Adani Wilmar IPO, the Edible oil giants has reduced its IPO size to Rs 3,600 crore from Rs 4,500 crore planned earlier, sources close to the group revealed.
Adani Wilmar IPO, a joint venture company between the Adani Group and Wilmar Group, Adani Wilmar got SEBI’s nod for ₹4,500 crores IPO earlier which is now reduced to ₹3,600. FMCG, edible oil, packaged foods, and industry essentials are parts of the company’s portfolio.
According to the draft papers filed earlier, Adani Wilmar Limited (AWL) was aiming to raise Rs 4,500 crore from the market by issuing fresh shares. The company has just minimized the part of general corporate usages but has not decreased the core objects of the problem.
Rs 1,900 crore will be made use of for capital expenditure, Rs 1,100 crore will be used for the settlement of financial debt while Rs 500 crore will be used in funding calculated purchases as well as investments. To confirm the development, a company’s spokesperson has denied commenting. The cut short of the IPO size can be a good move aiming at a better valuation with a stronger return of capital employed (ROCE) and return on equity (ROE).
The flagship brand of Adani Wilmar, Fortune, is the largest selling edible oil brand in the country with a market share of 18.3%, as of 31st March 2021. The company was the country’s largest importer of crude edible oil as of 31st March 2021. Recently the company has launched a few products like different edible oil products, rice bran health oil, fortified foods, soya chunks, khichdi, etc.
Currently, 6 Adani Group firms are listed in the Indian Market.
- Adani Enterprises.
- Adani Transmission.
- Adani Green Energy.
- Adani Power.
- Adani Total Gas.
- Adani Ports.