Sula Vineyards Ltd. is a corporation established in the year 2003. It is the largest wine manufacturer and retailer in India as of recent Statistics. The firm also vends wine under numerous well-known labels, namely Sula, which is the “category inventor” of wine in India, as well as “The Source”, “Dindori”, “Satori”, “Madera”, “RASA”, and “Dia”.
The operations of the corporation can be broadly categorised into two groups: the wine business, which includes the production of wine, the importation of wine and spirits, and the distribution of alcoholic beverages and wines, and the hospitality business, which consists of the sale of services from the planning and control of wine tourism enterprises like vineyard luxury resorts and wine tasting rooms.
In the states of Karnataka and Maharashtra, the firm now employs four operated and two rented manufacturing facilities to manufacture 56 distinct wine labels. With around 12,000 retail outlets nationwide in 2021, the firm will have built the most significant supply chain amongst wine businesses in India.
Market Share
According to total operational income, Sula Vineyards Ltd. continually expanded its market share in the grape wines category from 33% to 52%. Additionally, it dominates the market in the four pricing ranges: Economy, Premium, Elite, and Popular. W Red, white, sparkling, and red wines are among the varieties of wine for which it is acknowledged as the global leader per Technopak Report. By value, Sula Shiraz Cabernet is the wine that sells the most in India.
Initial Public Offering
On December 14, the initial public offering (IPO) of Sula Vineyards Limited came to a close after three days of trading. According to the Sula Vineyards IPO membership status, the public issue has gotten 2.33 times as many subscriptions as its retail half. Applicants anxiously await the Sula Vineyards IPO assignment date, which is probably on December 19, 2022, once the subscription period has closed. Its stock exchange listing is expected on December 22, 2022. Additionally, icy investor responses to the public problem have caused a decline in grey market sentiment. Market watchers claim that securities of Sula Vineyards Ltd. are now offered on the grey market for a premium of 10.
Just an Offer For Sale (OFS) of Indian Rs. 960.35 crore by the current shareholders was included in the offering. The promoters and promoter group held a maximum of 23,945,864 equity shares, or around 29% of the pre-offer authorised and paid-up equity share capital. About 28% of the shares are anticipated to remain after the IPO.
The offer’s earnings won’t be given to the corporation directly. The selling shareholders could get all profits from the offered shares they sold. Sula Vineyards received Rs 288.10 crore through anchor investors on December 9, 2022, in preparation for the IPO. The board distributed 80,70,158 shares to 22 anchor individuals for Rs 357 each.
