Sapphire Foods IPO Review & Analysis

Sapphire Foods India Limited IPO

Sapphire Foods IPO

Sapphire Foods was set up in 2015, by the acquisition of about 250 KFC and Pizza Hut restaurants in India and Sri Lanka, by a group of leading Private Equity firms and is managed by a team of professionals.

Sapphire Foods is one of the largest YUM’s franchisee operators in the subcontinent, with a track record of operating more than 400 KFC, Pizza Hut and Taco Bell restaurants in India, Sri Lanka and the Maldives. As of June 30, 2021, Sapphire Foods owned and operated 209 KFC stores in India and the Maldives, 239 Pizza Hut stores in India, Sri Lanka and the Maldives, and 2 Taco Bell stores in Sri Lanka.

The company have an in-house supply chain function and work with vendor partners for food ingredients, packaging, warehousing and logistics. The company operate warehouses across five cities in India to service their restaurants in India and have invested in building technology solutions. Between March 31, 2019, to June 30, 2021, their total number of restaurants in India grew from 376 restaurants to 450 restaurants. The company has also adopted YUM’s global online and digital channel solutions to enhance the customer experience and achieve operating efficiency and financial controls.

 Qualitative factors

  • One of the leading QSR brands with a substantial market presence and scale.
  • A strong relationship with the YUM brand.
  • Continuous focus on delivering excellent customer experience.
  • Operational excellence.
  • Scalable new restaurant economic model for expansion.
  • Great place to work, led by a professional management team and backed by institutional capital.

Objects of the Offer

  • to carry out the Offer for Sale (OFS) of up to 17,569,941 equity shares by the selling shareholders.
  • to get the benefits of listing the equity shares on the stock exchanges.
  • enhancement of the company’s brand name amongst its existing and potential customers.

Financials of Sapphire Foods

Parameter (₹ in million)FY21FY20FY19
Total Assets13,489.3713,806.6415,674.72
Total Revenue10,812.3513,517.3612,062.82
Loss for the year(998.97)(1,592.47)(694.04)


Sapphire Foods IPO Issue Details

Issue Open09 Nov 2021- 11 Nov 2021
Issue TypeBook Built Issue IPO
Issue Size17,569,941 equity shares of ₹ 10 (aggregating up to ₹ 2,073.25 Cr)
Offer for Sale17,569,941 equity shares of ₹ 10 (aggregating up to ₹ 2,073.25 Cr)
Face Value₹ 10 per equity share
Issue Price₹ 1120 to ₹ 1180 per equity share
Market Lot12 shares
Min Order Quantity12 shares
Listing AtBSE, NSE
Allotment Date16 Nov 2021
Listing Date22 Nov 2021


Sapphire Foods IPO Bid Details

Sl No.

CategorySubscription Status
(No. of times)
09 Nov 2110 Nov 2111 Nov 21


Book Running Lead Managers
1. JM Financial Limited
2. BofA Securities India Limited
3. ICICI Securities Limited
4. IIFL Securities Limited
Registrar to the Offer
Link Intime India Private Limited
C 101, 247 Park, L. B. S. Marg
Vikhroli (West)
Mumbai 400 083
Tel: +91 22 4918 6200
Investor grievance e-mail:
Contact person: Shanti Gopalkrishnan
SEBI Registration No.: INR000004058

Registered and Corporate Office: 702, Prism Tower, A Wing, Mindspace, Link Road, Goregaon (West), Mumbai, 400 062, Maharashtra, India.

Also Read:Source: Sapphire Foods India Limited RHP

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