Sula Vineyard gets SEBI nod for IPO
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Mumbai, Nov 08: The country's leading wine producer and seller Sula Vineyards have received Sebi’s approval for its IPO issue. The company filed the draft prospectus for the public issue in July this year.
The issue with a face value of Rs 2 per equity share is a complete offer for sale (OFS) aggregating up to 25,546,186 units.
Sula set up its first vineyard in 1996 and in 2000 it was the first to introduce varietal wines in India with the launch of Sauvignon Blanc, Chenin Blanc, Zinfandel, Riesling, Red Sparkling, and dessert wine offerings. The company has been a market leader in the Indian wine industry in terms of sales volume as well as value since FY 2009. Its wine processing units are located in the west and southwest of India. The flagship facility is located in Nashik, Maharashtra, and other processing units are situated in Maharashtra’s Dindori and Bengaluru and Basavakalyan in Karnataka. The company's revenue from operations increased 8.60% from Rs 417.96 crore in FY2021 to Rs 453.92 crore in FY 2022, primarily due to an increase in sales of manufactured goods under its brands, an increase in the selling price of wine in select brands and markets, increase in revenue due to increased focus on premiumization, a favorable response to its wine tourism business and increase in revenue from other operating income (government grants). The company clocked a profit of Rs 52.14 crore in FY22 against Rs 3.01 crore reported in the previous year.
Sula has been recognized as the market leader across wine variants, including red, white, and sparkling varieties. The company distributes wines under a bouquet of popular brands including Sula – its flagship brand – besides other popular brands like RASA, Dindori, The Source, Satori, Madera & Dia. Kotak Mahindra Capital, CLSA India, and IIFL Securities are the book-running lead managers and KFin Technologies is the registrar of the offer. The equity shares are proposed to be listed on the BSE and the NSE.