Adani Wilmar is among the few significant FMCG food firms in India to supply most of the fundamental kitchen commodities, such as edible oil, wheat flour, rice, lentils, and sugar, to Indian households. Adani Wilmar IPO will hit the market on 27 January 2022.
Table of Contents
About Adani Wilmar
Adani Wilmar is a joint venture formed in January 1999 by the Adani Group, a multinational diversified corporate group with major desires in transportation and logistics, and the Wilmar Group.
Wilmar group is one of Asia ‘s top agribusiness groups, which was regarded among the biggest listed firms on the Singapore Exchange by market capitalization as of February 2021.
They benefit from their strong parentage as a joint venture among the Adani Group and the Wilmar Group.
They gain from the Adani Group’s comprehensive knowledge of local markets, domestic trade experience, and superior logistics network in India, as well as the Wilmar Group’s worldwide sourcing skills and technical know-how.
Key Points
- Among the few significant FMCG food firms in India to supply most of the fundamental kitchen commodities, such as edible oil, wheat flour, rice, lentils, and sugar to Indian consumers.
- No. 1 edible oil brand in India / Their flagship brand, “Fortune,” is India’s best-selling edible oil.
- One of India’s most rapidly expanding packaged food firms.
- Mundra, India’s biggest importer of crude edible oil, is among the country’s largest single-location refineries, with a design output of 5,000 tonnes per day.
- India’s largest producer of lauric fat.
- India’s largest producer of castor oil and one among the country’s largest producers of basic oleochemicals.
- Country’s biggest exporter of castor oil and derivatives, as well as one of the country’s biggest exporters of oleochemicals.
Joint Ventures & Subsidiary
- KOG-KTV Foods Pvt ltd. (JV)
- KTV Health Foods Pvt. Ltd. (JV)
- Visakha Polyfab Pvt Ltd. (JV)
- BEOL – Bangladesh Edible Oil Limited(Sub)
Production Units & Vision
They currently have 22 plants in India, spread across ten states. In addition, as of March 31, 2021, They used 28 tolling facilities across India to meet the increased demand and ensure their presence in various places near end customers.
Their vision is to be a top agribusiness corporation dedicated to providing safe, nutritious, and high-quality agricultural commodities and food to all of their stakeholders via innovation, the greatest norms of environmental, social, and governance practises, and the creation of livelihoods in the communities where they operate.
Adani Wilmar IPO
Adani Wilmar, headquartered in Ahmedabad has submitted Red Herring Prospectus(RHP) to Securities and Exchange Board of India(SEBI) for initial public offering (IPO) of a fresh issue of Rs 3600 crore on 20 January, 2022.
There will be fresh issue of Rs 3600 crore & no OFS (Offer for sale) from existing Promoters mentioned in the DRHP of the company. There is shareholder and Employee quota as well in this IPO.
They got the approval from Securities and Exchange Board of India(SEBI) to float the initial public offering (IPO) in the market.
Financials Trends
| Particulars | For the year/period ended ( in Cr.) | ||||
|---|---|---|---|---|---|
| 31-Mar-21 | 31-Mar-20 | 31-Mar-19 | |||
| Total Assets | 13,326.64 | 11,785.92 | 11,602.87 | ||
| Total Revenue | 37,195.66 | 29,766.99 | 28,919.68 | ||
| Profit After Tax | 727.65 | 460.87 | 375.52 | ||
Basic and Diluted Earnings Per Share
| Financial Period | Basic EPS (in INR) | Diluted EPS (in INR) | Weight |
| Financial Year 2021 | 6.37 | 6.37 | 3 |
| Financial Year 2020 | 4.03 | 4.03 | 2 |
| Financial Year 2019 | 3.29 | 3.29 | 1 |
| Weighted Average | 5.07 | 5.07 |
Objects of the Issue
- Prepayment / repayment of all or a portion of the outstanding borrowings of the company to be availed on consolidated basis.
- To meet common corporate objectives.
Basis of The offer
The following are some of the basic parameters that contribute towards determining the Issue Price:
- Their differentiated and broad product offering, which includes market-leading brands, allows us to grab a big share of India’s kitchen spending.
- One of India’s most well-known consumer goods corporations, with a stronghold in the edible oil and packaged food industries.
- In the field of industry basics, they hold one of the top market positions.
- Excellent sourcing skills for raw materials.
- Integrated business practice with excellent production facilities and a well-established operational infrastructure.
- A large distribution network that covers India.
- Sustainability in the environmental and social realms is highlighted.
- Professional leadership and a seasoned board of directors make up a strong parentage.
