Carlsberg India Files Updated Draft Papers for Public Listing

Carlsberg India Ltd, the Indian subsidiary of Danish brewing major Carlsberg, has moved a step closer to its stock market debut by filing updated draft papers with markets regulator the Securities and Exchange Board of India (SEBI) for an initial public offering (IPO).

According to the updated draft red herring prospectus (DRHP) dated October 27, the proposed IPO is entirely an offer for sale (OFS) of up to 8.64 crore equity shares by promoter South Asian Breweries Pvt Ltd. There is no fresh issue component included in the offering.

This development follows SEBI's approval of the company's IPO on October 1, paving the way for further progress toward the public issue. Carlsberg India had initially submitted its draft offer documents to the market regulator through the confidential pre-filing route on July 1. This confidential filing mechanism allows companies to submit draft offer documents for regulatory review without immediately making commercially sensitive information public.

With this move, Carlsberg joins a growing list of multinational companies looking to tap India's equity markets. Other major international firms, such as South Korean conglomerates Hyundai Motor and LG Electronics, have previously listed their Indian subsidiaries.

Carlsberg India operates in the country with several well-known beer brands, including Tuborg, Carlsberg Elephant, and Kronenbourg 1664 Blanc.

On the financial front, the company reported a 2.2 per cent decline in revenue to Rs 8,708.8 crore during the fiscal year. Despite the dip in revenue, its profit increased by 22 per cent to Rs 534.51 crore over the same period.

Kotak Mahindra Capital Company, Citigroup Global Markets India, and JPMorgan India have been appointed as the book-running lead managers for the public issue.

"The decision by Carlsberg India to move forward with an updated IPO filing reflects the ongoing trend of multinational subsidiaries accessing the Indian public markets. With the offering structured entirely as an offer for sale, the focus remains on providing an exit for the promoter, South Asian Breweries, rather than raising fresh capital for operations. Despite a slight revenue dip, the notable growth in profitability underscores the financial health of the business as it prepares for public market scrutiny alongside other major global brands entering the Indian equity ecosystem." — Dr. Shishir Gupta, Founder & CEO, StartupLanes