Adani Wilmar IPO

Adani Wilmar IPO

Incorporated in 1999, Adani Wilmar limited a joint venture between Adani Group and the Wilmar Group.

Adani Wilmar is an FMCG food company offering most of the essential kitchen commodities for Indian consumers, including edible oil, wheat flour, rice, pulses, and Sugar.

The Company also offers a diverse range of industry essentials, including oleochemicals, castor oil and its derivatives, and de-oiled cakes. The company’s products are offered under a diverse range of brands across a broad price spectrum and cater to different customer groups.

The company’s product portfolio is categorized into (i) edible oil, (ii) packaged food and FMCG, and (iii) industry essentials.

    • “Fortune”, the company’s flagship brand, is the largest selling edible oil brand in India. Recently the company has included products such as edible oil products, rice bran health oil, fortified foods, ready-to-cook soya chunks, khichdi, etc. in its offerings.
    • It is among the top 5 fastest growing packaged food companies in India, based on the growth in revenues during the last five years.
    • The company has strong raw material sourcing capabilities and was India’s largest importer of crude edible oil as of March 31, 2021. which provided it with bargaining power to source better quality raw materials on favorable commercial terms.
    • The company operates 22 plants located across 10 states in India, comprising 10 crushing units and 19 refineries. The company’s refinery in Mundra is one of the largest single-location refineries in India with a capacity of 5,000 MT per day.
    • The company’s distributors are in 28 states and 8 union territories throughout India, catering to over 1.6 million retail outlets. As of September 30, 2021, the company had 88 depots in India, with an aggregate storage space of approx. 1.8 million square feet across the country.

Outlook & Valuation

The Company has shown a strong growth in revenue where it grew from Rs 29,766 cr to Rs 37,195 cr over the period of FY20 to FY21 and during the same period, profit has grown from Rs 460 cr in FY20 to Rs 727 cr in FY21. Again, in the period ended, by September 21, the company reported tremendous growth.

It will be the seventh listed company of the Adani Group, which has already established itself as a brand in the FMCG sector. The company is a leader in branded edible oils and packaged foods in India. The IPO is priced at a P/BV of 7x on a NAV of 28.86 and PE of 36x on its FY21 earnings which are slightly lower than its listed peers. Thus we assign a “SUBSCRIBE” rating to the IPO for listing gain and long term.


    • Mr. Kuok Khoon Hong is the Non-Executive Chairman of the Company.He has over 40 years of experience in the agribusiness industry. He is the co-founder of Wilmar International Limited.
    • Mr. Angshu Mallick is the Chief Executive Officer and Managing Director of the Company.He has over 35 years of experience in marketing and sales in the food industry.
    • Mr. Shrikant Kanhere is the Chief Financial Officer of the Company.He is a fellow member of Institute of Chartered Accountants of India.He has over 18 years of experience in the field of finance and accounts.
    • Mr.Siddhartha Ghosh is the Chief Human Resource Officer of the Company.Previously he also worked at Reliance Industries Limited, Aditya Birla Insulators, Jindal Steel & Power Limited and Coal India Limited.
    • Mr. Satendra Aggarwal is the Business Head – Foods & FMCG and Marketing of the Company.Previously he worked as chief operating officer at Ruchi Soya Industries Limited and has also worked at Hindustan Unilever Limited.
    • Mr. Ashim Mullick is the Vice President – R&D of the Company.Previously he worked at Tata Chemicals Limited, PepsiCo India Holdings Private Limited, GlaxoSmithKline and has also worked at Hindustan Unilever Limited.
    • Mr. Darshil Lakhia is the Company Secretary and Compliance Officer of the Company.He is a member of the Institute of Company Secretaries of India. He has over 14 years of experience in corporate secretarial and other related compliances.


    • Diversified product portfolio with strong brand recall and broad customer reach.
    • Leadership in branded edible oil and packaged food business in India.
    • Strong raw material sourcing capabilities from top global suppliers.
    • Focus on environmental and social sustainability.
    • Pan-India distribution network supported by a robust distribution infrastructure.
    • Professional management and experienced board.


    • Become the leading packaged food and FMCG company in India.
    • Further expand the distribution network with an omni-channel approach.
    • Continue to launch new products and enhance the customer base.


    • Significant dependence on imports of raw materials and/or finished goods in addition to domestic supply.
    • Dependence on edible oil segment for a significant portion of revenue.
    • Fluctuation in the prices of commodities affects profitability.
    • Slowdown or shutdown in its manufacturing operations or under-utilization of its manufacturing facilities.
    • Inability to introduce new products and respond to changing consumer preferences in a timely and effective manner.


