Biscuits and Bakery company is looking to raise ~₹ 540 crores through capital markets.
Mrs. Bectors Food Specialities Ltd., founded by Mrs. Rajni Bector is into Biscuits, Breads and Buns segment and currently operating from 6 manufacturing units located into Punjab, Himachal Pradesh, Maharashtra, Karnataka. Company plans to further expansion at Rajapura and add manufacturing unit in Dhar in Madhya Pradesh
During FY20, Mrs. Bectors Food generated revenues of ₹ 762 crores (down 3% from previous year) including 22% revenues from exports, Exporting to 64 countries* across 6 continents. It generated EBITDA of ₹ 93 crores (₹96 crores in FY19) crores with EBITDA margin of 12% in FY20. Profit after tax reported at ₹ 30.4 crores (₹ 33.2 crores in FY19) with margin of 4%.
IPO issue would start for subscription on 15-dec-20 till 17-Dec-20 with price band of ₹ 286 to ₹ 288 per share.
Mrs. Rajni Bector started an enterprise in 1978, by whipping up remarkable ice creams, breads and biscuits. Company manufactures non-glucose biscuits and premium breads segment in North India. Company sells its products under brand name of ‘Mrs. Bector’s Cremica’ and ‘English Oven’. Company manufactures and market a range of biscuits including cookies, creams, crackers and digestives under flagship brand of ‘Mrs. Bector’s Cremica’. It manufactures and market bakery products in savoury and sweet categories which include breads, buns, pizza bases and cakes under brandof ‘English Oven’. Mr. Anoop Bector is the promoter of the company. Through this IPO, Greater Noida based Bakery company is looking to raise ₹ 540 Crores primarily for 1) To finance cost of Rajapura Expansion; 2) General corporate purposes.
As on Sep'20, Company has 6 manufacturing plants, 14 selling depots, over 700 distributors through which its products are reaching over 450,000 retail outlets. Company is expanding its footprint into Modern Trade and E-Commerce segments through national chains and Introducing larger and mid-sized packs of existing high selling products based on buying patterns and regional preferences.
Promoters of Mrs. Bectors Food is Mr. Anoop Bector.
For the Financial Years 2020, 2019, 2018, the period April 1, 2020 to September 30, 2020 and the period April 1,
2019 to September 30, 2019, revenue from operations was ₹ 7,621.22 million, ₹ 7,836.65 million, ₹ 6,939.65
million, ₹ 4,309.94 million and ₹ 3,646.16 million respectively. Revenue from operations has grown by 18.20%
from September 30, 2019 to September 30, 2020, respectively. In Financial Years 2020, 2019, 2018, the period
April 1, 2020 to September 30, 2020 and the period April 1, 2019 to September 30, 2019, recorded EBITDA of
₹ 928.53 million, ₹ 961.50 million, ₹ 855.04 million, ₹ 722.22 million and ₹ 390.52 million respectively.
EBITDA has grown by 84.94% from September 30, 2019 to September 30, 2020, respectively. For Financial Years
2020, 2019, 2018, the period April 1, 2020 to September 30, 2020 and the period April 1, 2019 to September 30,
2019, net profit was ₹ 304.03 million, ₹ 331.50 million, ₹ 358.93 million, ₹ 388.83 million and ₹ 101.74 million,
respectively. Net profit has grown by 282.18% from September 30, 2019 to September 30, 2020 respectively.
About Industry
The Indian biscuits and bakery retail market is valued at ₹ 450.00 billion and is expected to grow at a CAGR of approximately 9% over the next five years. Biscuits and other snacking bakery products such as rusks, wafers and tea cakes contribute almost ₹ 400.00 billion or 89% to the total market share. The balance 11% is contributed by breads including loaves, buns, pizza bases which together account for ₹ 50.00 billion. Biscuit industry is characterised by few large players, regional brands as well as small scale industries. In the unbranded sector, over 30,000 small, very small and tiny units spread all over the country. The biscuit industry was also reserved for small-scale earlier but it was de-reserved in 1997-98. In the unbranded bread sector, there are about 75,000 bread manufacturers spread all over including some of those operating even residential premises.
