consolidated basis, as reported for FY24 to FY26.
Objects of the Issue
How the company plans to utilize IPO proceeds.
Use of Proceeds
The funds raised through this IPO will be used for:
Initial public offering of 26,900,530* equity shares of face value of Rs. 2 each ("Equity Shares") of Sula Vineyards Limited ("Company" or "Issuer") for cash at a price of Rs. 357 per equity share (including a share premium of Rs. 355 per equity share) (the "Offer Price") aggregating to Rs. 960.35 crores (the "Offer for Sale" or the Offer") comprising an offer for sale of 937,203* equity shares aggregating to Rs. 33.46 crores by Rajeev Samant (the "Promoter Selling Shareholder"), 7,191,835* equity shares aggregating to Rs. 256.75 crores by Cofintra S.A., 200,000* equity shares aggregating to Rs. 7.14 crores by Haystack Investments Limited, 687,389* equity shares aggregating to Rs. 24.54 crores by Saama Capital iii, Ltd., 121,076* equity shares aggregating to Rs. 4.32 crores by Swip Holdings Limited, 7,191,835* equity shares aggregating to Rs. 256.75 crores by Verlinvest S.A. and 6,579,565* equity shares aggregating to Rs. 234.89 crores by Verlinvest France S.A. (the "Investor Selling Shareholders"), 50,000* equity shares aggregating to Rs. 1.79 crores by Dinesh G. Vazirani, 2,250* equity shares aggregating to Rs. 08.00 crores by J.A. Moos, 479,063* equity shares aggregating to Rs. 17.10 crores by Karishma Singh, 8,625* equity shares aggregating to Rs. 0.31 crores by Major A.V. Phatak (Retd.), 1,007,314* equity shares aggregating to Rs. 35.96 crores by Narain Girdhar Chanrai, 2,014,758* equity shares aggregating to Rs. 71.93 crores by Ruta M. Samant 429,617* equity shares aggregating to Rs. 15.34 crores by Sanjay Naraindas Kirpalani (the "Other Selling Shareholders" and together with the promoter selling shareholder and the investor selling shareholders, the "Selling Shareholders", and such equity shares offered by the selling shareholders, the "Offered Shares"). The offer shall constitute 31.95% of the post-offer paid-up equity share capital of the company. *Subject to finalisation of basis of allotment Price Band: Rs. 357 per equity share of face value of Rs. 2 each. Bids can be made for a minimum of 42 equity shares and in multiples of 42 equity share thereafter.
*Subject to approvals and market conditions.
Strengths & Risks
Key competitive advantages and factors to consider before investing.
- High barriers of entry;
- Established market leader in the Indian wine industry with the leading brand "Sula";
- Largest wine producer in India with the widest and innovative product offering supported by an efficient production mechanism;
- Largest wine distribution network and sales presence;
- Secured supply of raw material with long term contracts exclusive to Sula;
- Its industry is subject to a licensing and excise regime with changing laws, rules and regulations and legal uncertainties, including adverse application of corporate and tax laws.
- The company benefit from high import duties imposed on imports of international wines in India, but these duties could be reduced or eliminated in the future, adversely affecting its Wine Business.
- Adverse climatic conditions may impact the quality of wine grapes which are its key raw materials.
- Any supply disruptions in its raw materials could adversely and materially affect the company business.
- Its may not be able to adjust the retail prices of the company products as a result of state regulation.