Mrs Bector’s plans 2019 IPO

Indian biscuit and bun producer Mrs Bector’s plans to list on the National Stock Exchange of India by the end of next calendar year.

The supplier of McDonald’s burger buns and the maker of Cremica biscuits is expected to target raising between Rs 500 crore ($7.49m) and and Rs 600 crore ($8.99m).

The company has appointed Edelweiss Financial Services, IIFL and Motilal Oswal Financial Services as merchant bankers to the initial public offering.

The IPO is expected to come from the sale of shares by existing investors, including private equity companies CX Partners and Gateway Partners, which hold 30% and 17%, respectively.

Speculation amongst investors is the cash-rich company does not need funds for expansion.

Mrs Bector’s was established in 1978 in Ludhiana by Rahni Bector. The company was divided among her three son in 2013, and today comprises Mrs Bector’s Foods Specialities Ltd and Cremica Foods, producing fresh cookies, crackers, pretzels and other dry bakery products.

The company’s client list includes KFC, Starbucks, Cafe Coffee Day, Domino’s Pizza and Jet Airways.