The initial public offer (IPO) of Mrs. Bectors Food Specialities received bids for 262.10 crore shares as against 1.32 crore shares on offer on Thursday (17 December 2020), according to the stock exchange data at 17:00 IST. The issue was subscribed 198.02 times.

The issue opened for subscription on Tuesday (15 December 2020) and it will close today (17 December 2020). The price band for the IPO was set at Rs 286-288 per share.

The IPO consisted of fresh issue of shares amounting to Rs 40.54 crore and an offer of sale of shares aggregating up to Rs 500 crore (including anchor portion of 56,25,415 equity shares).

The proceeds from issue of fresh shares are proposed to be utilised for financing the project cost towards expansion of the Rajpura manufacturing facility in Punjab by establishing a new production line for biscuits. The cost of Rajpura plant expansion is Rs 40.54 crore.

Ahead of the IPO, the company allotted 56,25,415 shares to 31 anchor investors at a price of Rs 288 per share, aggregating to Rs 162.01 crore.

The anchor investors include Nomura Funds, Goldman Sachs India, HDFC Life Insurance Company, Sundaram Mutual Fund, Bajaj Allianz Life Insurance Company and Aditya Birla Sun Life Insurance Company, among others.

The company recorded net profit of Rs 38.88 crore and sales of Rs 430.99 crore in the six months ended on 30 September 2020.

Mrs Bectors Food Specialities (MBFS) is engaged in the business of manufacturing and marketing biscuits and bakery products. The company markets its biscuits such as cookies, creams, crackers, digestives and glucose under its flagship brand 'Mrs. Bector's Cremica'. The company's bakery business manufactures and sells breads, buns, pizza bases and cakes to retail customers under the brand 'English Oven'. In bakery business, the company caters to premium segment in Delhi NCR, Mumbai and Bengaluru.

The company has six manufacturing facilities, three each for biscuits and bakery products. The three manufacturing facilities for biscuits are located at Phillaur and Rajpura (Punjab), Tahliwal (Himachal Pradesh) and that for bakery product are at Greater Noida (Uttar Pradesh), Khopoli (Maharashtra) and Bengaluru (Karnataka).