Samara Capital-promoted Sapphire Foods India Ltd has fixed the price band for its initial public offering between Rs1120 and Rs1180 per share. Earlier, the firm said its IPO will open on 9 November and close on 11 November.
The firm planning to list on exchanges on 22 November.
The IPO of the operator of KFC and Pizza Hut outlets consists of a pure offer for sale of 17.57 million shares by existing shareholders and promoters.
The OFS comprises upto 8.50 lakh shares by QSR Management Trust, upto 5.57 million shares by Sapphire Foods Mauritius Ltd, upto 4.85 mln shares by WWD Ruby Ltd, upto 3.96 mln by Amethyst Pvt Ltd, upto 80169 shares by AAJV Investment Trust, upto 1.62 mln shares by Edelweiss Crossover Opportunities Fund and upto 6.46 lakh shares by Edelweiss Crossover Opportunities Fund Series II.
On the upper band, the firm looks to raise Rs 2073.35 crore.
Currently, Sapphire Foods Mauritius holds 46.53% stake in the firm, QSR Management Trust has 5.96% stake, WWD Ruby holds 18.79%, Amethyst Pvt Ltd has 6.67%, AAJV Investment Trust 0.14%, Edelweiss Crossover Opportunities Fund 6.83%.
JM Financial, Bofa Securities, ICICI Securities and IIFL Securities are the lead managers to the issue.
Sapphire Foods is the largest franchisee of Yum Brands in the Indian subcontinent, is backed by marquee investors such as Samara Capital, Goldman Sachs, CX Partners and Edelweiss. The franchisee arrangement with Yum allows the firm to operate on a non-exclusive basis, under the KFC, Pizza Hut and Taco Bell brand in various states in India, across Sri Lanka and Maldives.
As of March 2021, the firm owned and operated 204 KFC restaurants in India and the Maldives, 231 Pizza Hut restaurants in India, Sri Lanka and the Maldives, and two Taco Bell restaurants in Sri Lanka.
For FY21, the firm reported a revenue from operations at Rs 1019.62 crore versus Rs 1340.41 crore a year ago. Net loss for the period stood at Rs 99.89 crore against Rs 159.25 crore last year. Total borrowings were at Rs 75.66 crore from Rs 71.20 crore last year.
The company said due to covid pandemic it has substantially affected and may continue to affect its business, results of operations, financial condition, cash flows and reputation in the future. The firm said it restated loss for the year after tax for the financial year 2021, 2020 and 2019 and may incur additional losses in the future.
