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Allied Blenders LTD. IPO: Review, Valuation, Opening Date & GMP

Allied Blenders LTD IPO - Complete Overview
What does the company do?
Allied Blenders IPO Overview
Company Financial
The objective of the Issue
Promoters and Management of Allied Blenders IPO
Allied Blenders IPO Lead Managers
Peers of Allied Blenders IPO
IPO's Valuations
Dividend Policy
IPO's Strengths
IPO's Weaknesses
IPO GMP Today
Conclusion

Allied Blenders LTD IPO - Complete Overview

Allied Blenders & Distillers (ABD) was founded in 1988 in Kolkata by Kishore Rajaram Chhabria. It has since grown to become the third-largest Indian-made foreign liquor company and the largest Indian-owned alcoholic beverage company, headquartered in Mumbai. Known for its diverse product range, ABD exports to 22 countries worldwide and is a major distributor of whiskey, rum, vodka, brandy, and other spirits.

In addition to its business operations, ABD actively engages in events such as the Sterling Reserve Cup for the Indian vs. New Zealand Cricket tournament in 2022.

What does the company do?

Allied Blenders & Distillers is a company that makes and sells lots of different kinds of drinks, like brandy, whisky, rum, and more. They have renowned brands like Officer's Choice and Jolly Roger. If we have a look in the liquor sector then we will find that ABD is present in 30 states and union territories, with 9 of their own bottling units and 1 distilling unit clearly having a dominant impact on the sector. They also team up with 22 other places to make their drinks. Officer's Choice Whisky, which they started in 1988, is super popular and one of the best-selling whiskies in the world.

Allied Blenders IPO Overview

Allied Blenders and Distillers' IPO will start on [-] and end on [-].

The Allied Blenders IPO price band has not been issued yet. The upcoming BSE NSE IPO’s listing date is also not confirmed yet.

The total issue size of this IPO amounts to Rs.2,000.00 CR. Out of the entire allocation, 35% is issued to retail investors.

Allied Blenders IPO timetable (Tentative)

Events	Date
IPO Opening Date	December 2023
IPO Closing Date	December 2023
IPO Allotment Date	December 2023
Refund initiation	December 2023
IPO Listing Date	December 2023

Allied Blenders IPO Details

IPO opening & closing date	– November to – December 2023
Face value	Rs. per share
Issue Price	Rs. per share
Lot Size	Shares
Price of 1 lot	-
Total Issue Size	shares (aggregating up to Rs.2,000.00 Cr)
Offer for sale	Shares of Rs.2 (aggregating up to Rs.1,000.00 Cr)
Fresh issue	Shares (aggregating up to Rs.1,000.00 Cr)
Listing at	BSE, NSE
Issue Type	Book Built Issue IPO
Registrar	Link Intime India Private Ltd

Allied Blenders IPO Lot Details

Minimum Lot Investment (Retail)
Maximum Lot Investment (Retail)

Allied Blenders IPO Reservation

QIB Shares Offered	Not more than 50%
Retail Shares Offered	Not more than 35%
HNI Shares Offered	Not more than 15%

Company Financial

(Amount in Crores)

Period	FY 21
Total Assets	2,298.57
Total Revenue	6,397.81
PAT	2.51
Net worth	381.78
Reserve & Surplus	263.71
Total Borrowings	954.74

REVENUE-DISTRIBUTION PRODUCT WISE
( in % age)

Particulars	31 DEC F.Y. 21	F.Y. 21	F.Y. 20
Whisky	97.06%	97.58%	96.55%
Brandy	0.56%	0.65%	1.19%
Rum	0.34%	0.35%	0.54%
Vodka	0.06%	0.10%	0.18%
Others	1.98%	1.32%	1.54%
Total	100.00%	100.00%	100.00%

REVENUE DISTRIBUTION STATE WISE
( % age)

State	31 DEC F.Y. 21	F.Y 21	F.Y 20
West Bengal	20.04%	19.71%	20.24%
Telangana	16.91%	17.81%	17.25%
Uttar Pradesh	14.78%	13.89%	11.68%
Rajasthan	6.04%	6.37%	6.81%
Karnataka	5.31%	5.05%	3.36%
Odisha	4.67%	4.13%	4.67%
Haryana	4.48%	4.77%	5.76%
NCT ofDelhi	2.19%	3.70%	4.88%
Jharkhand	1.98%	2.34%	1.54%
Total	76.40%	77.77%	76.19%

Revenue By Operations

(amount in millions)

Particulars	31 December FY 21	FY 21	FY 20
Revenue from operations	54,449.84	63,787.76	81,190.65
Other Income	75.89	190.36	165.47
Total	54,525.73	63,978.12	81,356.12

The objective of the Issue

The company intends to use the net proceeds for the following objectives.

Corporate objectives in general.
Repayment of a specified portion of existing Company borrowings, either in advance or according to a set schedule

Promoters and Management of Allied Blenders IPO

Mr. Kishore Rajaram Chhabria
Mrs. Bina Kishore Chhabria

Pre-issue Promoter Shareholding	96.21%
Post-issue Promoter Shareholding

Allied Blenders IPO Lead Managers

Equirus Capital Private Limited
Kotak Mahindra Capital Company Limited
JM Financial Limited
Axis Capital Limited
ICICI Securities Limited

Peers of Allied Blenders IPO

(as of June 8, 2022)

Name of the company	Face value Rs. per share)	P/ E	EPS (Basic) (Rs.)
Allied Blenders and Distillers Limited	2	-	-
United Spirits Limited	2	66.06	11.68
Radico Khaitan Limited	2	41.27	19.70
Globus Spirits Limited	10	14.90	65.01

IPO's Valuations

To assess the IPO's value, we require additional details not present in the company's DRHP and RHP. Therefore, we'll need to wait until more information becomes available.

Dividend Policy

Company hasn't paid dividends in past fiscal years. Whether we can pay them in the future depends on factors like profits, past dividend trends, capital needs, legal restrictions, and other relevant considerations evaluated by our Board.

IPO's Strengths

Largest Indian-owned IMFL company, third-largest in India by sales volume..
Strong brand recognition, evolved from a single to a multi-product company.
Three Millionaire Brands: Officer’s Choice, Sterling Reserve, Officer’s Choice Blue.
Pan-India distribution network, one of four with a nationwide presence.

IPO's Weaknesses

The business relies on various factors for growth and any drop in sales would be bad.
Most of the money comes from selling whisky.
Problems in advertising may hurt the brand, goodwill, and overall business performance.

IPO GMP Today

The GMP for the Allied Blenders IPO has not started yet. We will keep you updated with recent updates.

Conclusion

To sum it up, Allied Blenders & Distillers is a leading player in the world of alcoholic beverages, crafting a diverse range of drinks like whisky and rum. Their popular brands, including Officer's Choice, have earned them a global presence, making them a go-to choice for many. With an impressive network of manufacturing units and a rich history dating back to 1988, ABD continues to make a mark in the industry.