Key Pointers
- Presence in 23 states through general and modern trade
- Exports contstutited 22% of sales in FY20
- Among Top 2 in the premium and midpremium biscuits segment in Punjab, HP Ladakh and J&K
- Brand positioned
- Diversified product portfolio of 500+ SKUs and constant focus on new launches. [Biscuits - 384, Bakery - 118]
- B2B Customers includes Connaught Plaza Restaurants Pvt. Ltd, Hardcastle Restaurants Pvt. Ltd, Burger King India Limited, Yum! Restaurants (India) Private Limited, PVR Cinemas, Rebel Fassos among others
Key Management
| Anoop Bector | MD |
| Ishaan Bector | Director |
| Parveen Goel | CFO |
| Manoj Verma | Director - National Sales |
| Gurpreet Singh | Chief Marketing Officer |
| Madhulika Rawat | CS & Compliance Officer |
Mrs. Bectors Food IPO Snapshot
| Issue Open | 15-Dec-2020 |
| Issue Close | 17-Dec-2020 |
| Face Value | ₹ 10/- |
| Price Band | ₹ 286 to ₹ 288 (Including premium of ₹ 276 to ₹ 278 per share) |
| Discount | Nil |
| Bid Lot | 50 shares and in mutiples |
| Listing on | BSE and NSE |
| Mode of Payment | UPI / ASBA (Mandatory); Applications using third party UPI/ASBA Bank accounts are liable to rejected |
Mrs. Bectors Food Issue & Subscribed Details
| Particulars | Issued | Subscribed |
|---|---|---|
| Issue Size | ₹ 540.5 Crores (Upper Band) | ₹ - Crores |
| QIB Portion | ~50% | 178.08 times |
| NII Portion (Application for lot size of 15 & above) | ~15% | 625.2 times |
| Retail Portion (Applications for lot size between 1 & upto 15) | ~35% | 29.15 times |
| Employees Portion | upto ₹ 0.5 crores | 44.58 times |
| Total | 100% | 199.21 times |
Mrs. Bectors Food IPO Indicative Dates
| Issue Open | 15-Dec-2020 |
| Issue Close | 17-Dec-2020 |
| Anchor Investor Bidding | One working day prior to Issue opening date of 15-Dec-2020 |
| Announcement of Allotment | 22-Dec-2020 |
| Initiation of Refunds | 23-Dec-2020 |
| Credit of Shares | 24-Dec-2020 |
| Listing | 28-Dec-2020 |
Lead Managers of Mrs. Bectors Food IPO
List of Book Running and Lead/Co-Lead Manager/s
| SBI Capital Markets Ltd. |
| ICICI Securities Limited |
| IIFL Securities Limited |
Registrar of Mrs. Bectors Food IPO
| Link Intime India Private Limited |
Valuation
Company is looking at the following valuation
| Issue Size | ₹ 540 Crores (Upper Band |
| Pre-Issue Promoter's Holding | 52.4% |
| Post Issue Promoter's Holding | 51.1% |
| Pre-Issue Shares | ₹ 57.34 Crores |
| Post Issue Shares | ₹ TBA Crores |
| Post Issue Market Cap (based on Price band) | ₹ 1,691.9 to ₹ 1,680.4 Crores |
Address of Mrs. Bectors Food IPO
| Name | Mrs. Bectors Food Specialities Ltd. |
| Corporate Identity Number | U74899PB1995PLC033417 |
| Contact Person | Atul Sud, Company Secretary and Compliance Officer |
| Registered and Corporate Office | Registered Office: Theing Road, Phillaur, Jalandhar 144 410, Punjab, India Tel: (+91) 182-6225418 Corporate Office: 11-A Udyog Vihar, Greater Noida, Gautam Budh Nagar, Uttar Pradesh 201 308, India Tel: (+91) 120-4569300 |
| Website | www.cremica.in |
| compliance@cremica.in |
Check Allotment Status of Mrs. Bectors Food IPO
| Please check below or visit here to check allotment status of IPO |
Frequently Asked Questions (FAQ)
| Q. How to Apply for IPO ? A. IPO can be applied Online and Offline mode. Online: a) Via Net banking of Bank website b) Via Stock brokers portal Offline: a) Collect application forms from Brokers > Fill demat details & UPI > Submit to any broker across India. b) Download forms from NSE/BSE website > Fill demat details & UPI > Submit to any broker across India. |
| Q. How to register for BHIM UPI? UPI is made mandatory by SEBI to apply for IPO's. To educate investors National Payment Corporation of India (NPCI) has come out with the useful video. This video educates on how to download BHIM UPI app and its process to register. Source: NPCI |
| What is UPI based ASBA Process ? To educate people to apply for IPO's National Payment Corporation of India (NPCI) has come out with the useful video. This video educates consumers on how the IPO process works and how subscribing for IPOs via BHIM UPI helps reduce the time and effort one needs to take for the same. Source: NPCI |
| Q3? Ans Source: NPCI |
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