The Burger King IPO, launched from December 2 to December 4, 2020, aimed to raise ₹810 crore, with a price band set between ₹59 and ₹60 per share. The offering included a fresh issue of shares worth ₹450 crore and an offer for sale totaling ₹360 crore from its promoter, QSR Asia Pte Ltd. The Burger King IPO was remarkably successful, witnessing a subscription of 156.65 times, making it one of the most noteworthy IPOs in India. Upon its debut on December 14, 2020, shares from the Burger King IPO soared, closing the first day at ₹135 per share—an impressive 92% premium over the issue price.
Overview of the Burger King IPO
What is the Burger King IPO?
The Burger King IPO marks a significant milestone in the Indian stock market, reflecting the surging interest in quick-service restaurants (QSRs). It raised a total of ₹810 crore through a combination of fresh issues and offers for sale, indicating strong market confidence in the brand’s future.
When Did the Burger King IPO Launch?
- Subscription Period: December 2 to December 4, 2020
- Listing Date: December 14, 2020
Where Are the Shares of the Burger King IPO Listed?
The shares from the Burger King IPO are listed on major stock exchanges in India:
- Bombay Stock Exchange (BSE)
- National Stock Exchange (NSE)
Who Initiated the Burger King IPO?
The Burger King IPO was initiated by Burger King India Limited, backed by its promoter entity, QSR Asia Pte Ltd.
Why Was the Burger King IPO Launched?
Funds raised through the Burger King IPO were earmarked for several purposes, including:
- Opening new company-owned restaurants
- Repaying existing debts
- General corporate purposes
This strategic move aims to strengthen Burger King’s position in the competitive Indian market.
How Could Investors Participate in the Burger King IPO?
Investors had the opportunity to participate in the Burger King IPO by purchasing shares at a minimum lot size of 250 shares, which required an initial investment of approximately ₹15,000.
Key Details of the Burger King IPO
| Detail | Information |
|---|---|
| Price Band | ₹59 – ₹60 per share |
| Total Issue Size | ₹810 crore |
| Fresh Issue Size | ₹450 crore |
| Offer for Sale Size | ₹360 crore |
| Face Value | ₹10 per equity share |
| Listing Date | December 14, 2020 |
| First Day Closing Price | ₹135 per share (125% increase) |
Performance and Future Outlook of the Burger King IPO
The Burger King IPO was met with unprecedented demand, achieving a subscription rate of over 156 times. This exceptional interest showcases strong investor confidence in the company’s growth potential within India’s fast-food sector.
Expansion Plans for the Burger King IPO
Analysts forecast that Burger King is well-positioned for expansion. The company aims to increase its number of outlets from over 250 to around 700 by December 2026.
Revenue Growth from the Burger King IPO
From FY18 to FY20, Burger King experienced impressive revenue growth, boasting a compound annual growth rate (CAGR) of 49%. This trajectory underscores the brand’s solid standing in the market and its potential for future growth.
Conclusion on the Burger King IPO
The successful launch of the Burger King IPO emphasizes the robust demand for QSR stocks in India. Investors looking for promising growth opportunities in the food sector should consider Burger King’s expansion plans.
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