About the Company:
Mrs. Bectors Food Specialities Ltd is one of the leading companies in the premium and mid-premium biscuits segment and the premium bakery segment in North India.
Company’s products are sold under well-recognized brand names like, ‘Mrs. Bector’s Cremica’ and ‘English Oven’.
Company manufactures and markets a range of our biscuits such as cookies, creams, crackers, digestives and glucose under the flagship brand ‘Mrs. Bector’s Cremica’.
Company also manufacture and market bakery products in savoury and sweet categories which include breads, buns, pizza bases and cakes under brand ‘English Oven’.
Company supplies its products to retail consumers in 26 states within India, as well as to reputed institutional customers with pan-India presence and to 64 countries across six continents.
- ‘Mrs. Bector’s Cremica’ is one of the leading biscuit brands in the premium and mid-premium segment in Punjab, Himachal Pradesh, Jammu and Kashmir and Ladakh.
- ‘English Oven’ is the one of the largest selling brand in the premium bakery segment in Delhi NCR, Mumbai and Bengaluru.
- Company is the largest supplier of buns in India to reputed QSR (Quick Service Restaurants) chains such as Burger King India Ltd, Connaught Plaza Restaurants Private Ltd, Hardcastle Restaurants Private Ltd (Mc Donalds India), and Yum! Restaurants (India) Private Ltd.
- Sole supplier of burger buns and pan muffins to Connaught Plaza Restaurants Private Ltd since 1995.
- Preferred supplier of burger buns and pan muffins to Hardcastle Restaurants Private Ltd (Mc Donalds India) for approximately 13 years.
- Company has also been one of the main supplier of burger buns to Burger King India Ltd since 2014, and to Yum! Restaurants (India) Private Ltd since 2013.
- Company has been a preferred and leading supplier of products such as frozen burger buns, panini, garlic breads to PVR Limited since the last 10 years.
Company’s Manufacturing Facilities:
All our products are manufactured in-house at our six manufacturing facilities located in Phillaur and Rajpura (Punjab), Tahliwal (Himachal Pradesh), Greater Noida (Uttar Pradesh), Khopoli (Maharashtra) and Bengaluru (Karnataka).
Company’s Distribution Network:
Bector foods has a strong distribution network in India and globally in the general trade and the modern trade segment.
During the period between April 1, 2020 to September 30, 2020, company has distributed biscuits across 23 states in India, through a widespread network of 196 super- stockists and 748 distributors supplying to wide range of customers through 458,000 retail outlets.
Company has a distribution tie-ups with reputed retail chains in India and they are the largest suppliers of biscuits to Canteen Stores Department of Government of India (“CSD”).
Financials of key Biscuit brands:
Leading Exporter of Biscuits:
During the Financial Year ended March 31, 2020, Company exported biscuits to 64 countries, across Central and South America, Europe, North America, East and South Africa, Australasia, the MENA region and Asia to various retailers, distributors and buying houses
Main customers include names such as Monteagle International (UK) Ltd, Lulu Hypermarket Trading Co, E-Mart Inc., Atlas Global (HK) Limited, Omni Trade Services Ltd, Universal Trade Ltd, and World Wide Imports (2008) Ltd.
Company also manufactures a wide range of biscuits for international retail chains under their private labels.
Revenue from the export of biscuits accounted for Rs.167 crores, constituting 22%, of the revenue from operations for the Financial Year 2020.
Company’s Product Portfolio includes 2 main categories.
Bector foods manufactures and sells biscuits, primarily in the premium and mid-premium segments including a wide variety of cookies, creams, crackers, and digestives which accounted for Rs.451.2 crores, of revenue from sale of biscuits in India and globally excluding contract manufacturing or 59.20% of revenue from operations for
the Financial Year 2020.
Company’s product portfolio for our biscuits category consists of 384 SKUs. Company also manufactures ‘Oreo’ biscuits and ‘Chocobakes’ cookies on contract basis for Mondelez India Foods Private Ltd.