Name of the Company Total Income

for FY2021 (₹ Cr)





P/E RoNW (%)
Adani Wilmar Ltd 37195.7 6.37 28.86 [●] 22.1%
Peer Group
Hindustan Unilever Ltd 47028 34.03 202.99 69.63 16.8%
Britannia Industries Ltd 13136.1 77.4 148.8 46.79 51.6%
Tata Consumer Products Ltd 11602 9.3 169.57 78.65 6%
Dabur India Ltd 9561.7 9.58 43.57 59.05 22%
Marico Ltd 8048 9.08 25.23 54.03 36.8%
Nestle India Ltd 13350 215.98 209.44 89.73 103.1%


Particulars (Rs. In Millions) FY 2021 FY 2020 FY 2019
Equity Share Capital 1,142.95 1,142.95 1,142.95
Other Equity 31,838.46 24,564.02 19,967.12
Net Worth 32,981.41 25,706.97 21,110.07
Total Borrowings 19,040.08 23,002.76 18,294.56
Revenue from Operations 370,904.22 296,570.36 287,974.59
EBITDA 14,305.59 14,194.75 12,534.57
Profit Before Tax 7,566.41 6,090.13 5,672.52
Net Profit for the year 7,276.49 4,608.72 3,755.21


The information contained herein are strictly confidential and are meant solely for the information of the recipient and shall not be altered in any way, transmitted to, copied or distributed, in part or in whole, to any other person or to the media or reproduced in any form, without prior written permission of Swastika Investmart Ltd. (“SIL”). The contents of this document are for information purpose only. This document is not an investment advice and must not alone be taken as the basis for an investment decision. Before taking any decision to invest, the recipient of this document must read carefully the Red Herring Prospectus (“RHP”) issued to know the details of IPO and various risks and uncertainties associated with the investment in the IPO of the Company. All recipients of this document must before acting on the given information/details, make their own investigation and apply independent judgment based on their specific investment objectives and financial position. They can also seek appropriate professional advice from their own legal and tax consultants, advisors, etc. to understand the risks and investment considerations arising from such investment. The investor should possess appropriate resources to analyze such investment and the suitability of such investment to such investor’s particular circumstances before making any decisions on the investment. The Investor shall be solely responsible for any action taken based on this document. SIL shall not be liable for any direct or indirect losses arising from the use of the information contained in this document and accept no responsibility for statements made otherwise issued or any other source of information received by the investor and the investor would be doing so at his/her/its own risk. The information contained in this document should not be construed as forecast or promise or guarantee or assurance of any kind. The investors are not being offered any assurance or guaranteed or fixed returns on their investments. The users of this document must bear in mind that past performances if any, are not indicative of future results. The actual returns on investment may be materially different than the past. Investments in Securities market products and instruments including in the IPO of the Company are highly risky and they are generally not an appropriate avenue for someone with limited resources/ limited investment and low risk tolerance. Such Investments are subject to market risks including, without limitation, price, volatility and liquidity and capital risks. Therefore, the users of this document must carefully consider all the information given in the RHP including the risks factors before making any investment in the Equity Shares of the Company.

Swastika Investmart Ltd or its analysts did not receive any compensation or other benefits from the companies mentioned in the report or third party in connection with preparation of the research report. Accordingly, neither Swastika Investmart Ltd nor Research Analysts have any material conflict of interest at the time of publication of this report. Compensation of our Research Analysts is not based on any specific merchant banking, investment banking or brokerage service transactions. Swastika Investment Ltd may have issued other reports that are inconsistent with and reach different conclusion from the information presented in this report. Research entity has not been engaged in market making activity for the subject company. Research analyst has not served as an officer, director or employee of the subject company. We have not received any compensation/benefits from the Subject Company or third party in connection with the Research Report.

CORPORATE & ADMINISTRATIVE OFFICE – 48, Jaora Compound, M.Y.H. Road, Indore – 452 001 | Phone 0731 – 6644000

Compliance Officer: Ms. Sheetal Duraphe Email: (0731) 6644 241

Swastika Investmart Limited, SEBI Reg. No. : NSE/BSE/MSEI: INZ000192732 Merchant Banking: INM000012102 Investment Adviser: INA000009843 MCX/NCDEX: INZ000072532 CDSL/NSDL: IN-DP-115-2015 RBI Reg. No.: B-03-00174 IRDA Reg. No.: 713.

Leave a Reply

Your email address will not be published. Required fields are marked *