Sula Vineyards gets SEBI nod for IPO

Sula Vineyards has gotten the Securities and Exchange Board of India's (SEBI) approval for its Initial Public Offering (IPO).

With Rs 2 per equity share face value, the issue is entirely an offer for sale (OFS) and it is aggregating up to 25,546,186 units.

The Nashik-based wine maker had filed the papers with the market regulator to raise capital via an IPO in July.

Sula Vineyards is synonymous with Indian wines and is considered a ‘category creator’ in the segment. It has seen a surge in sales in recent quarters with proceeds also coming from the luxury tourism vertical, according to people in the know.

Sula is headquartered in Nashik, 180km northeast of Mumbai, and has two manufacturing units, in Nashik and Bengaluru each. As of January, it had a production capacity of over 13 million litre, of which 11 million litre is housed in Nashik and 2 million litre in Karnataka.

The firm has a dominant market share in the domestic wine industry, driven by a varied vast portfolio of wine brands across different price categories and an expansive distribution network.