Adani Wilmar IPO Peer Comparison
| S. No. | Company Name | PE |
| 1 | Hindustan Unilever Limited | 68.57 |
| 2 | Britannia Industries Limited | 44.23 |
| 3 | Tata Consumer Products Limited | 81.32 |
| 4 | Dabur India Limited | 62.90 |
| 5 | Marico Limited | 60.21 |
| 6 | Nestle India Limited | 81.96 |
Adani Wilmar IPO Details
| IPO Opening Date | 27 January 2021 |
| IPO Closing Date | 31 January 2021 |
| Issue Type | Book Built |
| Face Value | 1 per share |
| IPO Price | 215 to 230 per equity share |
| Market Lot | 65 |
| Min Amount | 14,950 |
| Listing At | BSE, NSE |
| Issue Size | 4500 Crore |
| Fresh Issue | 4500 cr. |
| Offer for Sale | 0 |
Adani Wilmar IPO Dates
Adani Wilmar IPO opening date is 27 January 2022, and the closing date 31 January 2022. The issue may list in 08 February 2022.
| IPO Open Date | 27 January 2022 |
| IPO Close Date | 31 January 2022 |
| Basis of Allotment Date | 03 February 2022 |
| Initiation of Refunds | 04 February 2022 |
| Credit of Shares to Demat Account | 07 February 2022 |
| IPO Listing Date | 08 February 2022 |
Basis of Allotment
| Type | % of Offer | Basis of Allotment |
|---|---|---|
| Qualified Institutional Buyer | 50 |
Roughly equivalent
|
| Non Institutional Investor | 15 |
Roughly equivalent
|
| Retail | 35 | Minimum 1 lot based on availability |
Adani Wilmar IPO Allotment Status
Allotment of equity stocks subject to the Fresh Issue and transfer of the Promoter Selling Shareholders’ OFS Stocks to the winning Bidders subject to the Offer for Sale. Nevertheless, the status of the allotment has yet to be revealed.
Here, you can find the Allotment Status of Adani Wilmar IPO.
Adani Wilmar IPO GMP
Adani Wilmar IPO Grey Market Premium is INR 28.
| Date | GMP (in Rs) | Subject to Sauda | Kostak (in Rs) |
| 07 February 2022 | 28 | 1300 | 150 |
| 06 February 2022 | 29 | 1500 | 150 |
| 05 February 2022 | 30 | 1700 | 150 |
| 04 February 2022 | 27 | 1300 | 100 |
| 03 February 2022 | 29 | 1400 | 150 |
| 02 February 2022 | 28 | 1600 | 200 |
| 01 February 2022 | 26 | 1900 | 200 |
| 31 January 2022 | 25 | 2800 | 300 |
| 30 January 2022 | 31 | 3200 | 400 |
| 29 January 2022 | 43 | 4600 | 500 |
| 28 January 2022 | 50 | 3500 | 400 |
| 27 January 2022 | 42 | 2800 | 300 |
| 26 January 2022 | 44 | 3800 | 400 |
| 25 January 2022 | 46 | 3100 | 300 |
| 24 January 2022 | 55 | 4300 | 400 |
| 23 January 2022 | 60 | 4500 | 450 |
| 22 January 2022 | 65 | 2400 | 250 |
| 21 January 2022 | 80 |
Check Out the GMP of all Other IPOs
Adani Wilmar IPO Review
The answer to your question that Adani Wilmar IPO is good or bad is that you can apply in this IPO with a long term view . However, Listing gain may not be that much attractive due to market volatility.
Adani Wilmar IPO Risk
- Unfavorable domestic and worldwide weather patterns could have a negative impact on their operations.
- They have a wide range of items, especially in three business areas, and their incapacity to manage their diverse activities could harm their business.
- Their products are commodities, and their prices are vulnerable to volatility, which can have an impact on overall profitability.
- Exchange rate fluctuations between the Indian rupee and foreign currencies may have a negative impact on their business.
- Their edible oil business unit generates a large amount of their revenue, and any decrease in demand or production of such goods could have a negative impact on their company.
Other Threats
- Import restrictions imposed by other countries on their products could have a significant negative impact on their business.
- They rely substantially on our existing brands, and their dilution could have a negative impact on their business.
- The COVID-19 pandemic has had an impact on their market, and it may continue to do so.
- A slowdown or shutdown in their production activities, as well as underutilization of our production unit, could harm their business.
- Their incapacity to adequately manage their expansion could have a negative impact on their company.
- Certain legal processes are pending against their company, its directors, promoters, and subsidiaries. Any negative outcome in these proceedings could have a negative impact on their company.