Bector foods manufactures and sells various types of premium bakery products in savoury and sweets categories for retail customers such as breads, buns, pizza bases, and cakes under the ‘English Oven’ brand, which caters to the premium segment in Delhi NCR, Mumbai, and Bengaluru.
The ‘English Oven’ is one of the fastest growing largescale premium bakery brand in India.
Company’s revenue from the sale of branded breads and bakery products to retail customers under the ‘English Oven’ brand accounted for Rs.130.2 crores or 17.09%, of revenue from operations for the Financial Year 2020.
Company also manufactures and sells a variety of bakery and frozen products such as buns, kulchas, pizzas, and cakes to QSR customers with pan India presence, cloud kitchens such as Rebel Foods Private Limited since 2015, multiplexes such as PVR Limited, as well as certain hotels, restaurants and cafés.
Bector foods is the sole supplier of burger buns and pan muffins (frozen) to Connaught Plaza Restaurants Private Ltd and have been associated since the year 1995 and preferred supplier of burger buns and pan muffins (fresh) to Hardcastle Restaurants Private Limited since 2007.
Market share of brands in Branded Biscuit market Financial Year 2020:
- Mr. Subhash Agarwal (Designation: Chairman and Independent Director)
- Mr. Anoop Bector (Designation: Managing Director)
Objectives of the Issue:
Fresh Issue: (Rs. 40.5 cr)
The proceeds of the Fresh Issue (“Proceeds”) are proposed to be utilised for financing the project cost towards expansion of the Rajpura Manufacturing Facility by establishing a new production line for biscuits (“Rajpura Expansion Project”).
Proposed Schedule of Implementation for Rajpura Expansion Project:
Offer for Sale: (Rs. 500 cr)
Company will not receive any proceeds from the Offer for Sale.
Positives for the Company:
- Established brands with a diversified product portfolio of medium and premium products.
- Wide spread and established sales and distribution network
- Leading exporter of biscuits.
- A leading supplier of buns to the fast growing QSR industry.
Financials of the Company: (Consolidated)
|(in Crores)||FY 16||FY 17||FY 18||FY 19||FY 20||30th Sept 2020|
Valuation of Peer Group Companies:
|Company Name||Face Value||EPS||PE Ratio||RoNW||NAV|
|Mrs. Bectors Foods Specialities Ltd||10||5.30||54.33||9.52%||62.47|
|Issue Opens on||15th September 2020|
|Issue Closes on:.||17th September 2020|
|Issue Price||Rs.286 – 288|
|Minimum Lot||50 Shares|
|Retail Category Allocation||35%|
|Issue Size||Rs. 540 cr ($73 million)|
|Market Cap||Rs. 1691 cr ($228 million)|
|Listing at||NSE & BSE|
|Equity Shares Offered (Fresh)||14,06,250|
|Equity Shares Offered (OFS)||1,73,61,111|
|Total Equity Shares Offered (Fresh + OFS)||1,87,67,361|
|Equity Shares Prior to the Issue||5,73,37,922|
|Equity Shares after the Issue||5,87,44,172|
|Finalization of Basis of Allotment||On or Before 22nd December 2020|
|Initiation of Refunds||On or Before 23nd December 2020|
|Credit of Equity Shares:||On or Before 24th December 2020|
|Listing Date:||On or Before 28th December 2020|
Subscription Details: (Will be Updated)
|(Subscription-Category-Wise (no. of times) Till time : 05:30 PM)||Shares Offered||15th Dec||16th Dec||17th Dec|
IPO Valuation Parameters:
|Earnings Per Share (EPS)||Price To Earnings ratio (PE)||Return on Net Worth (RoNW)||Net Asset Value (NAV)|
|Check IPO Allotment Status:|
Link InTime Website (Click on the below Link)
|Company Contact Info:|
|Mrs. Bectors Food Specialities Limited
11-A Udyog Vihar, Greater Noida
Gautam Budh Nagar
Uttar Pradesh 201 308, India
|IPO Registrar Info:|
|Link Intime India Private Limited
C-101, 1st Floor, 247 Park
L.B.S. Marg, Vikhroli (West)
Mumbai 400 083, Maharashtra, India
Tel: (+91 022) 49186200
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