The initial public offering (IPO) of Sula Vineyards, India’s largest wine producer, received a lukewarm response on the first day of bidding on Monday.
The IPO is expected to raise up to 960 crore for the company, which is backed by investors such as Verlinvest Group, Cofintra S.A, Haystack Investments, Saama Capital III, and SWIP Holdings.

According to BSE data, approximately 28 per cent of the available size had been subscribed by the end of the day. On the first day, investors bid for 5.23 million shares versus 18.83 million shares on offer. The retail portion received the most bids—about 48 per cent—for 4.5 million shares, while the non-institutional portion received 18 per cent or 0.73 million shares. So far, no qualified institutional buyers have made a bid. Sula has offered more than 26.9 million OFS shares at a price range of 340-357 per share. The issue will be resolved on Wednesday.

The book running lead managers are Kotak Mahindra Capital Company, CLSA India, and IIFL Securities. Sula raised approximately Rs. 288 crore from anchor investors ahead of its IPO on Friday. At its four owned and two leased production facilities in Maharashtra and Karnataka, the company produces 56 labels of wine across 13 brands.

In FY22, Sula reported a revenue from operations of 453.92 crore and a net profit of 52.14 crore.

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