Mrs. Bectors Food Specialities Limited IPO
Mrs. Bector Food Specialities, Incorporated in 1995, is special and famous for its premium bakery products and premium and mid biscuit products which is one of the leading companies in North India.
Mrs. Bector is popularly known for its two brands which are “Mrs. Bector Cremica” and “English Oven”.
It sells biscuit products under the brand name “Cremica” and bakery products under the brand name “English Oven”. It has a total of 384 items under the biscuit products like cookies, creams, crackers,etc, and 96 items under bakery products like breads, buns, pizza bases, etc. It has its market base in 26 states within India to 64 Countries in 6 continents.
It also supplies buns to some big QSR chains like Burger King India ltd., Connaught plaza restaurants Pvt ltd., etc. Mrs. Bector’s is India’s largest supplier of buns to reputed QSR chains.
In FY2020, the company announced that it has 59.2% of revenue from Biscuits products and 17.1% of revenue from Bakery products.
The company has 6 manufacturing units across 5 states which are Maharashtra, Punjab, Karnataka, Uttar Pradesh, and Himachal Pradesh.
Mrs. Bector has a strong and big distribution network of 644 distributors with 154 super-stockists which help in the distribution of the products through 458,000 retail outlets and 3,594 preferred outlets.
Mr. Anoop Bector is the promoter of the company.
Strengths of the company
- Leading biscuit and bakery products seller and manufacturer company in North India.
- Having a strong and big distribution network.
- Big market base in India as well as across the world.
- India’s biggest buns suppliers to reputed QSR chains.
Purpose of the IPO
- To meet the general company operation and for corporate purposes.
- To meet the cost for the different projects of the company which is for the expansion of the company.
- To meet the financial costs of the Rajpura expansion project.
Financial Performance of the company
| FY 2020 | FY 2019 | FY 2018 | |
| Total Revenue | 7,649.76 | 7,860.29 | 6,957.55 |
| Total Expenses | 7,258.33 | 7,354.41 | 6,429.31 |
| Profit after tax | 304.03 | 331.50 | 358.93 |
| Total Assets | 5,657.15 | 5,770.44 | 5,110.59 |
*All the values are in millions.
Valuation of the company:
| FY 2020 | FY 2019 | FY 2018 | |
| Basic Earnings per Share (EPS) | 5.31 | 5.79 | 6.27 |
| Diluted Earnings per Share (EPS) | 5.30 | 5.78 | 6.26 |
| Return on Net Worth (%) | 9.52% | 11.25% | 13.46% |
| Net Assets Value per Equity Share | 55.76 | 51.47 | 46.56 |
IPO details:
| Face Value | ₹10 per equity share |
| Market Lot | 50 Shares |
| Minimum Order Quantity | 50 Shares |
| Price Band | ₹286 - ₹288 per equity share |
| Issue type | Book Built Issue Type |
| Issue Size | ₹540 Crores |
| Fresh Issue | ₹40 Crores |
| Offer for Sale | ₹500 Crores |
| Listing | NSE, BSE |
Important IPO dates:
| Open Date | 15th December 2020 |
| Close Date | 17th December 2020 |
| Allotment Date | 22nd December 2020 |
| Refunds | 23rd December 2020 |
| Credit of shares to Demat account | 24th December 2020 |
| Listing Date | 28th December 2020 |