Coffee Day eyes $1 bln valuation with biggest Indian IPO in 3 yrs

SICAL Logistics

07/10/2015 12:01

MUMBAI, Oct 7 (Reuters) - India's Coffee Day Enterprises 
Ltd, which runs the nation's biggest coffee chain, said it is 
eyeing a valuation of as much as 67.5 billion rupees ($1.04 
billion) based on the issue price of its initial public offering 
next week that will be the biggest in the local market in nearly 
three years. 
    Coffee Day, which is selling new shares in the IPO, will 
dilute as much as 17.55 percent on a post-issue basis to raise 
up to 11.5 billion rupees, according to a presentation made at a 
company news conference on Wednesday. 
    The company will sell 3.4 billion rupees worth of shares to 
cornerstone investors ahead of the IPO, managers to the IPO 
said. It is selling shares in a price range of 316 to 328 rupees 
in the issue that will open on Oct. 14 and close on Oct. 16. 
 urn:newsml:reuters.com:*:nL3N1263FA  
    Coffee Day Enterprises, which counts private equity KKR 
 KKR.N  and New Silk Route among its investors, runs the Cafe 
Coffee Day cafes with more than 1,500 stores in India and 14 
overseas.  
    It also owns about 16 percent of software services exporter 
MindTree Ltd  MINT.NS  and about 53 percent in Sical Logistics 
Ltd  SICA.NS . 
    Cafe Coffee Day competes with Starbucks Corp  SBUX.O , 
Whitbread Plc's  WTB.L  Costa Coffee, and Barista among others 
in a primarily tea-drinking country that has in recent years 
seen a surge in coffee consumption. 
 ($1 = 65.1000 Indian rupees) 
 
 (Reporting by Devidutta Tripathy and Abhishek Vishnoi; Editing 
by Biju Dwarakanath) 
 ((devidutta.tripathy@thomsonreuters.com; +91 84518 40430; 
Reuters Messaging: 
devidutta.tripathy.thomsonreuters.com@reuters.net)) 
 
Keywords: COFFEE DAY IPO/VALUATION