MUMBAI: Allied Blenders & Distillers (ABD), the largest domestic spirits company, will file for an IPO at Rs 2,000 crore later this month with a valuation of nearly Rs 20,000 crore or $2. 5 billion. The Company has retained ICICI Securities, Axis Capital, Kotak Mahindra Capital and JM Financial to administer the public offering.
The IPO will be a combination of a new capital raise by the company and a 50:50 bid to sell by some of its promoters, sources said. It will use Rs 1,000 crore to pay off part of its debt and part to expand its business, including launching new brands, they added.
ABD, the makers of popular brands like Officer’s Choice and Sterling Reserve, had been planning to go public for a number of years. According to Merchant Bankers, ABD is the largest indigenous alcohol company in India and the third largest behind global players Diageo and Pernod Ricard.
A text message to Kishore Chhabria, ABD’s chairman and main supporter, went unanswered at press time. Upon listing, ABD will be the first listing by a brewery and distillery in more than a decade. Globus Spirits was the last such company to go public, in 2009, according to BSE data.
ABD began operations in 1988 with Officer’s Choice as its flagship brand. It is currently the third best selling whiskey in the world. In 2017, ABD entered the premium segment with Sterling Reserve.
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