Mrs Bectors Food IPO subscribed more than 11 times on day 2

The Rs 541-crore initial public offer (IPO) by Mrs Bectors attracted more than 11 times subscription on Day 2, on the back of robust demand from all categories of investors.

The issue received bids for 15,09,10,500 shares, which was 11.40 times the issue size of 1,32,36,211 shares, which was 11.40 times the issue size of 1,32,36,211 shares.


Mrs Bectors Food IPO comprises a fresh issue of ₹40.54 crore and an offer-for-sale of up to ₹500 crore. The price range for the IPO has been fixed at ₹286-288 per share.

On Monday, Mrs Bectors Food Specialities raised ₹162 crore from anchor investors. SBI Capital Markets, ICICI Securities, and IIFL Securities are the managers to the offer.

“At the upper end of the IPO price band, it is offered at 28.1x its TTM (trailing twelve months) earnings, demanding ₹16,918 million market cap, which we believe is quite reasonable. Further, its listed peers like DFM Foods and ADF Foods are currently trading at 50.5x and 24.9x respectively of its TTM earnings.

Mrs Bectors Food manufactures and markets a range of products such as biscuits, bread and buns. It markets a wide variety of biscuits and bread under the flagship brand ‘Mrs Bector’s Cremica’ and the ‘English Oven’, respectively. Many analysts have recommended “subscribe” to the IPO.

We further believe that there is a good possibility of listing gains given lower valuations as compared to other listed peers. Further considering attractive valuation and strong future growth prospects in packaged biscuits we recommend a “Subscribe” rating to this IPO for the long term,” domestic brokerage Anand Rathi said in a note.