Adani Wilmar IPO: Gautam Adani-led fast moving consumer goods, or FMCG company, Adani Wilmar is set to open its initial public offering on Thursday, January 27 and has announced its price band. Adani Wilmar IPO, or initial public offering, has a price band of Rs 218 to Rs 230, the company has announced. This will be the second IPO of the year, and is one of the most anticipated ones in the market, which is buzzing again with the IPO craze after a gap of a month. Adani Wilmar Limited is best known for its edible oil products under the brand name of ‘Fortune’.
Key Things to Know About Adani Wilmar IPO
Adani Wilmar IPO Issue Size
Adani Wilmar Limited plans to raise Rs 3,600 crore through its first public offer. Initially, the company had initial plans to gain to raise Rs 4,500 crore through its IPO. There will not be any secondary offering. Adani Wilmar has only reduced the portion of general corporate purposes and not reduced the core objects of the issue. It has reserved Rs 107 crore worth of shares for eligible employees, who will be able to buy them at a discount of Rs 21 per share.
Adani Wilmar IPO Price Band, Lot Size
The price band of the initial share sale of the company has been fixed at Rs 218 to Rs 230 per equity share. This was announced on January 21 by the company.
Bidders can buy a minimum of 65 shares nd in multiples of 65 thereof, the firm has said.
Adani IPO Dates, Reserved Portion
The public issue of Adani Wilmar Limited will open on January 27 and will close on January 31, the company announced. The listing of the IPO is likely on February 8, which is next month.
Qualified Institutional Buyers will be able to buy 50 per cent of the shares, while 35 per cent of the portion has been reserved for retail buyers. The remaining 15 per cent of shares can be used by non institutional buyers.
Adani Wilmar IPO GMP
The unlisted shares of the Adani Wilmar IPO was trading at Rs 330 at the grey market on Friday, January 21, as per data from ipowatch.com. This was Rs 100 up from the upper end of its price band. The high GMP of Adani Wilmar IPO indicated strong listing at the bourses.
Issue Objectives
The proceeds from the IPO will be used for funding capital expenditure for expansion of the company’s existing manufacturing facilities and developing new manufacturing facilities. It will also be used for repayment/prepayment of borrowings, funding strategic acquisitions and investments and for general corporate purposes.
Out of the IPO proceeds, Rs 1,900 crore will be used for capital expenditure, Rs 1,100 crore will be used for the repayment of debt and Rs 500 crore in funding strategic acquisitions and investments.
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