Adani Wilmar files draft red herring prospectus for 45 billion rupee IPO

AGRIBUSINESS group Wilmar International on Monday said its 50 per cent owned Indian joint venture (JV) Adani Wilmar has filed a draft red herring prospectus for its initial public offering (IPO) on the Bombay Stock Exchange and the National Stock Exchange of India.

Adani Wilmar, which is in the business of offering essential kitchen commodities to Indian consumers, intends to raise up to 45 billion rupees (S$818 million) in a fresh issue. There will not be any secondary offering, it said.

With this listing, the company hopes to "further the growth" of its operations by increasing its market visibility and awareness among current and potential customers, it noted in a statement.

The company added it intends to use the net proceeds from the IPO to expand its existing manufacturing facilities as well as build new manufacturing facilities. Other purposes include the repayment or prepayment of borrowings, or to fund strategic acquisitions and investments.

Shares of Wilmar fell five Singapore cents or 1.15 per cent to close at S$4.30 on Monday.