Best printers for Home

Best Mixer Grinder

Best wired Earphones

Best 43 Inch TV in India

Best Wi Fi Routers

Best Home Theatre in India

Smart Watch under 5000

Best Laptops for Education

Best Laptop for Students

<keyword id="153089" type="COMPANY" weightage="100" keywordseo="Tilaknagar-Industries">Tilaknagar Industries</keyword>, a small-sized <keyword id="6356212" type="UNKNOWN" weightage="100" keywordseo="liquor">liquor</keyword> maker, fell to 1-month lows on news reports that its talks to sell a majority stake in the company to larger rival had broken down on valuation concerns.
 

	The Economic Times reports Allied Blenders and Distillers had walked out of the negotiations citing differences in valuation. Tilaknagar's enterprise value was pegged at 1,500 crore rupees. The company is negotiating a debt restructuring of 550 crore rupees and has a market capitalisation of 300 crore rupees.
 

	Allied was to buy a majority stake and then come up with an open offer for Tilaknagar's shareholders, as per the original plan.
 

	Tilaknagar fell 1.70 rupees, or 6.5 percent, to 24.50 rupees on the National Stock Exchange where 12.5 lakh shares were traded by 12 nooncompared with a 5-day average of 6.83 lakhs.
 

	Tilaknagar's market capitalisation has halved over the last one year as the company grapples with a huge debt burden and eroding market share. 
	 
	Image credit: Indiatimes

Shares of Tilaknagar Industries fell to 1-month lows

<ul><li><keyword id="4080293" type="General" weightage="20" keywordseo="Allied-Blenders-Distillers" source="Orion">Allied Blenders &amp; Distillers</keyword> has filed draft papers with SEBI to raise ₹2,000 crore from the public.</li><li>It consists of a fresh issue of ₹1,000 crore and an offer for sale by promoters of shares worth ₹1,000 crore.</li><li>Some amount of the IPO money will be used to repay debt and rest will be for general corporate purposes.</li></ul>Allied Blenders and Distillers, an Indian spirits company and maker of alcohol products like <keyword id="483085" type="General" weightage="20" keywordseo="officers-choice" source="Orion">Officer's Choice</keyword> Whisky, Sterling Reserve, Officer’s Choice Blue and others, has filed a DRHP with the markets regulator SEBI for a ₹2,000 crore IPO. The company sells alcoholic beverages in India and abroad with a wide range like whiskey, rum, brandy and vodka across 29 countries. It owns nine bottling units, one distilling facility and over 22 outsourced manufacturing sites. It faces competition from listed companies like United Spirits and Radico Khaitan that have a strong hold over the market. Lockdown induced due to Covid-19 pandemic has left a huge scar on the company’s operations. Its distillery and bottling facilities were temporarily closed for several weeks during lockdown in the months of March and April 2020, leading to dip in sales volumes since then. Besides, the national lockdown mandated by the government also resulted in complete ban on the sale of alcohol in India, which significantly impacted its business, inventories and cash flows in 2020. The total cases sold by the company declined from 33.23 million cases in FY20 to 25.52 million cases in FY21. Moreover, the company is in a competitive market wherein marketing and pricing by its competitors also impacts its sales. “Sales of our products could also be adversely affected by other factors, including increases in excise taxes, supply, production or distribution changes / interruptions, marketing or pricing actions by one or more of our competitors, changes in consumer preferences or other factors. Any such adverse development could result in significant loss which would materially and adversely affect our business, profitability and reputation,” said the firm in its DRHP. As on December 31, 2021, the total outstanding borrowings of the company stood at ₹926 crore. All these uncertainties hit by the pandemic reduced its profitability of the company by a large amount. <table style="border-width: initial; border-style: none; table-layout: fixed; width: 468pt;"></colgroup><tbody><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Particulars </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Revenue </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Profit </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">FY21 </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">₹6,378 crore </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">₹2.5 crore </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">FY20 </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">₹8,119 crore </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">₹12.7 crore </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">FY19 </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">₹8,934 crore </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">₹15.2 crore </td></tr></tbody></table>In fact, its advertisement and promotion expenses also came down to ₹90 crore in FY21 from ₹168 crore in FY19. However it has high hopes of a rising population of the eligible age group required for consuming alcohol. The market for alcohol beverages in India is estimated to grow at 3.8% by volume between 2021 to 2025 as approximately 10-12 million people join the drinking population every year. Key players and their volume trends <table style="border-width: initial; border-style: none; table-layout: fixed; width: 468pt;"></colgroup><tbody><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Players </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Volume in FY21 </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">United Spirits </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">70.7 million </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Pernod Ricard India </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">55 million </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Allied Blender and Distillers </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">25.5 million </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Radico Khaitan </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">22.3 million </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">John Distilleries </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">17.8 million </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Tilaknagar Industries </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">5.4 million </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Jagatjit Industries </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">1.7 million </td></tr></tbody></table> SEE ALSO: <a target="_blank" class="c-link c-message_attachment__title_link" href="https://www.businessinsider.in/stock-market/news/it-could-be-slowflation-not-stagflation-and-its-better-for-the-equity-markets/articleshow/92567106.cms">It could be slowflation not stagflation – and it’s better for the equity markets</a> <a target="_blank" class="c-link c-message_attachment__title_link" href="https://www.businessinsider.in/business/startups/news/startups-like-unacademy-vedantu-blue-stone-caratlane-go-physical-from-digital-as-pandemic-boom-ends/articleshow/92564319.cms">Startups go physical from digital as pandemic boom ends</a> <a target="_blank" class="c-link c-message_attachment__title_link" href="https://www.businessinsider.in/finance/news/indian-credit-card-users-spend-40x-more-than-debit-card-users-online/articleshow/92543305.cms">Indian credit card users spend 40x more than debit card users online</a>

Officer’s Choice maker files for a ₹2,000 cr IPO banking on more people hitting alcohol eligible age

You Searched For "Tilaknagar Industries" and got 3 results

Shares of Tilaknagar Industries fell to 1-month lows

Shailendra Bhatnagar

Officer’s Choice maker files for a ₹2,000 cr IPO banking on more people hitting alcohol eligible age

Bhakti Makwana

list of private Coronavirus testing labs approved by the government

Navdeep Yadav

Popular Keywords

Buying Guides