Coffee Day Enterprises raises Rs 334 cr from anchor investors

New Delhi: Coffee Day Enterprises, which will come out with its initial share sale tomorrow, has raised over Rs 334 crore from anchor investors.

The operator of the popular Cafe Coffee Day (CCD) chain plans to mop up Rs 1,150 crore through the IPO, which would be the biggest in the country in nearly three years.

As many as 1.04 crore shares were allotted to 17 anchor investors at a price of Rs 322 apiece. The total amount raised is little over Rs 334.27 crore, Coffee Day said in a filing to the National Stock Exchange.

Blackrock India Equities Fund (Mauritius) Ltd, ICICI Prudential FMCG Fund, Reliance Life Insurance Company Ltd, Merrill Lynch Capital Markets Espana SA SV, Swiss Finance Corporation (Mauritius) Ltd and Faering Capital India Evolving Fund are among the 17 anchor investors.

The company, which competes with global giant Starbucks in the fast-growing Indian consumer market, has fixed a price band of Rs 316-328 per share for its IPO.

The share sale, which opens tomorrow, would close on October 16.

Kotak Investment Banking, Citigroup, Morgan Stanley, Axis Capital, Edelweiss and Yes Bank are handling the IPO of Coffee Day Enterprises, whose shareholders include private equity giants KKR and New Silk Route.

Siddhartha, the main promoter as well as chairman and managing director, holds 54.78 percent stake in Coffee Day. The overall shareholding of promoters is 92.74 percent.

In March, Coffee Day raised Rs 100 crore in a pre-IPO funding from Nandan Nilekani and Rare Enterprises (owned by Rakesh Jhunujunwala and Ramesh Damani), among others.

Coffee Day Enterprises is the parent company of Coffee Day Group and operates coffee business through a subsidiary, Coffee Day Global Ltd (earlier known as Amalgamated Bean Coffee Trading Company Limited) and its subsidiaries.