Barbeque-Nation-Hospitality-Limited-IPO-Elite
IPO-Note BARBEQUE-NATION HOSPITALITY LIMITED
Rs-498-Rs500 per Equity share Recommendation: AVOID

Company Profile:-

Company is a leading Dining restaurant chain and own and operate Toscano Restaurants and UBQ by Barbeque Nation. They launched first restaurant in 2008 and thereafter acquired five restaurants in 2012. Company has a presence in three countries outside India and has grown from First  restaurant to 138 restaurant  in73 cities in India and seven International Barbeque Nation Restaurants in three countries outside India as of November 30, 2019.Company recently acquired 61.35% stake in  Red apple which operates ten Italian restaurants in India under the Brand name toscano in Chennai and Bengaluru.Indian Restaurant Industry is expected to grow at a CAGR of 20% from Year 2019 to Year 2024.Company’s percent of Total revenue from weekday sales and lunch covers is higher relative to the Industry average as per Technopak Report. Company ranked 13th among the best companies to work across all categories in India by ‘Economic Times’ and it is among top ten employers with in the Indian retail Industry by Great place to work.

 Open Your Demat Account to Invest in Upcoming IPO’s

open-demat-online

 

Monthly-Stock-Picks-February-2021

BARBEQUE NATION IPO

Wants To Apply Online

 

Positive outlook of the Firm:

  • One of India’s recognised and Fastest growing restaurant.
  • Innovative Menu to Attract customers.
  • Good Financials and Healthy margins over the year.
  • Experienced and well cultured staff.

Objective of the Issue:

  • To Repayment and Prepayment of Debt.
  • Get Benefit of Listing.

Promoters of the company:

  • SHKSL, SHL, Raoof Dhanani, Suchitra Dhanani and Kayum Dhanani are the promoters of the company.

Sharehoding Pattern:

 

Shareholding Pattern Pre- Issue Post Issue
Promoters & Promoters Group 47.8 28.7
Public 52.2 71.3

 

Summary of the Issue:

                                                                   Issue Details
Objects of the issue ·          To Prepayment or pre-payment of company’s  Debt

·          To meet general corporate purpose.

Issue Size Issue Size – Rs.452.87 Crore

Fresh Issue- Rs.180 Crore

Offer for Sale-Rs.272.87 Crore

Face value  

Rs.5 Per Equity Share

Issue Price Rs. 498 – Rs. 500
Bid Lot 30 shares
Listing at  

BSE, NSE

Issue Opens: 24thMarch2021 – 26th March 2021
QIB 50% of Net Issue Offer
Retail 15% of Net Issue Offer
NIB 35% of Net Issue Offer


Check BARBEQUE NATION IPO Allotment Status

BARBEQUE NATION IPO allotment status would be available soon after the IPO closure date. Usually the allotment comes within a week from the closing date which in this IPO yet to be announced.

One can check the allotment on the given below link with PAN number or Application number or DP Client Id. All you need to do is to follow these steps:-

  1. To  BARBEQUE NATION IPO Allotment Status
  2. Go to Application Status
  3. Select IPO as BARBEQUE NATION
  4. Enter your PAN Number or Application Id or DP Client Id.

 

 BARBEQUE NATION IPO

Application Form

Financials:

Particulars As at/ for the year ended March 31, 2019 As at/ for the year ended March 31, 2018 As at/ for the year ended March 31, 2017
Number of subsidiaries 3 3 4
Total assets 119.85 486.93 336.08
Total revenue 55.89 163.92 139.95
Net cash inflow/ (outflows) (1.82) 68.51 (120.36)

 

Elite-Empower-App-Promotional-Banner-img1

Strengths:

  • One of India’s recognized and fastest growing Restaurant.
  • Innovative menu to Attract customers.
  • Good Financials and Healthy margins over the year.
  • Experienced and well cultured staff.

