Adani Wilmar is one of the largest Fast Moving Consumer Goods operators in India and it is all set to get listed on February 8.The company runs under leadership of businessman Gautam Adani. The company has fixed the price of share at Rs 230 per share, the upper end of the price band.
The offer has witnessed great response from investors. The subscription to the IPO got closed on January 31. The most exciting part of the IPO launch was that non-institutional investors were at the front and they bid 56.3 times more than the quota that was allotted.
Adani Wilmar recorded great response from shareholders as well. They subscribed 33.33 times more than the allotted quota and employees of the company booked it over 51%. The participation of non-institutional and qualified institutional investors was good, they bought 3.92 and 5.73 times the portion set for them.
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The company now has the market cap of Rs 29,898.57 crore. The company raised Rs 3600 crore through IPO and the final amount received was Rs 3471.48 crore. The expenses of the issue launch were deducted. In grey market, the shares of Adani Wilmar traded at premium of Rs 30-35 over the final issue price of Rs 230 a share as per IPO Watch.
Out of Rs 3,600 raised by the IPO Rs 1,900 crore will be used for capital expenditure. Rs 1,058 crores will be used for repayment of debt and Rs 450 crore will be used for strategic acquisition.
Adani Wilmar edible oil has the market share of 18.3% which makes it No. 1 Brand in India. Since 2013, company has also been working on getting its hands on packaged foods like pulses, rice, wheat flour, sugar and soya chunks. The company has 19 refineries out of which 10 are located near the ports to reduce the transportation costs. A closer proximity to ports facilitates use of crude edible oil that comes from import.
