Adani Wilmar files draft prospectus for India IPO to raise up to US$600M

An image of an Adani Wilmar manufacturing location. Source: Adani Wilmar websiteAn image of an Adani Wilmar manufacturing location. Source: Adani Wilmar website

Adani Wilmar (AWL), a 50:50 joint venture between the Adani Group and Singapore-listed Wilmar, has filed a draft red herring prospectus with the Securities and Exchange Board of India for a proposed initial public offering (IPO) on the BSE and National Stock Exchange of India, Wilmar said in a filing to SGX late Monday.

The proposed listing will include an issue of new equity shares to raise up to 45 billion rupees, or around US$600 million, without any secondary offering, Wilmar said.

The funds are earmarked to fund capital expenditure to expand existing and develop new manufacturing facilities, repay and prepay borrowings, fund strategic acquisitions and investments and for general corporate purposes, Wilmar said.

India-based AWL is a large fast-moving consumer goods (FMCG) company offering most of the country’s essential kitchen commodities, including edible oil, wheat flour, rice, pulses and sugar, under a range of brands. Its Fortune brand is the best-selling edible oil brand in India, the company’s website said.

“The proposed listing is intended to further the growth of AWL’s operations by increasing its market visibility and awareness among current and potential customers,” Wilmar said.

Wilmar added that the proposed listing and issue price of the IPO is subject to many factors, including regulatory approvals and a book-building process, as well as market conditions, leaving no assurance the listing will proceed.