Burger King Listing: Debut today on bourses; Find details

Burger King India, the subsidiary of US-based quick-service restaurant chain Burger King, will debut on bourses today, on December 14, 2020, after receiving a strong response to its initial public offering.

The quick-service restaurant chain's Rs 810 crore Initial Public Offering (IPO) had received an overwhelming response from the investors. The IPO which opened for subscription on December 2, 2020, at a price band of Rs 59-60 per share was subscribed 156 times. The public offer closed on December 4, 2020.

The portion reserved for retail investors was subscribed more than 30 times, while the portion set for the qualified institutional buyers (QIB) segment was subscribed 24 times and the non-institutional investors (NII) category received 262 times subscription.

The IPO consisted of a fresh issue of equity shares worth Rs 450 crore and an offer for sale worth Rs 360 crore by the promoter QSR Asia. The company will use the proceeds from the equity sale to open company-owned restaurants and for general corporate purposes.

Burger King has plans to open more than 50 restaurants every year with a target to reach 700 restaurants by 2026. The target is aggressive given McDonald's store count is at around 480 with the presence in India from more than two decades.

Currently, the company owns 261 restaurants spread across 57 cities such as Delhi-NCR, Mumbai, Pune, Bengaluru, Chandigarh, Chennai, Hyderabad and Ludhiana.

Brand positioned for millennials

It has positioned its brand to target the large and growing millennial population in India. The millennial population in India has grown from 418 million in Fiscal Year 2011 to 447 million in Fiscal 2020. (Source: Technopak).