EverBrands India has initiated its initial public offering by submitting a draft red herring prospectus to the Securities and Exchange Board of India. This IPO is aimed at raising up to Rs 600 crore through a new issue of equity shares and excludes any offer for sale. Additionally, the company is contemplating a pre-IPO placement of as much as Rs 120 crore, which would potentially decrease the size of the fresh issue. EverBrands intends to list its shares on the BSE and NSE.
About EverBrands India and Its Operations
EverBrands operates the Subway franchise in India through its subsidiary, Culinary Brands India Pvt Ltd (CBIPL). The company also oversees Lavazza Coffee and F&H Coffee and is responsible for distributing Dilmah Tea in India through Fresh and Honest Café Pvt Ltd. EverBrands manages Subway outlets in both company-owned, company-operated (COCO) and franchise-owned, franchise-operated (FOFO) formats.
Book-Running Lead Managers and Proceeds Utilisation
According to the draft red herring prospectus, the company has engaged Motilal Oswal, ICICI Securities, and Nuvama as the book-running lead managers. MUFG will serve as the registrar for the issue. It is planned that Rs 125 crore from the IPO proceeds will be allocated to repaying borrowings. Another Rs 326.85 crore is earmarked for capital expenditures related to establishing new Subway stores under the COCO model, while the remaining funds will be directed towards general corporate activities.
Financial Performance and Store Presence
For the fiscal year 2026, EverBrands reported a year-on-year revenue increase of 34.9%, reaching Rs 966.17 crore compared to Rs 716.06 crore in FY25. The quick service restaurant sector, which encompasses Subway, contributed Rs 693.09 crore during the fiscal, although the company’s losses expanded to Rs 58.19 crore from Rs 28.26 crore in FY25. The EBITDA for the year was recorded at Rs 98.13 crore, an improvement from Rs 64.21 crore the previous year.
As of FY26, EverBrands operates 678 COCO and 330 FOFO Subway outlets in India, along with eight FOFO stores in Sri Lanka. The Subway division accounted for approximately 72% of the company’s overall operating revenue for the fiscal.
EverBrands Ventures Pte Ltd holds the largest stake in the company, with a 57.78% share on a fully diluted basis. Norwest Capital LLC follows with a 16.48% stake. Shivanand Shankar Mankekar HUF owns 5.83%, while Playbook India Fund II possesses 4.15%. Enrich Agro Food Products and Bikramjit Singh Kandhari each maintain a 3.64% stake on a fully diluted basis.
Earlier this year, EverBrands secured $15 million in funding led by Playbook Partners, reportedly acquiring a 5% interest in Subway India’s parent company at a valuation between Rs 2,600 crore and Rs 2,800 crore. The specifics regarding the IPO price band and the issue dates have yet to be disclosed.