Key Highlights:

  • Revenue of the company stood at Rs.847 as on FY20 and increased at a CAGR of 20% from FY18-FY20
  • Debt is significantly very high.
  • Current ratio of the stood at 0.16.
  • Cash and cash equivalent stood at Rs.7.67 Crore for 9mFY21.
  • Consistently Delivered loss in recent

Risk Factors:

  • Non-compliance to growth strategy could adversely affect the financial position of the company.
  • Maintenance of consistent Food Quality.
  • Competitive business environment.
  • Legal proceeding by Income Tax department and GST Department could adversely affect the company’s Short-Term Operations.

Outlook:

Company is engaged in the business of Restaurant and has 77 Restaurant of Barbeque Nation across India and has Eleven Italian Restaurant in the name of Toscano in Three cities in India. Speciality restaurant Ltd. is the closest peer of the company. The company has grown inorganically in the recent years which reduce the company’s Cash Balance and increase the borrowing in the recent years which raises the Debt-Equity ratio significantly high and impacts the company working capital position which reduces the company current ratio sharply. The company has shown good growth in the Top-Line but unable to manage it’s cost efficiently which forced the company to report consistent losses. Due to weak financials, slow recovery due to Covid-19 in the hospitality Industry and significantly reduction in the Promoter’s share in the company, We advice investors to Avoid this issue as there are lot of opportunity with in the same segment in the market.

 

Lead Manager Details

1)  IIFL Securities Limited

10th Floor, IIFL Centre, Kamala City,Senapati Bapat Marg, Lower Parel (West), Mumbai 400 013

Tel: +91 22 4646 4600, E-mail: bnhl.ipo@iiflcap.com

Investor grievance e-mail: ig.ib@iiflcap.com

Website: www.iiflcap.com

Contact Person: Sachin Kapoor/Ujjaval Kumar

SEBI Registration No.: INM000010940

2) Axis Capital Limited

1st Floor, Axis House,C 2 Wadia International Centre,Pandurang Budhkar Marg, Worli, Mumbai 400 025

Tel: +91 22 4325 2183 Email: bnhl.ipo@axiscap.in

Investor grievance e-mail:  complaints@axiscap.in

Website: www.axiscapital.co.in

Contact Person: Simran Gadh / Sagar Jatakiya

SEBI Registration No: INM000012029

3) Ambit Capital Private Limited

Ambit House,449 Senapati Bapat Marg, Lower Parel,Mumbai 400 013

Tel: +91 22 6623 3000

Email: bnhl.ipo@ambit.co

Investor grievance email: investorgrievance.acpl@ambit.co

Website: www.ambit.co

Contact Person: Sandeep Sharma / Gaurav Rana

SEBI Registration No.: INM000012379

4) SBI Capital Markets Limited

202, Maker Tower “E”,Cuffe Parade,Mumbai 400 005

Tel: +91 22 2217 8300

Email: bnhl.ipo@sbicaps.com

Investor grievance e-mail: investor.relations@sbicaps.com

Website: www.sbicaps.com

Contact Person: Aditya Deshpande/ Sylvia Mendonca

SEBI Registration No: INM000003531

5) Link Intime India Private Limited

C-101, 1st floor, 247 Park,L.B.S. Marg, Vikhroli (West),Mumbai 400 083

Tel: +91 22 4918 6200

E-mail: bnhl.ipo@linkintime.co.in

Investor grievance email: bnhl.ipo@linkintime.co.in

Website: www.linkintime.co.in

Contact Person: Shanti Gopalkrishnan

SEBI Registration No: INR000004058

(Source:DRHP)