Adani Wilmar IPO Brokerage views
- Yes Securities : Not Updated
- Choice Brokering: Not Updated
- Axis Securities: Not Updated
- IIFL Securities: Not Updated
- Trade swift: Not Updated
- Anand Rathi : Not Updated
- ICICI Securities: Not Updated
Adani Wilmar IPO Subscription Status
| Date | Day | QIB | NII | Retail | Shareholder | Employees | Total Subscription |
| 27 Jan 2022 | 1 | 0.31 | 0.57 | 1.02 | 0.11 | 0.06 | 0.61 |
| 28 Jan 2022 | 2 | 0.42 | 0.93 | 1.95 | 0.92 | 0.19 | 1.19 |
| 31 Jan 2022 | 3 | 6.04 | 59.40 | 4.14 | 35.17 | 0.54 | 18.33 |
Promoters
- Adani Enterprises Limited
- Adani Commodities LLP
- Lence pte Limited
Promoters Holding
| Pre Issue Share Holding | 74.92% |
| Post Issue Share Holding |
Adani Wilmar IPO Prospectus
Contact Details
Adani Wilmar Limited
Fortune House, Near Navrangpura Railway Crossing,
Ahmedabad 380009, Gujarat, India
Telephone: +91-79-26455848
E-mail: [email protected]
Website: www.adaniwilmar.com
Registrar
Link Intime India Private Limited
C 101, 247 Park
L.B.S. Marg
Vikhroli (West)
Mumbai 400 083
Maharashtra, India
Telephone: +91 22 4918 6200
E-mail: [email protected]
Website: www.linkintime.co.in
Lead Manager(s)
- Kotak Mahindra Capital Company Limited
- J.P. Morgan India Private Limited
- BofA Securities India Limited
- ICICI Securities Limited
- Credit Suisse Securities (India) Private Limited
- HDFC Bank
- BNP Paribas
We hope we are able to answer all your questions about Adani Wilmar IPO. If you don’t have a Demat account, open it now with Zerodha best trading app.
Clarification
The reference of IPO Grey Market Premium (IPO GMP) is only valid for the date specified in the header.
On the IPO Grey Market, we do not purchase or sell IPO forms.
The Kostak Rate is the profit earned by selling an IPO application (in an off-market transaction) to somebody else before the issue is allotted or listed.
Do not subscribe to an IPO based solely on the premium price, as it may alter at any time before to the listing. Only consider the fundamentals of the companies when subscribing.
The GMP rates for IPOs are based on market intelligence. Please keep in mind that these IPO GMP rates may vary by geography and market.
Note:
We do not engage in grey market trading or facilitate the purchase or sale of IPO forms.
What is Grey Market?
The phrase “grey market” refers to an illegal over-the-counter market where IPO applications and IPO stock are traded before the entity is listed on a stock exchange. This is a technique for dealers to help consumers who wish to sell their home before it goes on the market.
This is also a way to increase the listing fee and provide help for the issue prior to the listing. In the IPO grey market, there are two types of transactions that take place:
- IPO stocks are traded at a premium in the grey market.
- At a kostak, an IPO application is traded.
What is grey Market Premium?
The Grey Market Premium, or GMP, is the price at which IPO stock shares are exchanged in the grey market.
This could be correct or incorrect, implying that the grey market trading price is greater or cheaper than the issue price, depending on demand and supply for the stocks.
Typically, individuals who do not want to incur the risk of their shares not being allocated through an IPO can purchase shares on the grey market in the hopes of flipping them on the IPO for a profit.
What is Kostak?
The additional amount in rupees at which IPO applications are sold in the IPO Grey Market is known as kostak (or price of application). The bonus of a maximum lot retail application in an IPO is generally described as the ‘Kostak’ value.
The Kostak price is significant primarily before the offer is closed for subscription and the ultimate bidding status is made accessible to IPO participants. After the final auction status is known to investors, only a small percentage of IPO applications are exchanged.
‘Kostak’ is made for those who do not want to incur a risk on an IPO or gain from a listing.
Example:
Adani Wilmar IPO
Issue Price: Rs 306 Per Equity Share (Maximum Bid price)
Lot Size: 45
Grey Market Premium: Rs 220 to Rs 230
Kostak (Rs 13770): Rs 680 to Rs 720
This means Adani Wilmar IPO applications of Rs 13770 are being traded in IPO Grey Market at Rs 680 to Rs 720.
Despite the fact that this IPO’s Grey Market Premium is roughly 75% of the issue price, the ‘Kostak’ is just 5% of the application value.
Kostak rate
The Kostak rate is the fee received by an investor who sells his or her IPO application on the grey market. Regardless of allotment status, this is the money an individual stands to gain.
Subject to Sauda
The money that an investor stands to gain by selling his or her application for firm allotment is referred to as the subject to Sauda. Firm allocation is the important operative phrase here. The sauda will be cancelled if the applicant is not allotted.
When selling an IPO application in the grey market, the client and seller agree that the sale will only be legal if the seller receives the allocation. The deal is avoided if the seller does not get any stocks throughout the IPO procedure.
FAQ
Adani Wilmar IPO Opening Date?
Adani Wilmar IPO will open in 27 January 2022.
Adani Wilmar IPO Listing Date?
Adani Wilmar IPO will list in 08 February 2022.
Adani Wilmar IPO GMP Today?
Adani Wilmar IPO Grey Market Premium is INR 28.
Adani Wilmar IPO Allotment Date?
Adani Wilmar IPO basis of allotment will be in 03 February 2022.
Lot size for Adani Wilmar IPO?
Lot size for Adani Wilmar IPO is 0.