Disclosure in pursuance of Section 19 of SEBI (RA) Regulation 2014

Elite Wealth Limited does/does not do business with companies covered in its research reports. Investors should be aware that the Elite Wealth
Limited may/may not have a conflict of interest that could affect the objectivity of this report. Investors should consider this report as only information in making their
investment decision and must exercise their own judgment before making any investment decision.
For analyst certification and other important disclosures, see the Disclosure Appendix, or go to www.elitewealth.in. Analysts employed by Elite Wealth
Limited are registered/qualified as research analysts with SEBI in India. (SEBI Registration No.: INH100002300)
Disclosure Appendix
Analyst Certification (For Reports)
Manoj Vijay Shinde, Elite Wealth Limited, manojshinde@elitewealth.in
The analyst(s) certify that all of the views expressed in this report accurately reflect my/our personal views about the subject company or companies and its or their
securities. I/We also certify that no part of my compensation was, is or will be, directly or inirectly, related to the specific recommendations or views expressed in this
report. Unless otherwise stated, the individuals listed on the cover page of this report are analysts in Elite Wealth Limited.
As to each individual report referenced herein, the primary research analyst(s) named within the report individually certify, with respect to each security or issuer that
the analyst covered in the report, that:
(1) all of the views expressed in the report accurately reflect his or her personal views about any and all of the subject securities or issuers; and
(2) no part of any of the research analyst’s compensation was, is, or will be directly or indirectly related to the specific recommendations or views expressed in the
report.
For individual analyst certifications, please refer to the disclosure section at the end of the attached individual notes.
Research Excerpts
This note may include excerpts from previously published research. For access to the full reports, including analyst certification and important disclosures, investment
thesis, valuation methodology, and risks to rating and price targets, please visit www.elitewealth.in.
Company-Specific Disclosures
Important disclosures, including price charts, are available and all Elite Wealth Limited covered companies by visiting https://www.elitewealth.in, or emailing
research@elitestock.com with your request. Elite Wealth Limited may screen companies based on Strategy, Technical, and Quantitative Research.
For important disclosures for these companies, please e-mail research@elitestock.com.
Options related research:
If the information contained herein regards options related research, such information is available only to persons who have received the proper option risk disclosure
documents. For a copy of the risk disclosure documents, please contact your Broker’s Representative or visit the OCC’s website at https://www.elitewealth.in
Other Disclosures
All research reports made available to clients are simultaneously available on our client websites. Not all research content is redistributed, e-mailed or made available
to third-party aggregators. For all research reports available on a particular stock, please contact your respective broker’s sales person.
Ownership and material conflicts of interest Disclosure
Elite Wealth Limited policy prohibits its analysts, professionals reporting to analysts from owning securities of any company in the analyst’s area of
coverage. Analyst compensation: Analysts are salary based permanent employees of Elite Wealth Limited. Analyst as officer or director: Elite Wealth
Limited policy prohibits its analysts, persons reporting to analysts from serving as an officer, director, advisory board member or employee of any company
in the analyst’s area of coverage.
Country Specific Disclosures
India – For private circulation only, not for sale.
Legal Entities Disclosures
Mr. RavinderParkash Seth is the Managing Director of Elite Wealth Ltd (EWL, henceforth), having its registered office at Casa Picasso, Golf Course
Extension, Near Rajesh Pilot Chowk, Radha Swami, Sector-61, Gurgaon-122001 Haryana, is a SEBI registered Research Analyst and is regulated by Securities and
Exchange Board of India. Telephone:011-43035555, Facsimile: 011-22795783 and Website: www.elitewealth.in
EWL Advisory discloses all material information about itself including its business activity, disciplinary history, the terms and conditions on which it offers research
report, details of associates and such other information as is necessary to take an investment decision, including the following:
1. Reports
a) EWL Advisory or his associate or his relative has no financial interest in the subject company and the nature of such financial interest;
(b) EWL Advisory or its associates or relatives, have no actual/beneficial ownership of one per cent. or more in the securities of the subject company, at the end of
the month immediately preceding the date of publication of the research report or date of the public appearance;
(c) EWL Advisory or its associate or his relative, has no other material conflict of interest at the time of publication of the research report or at the time of public
appearance;
2. Compensation
(a) EWL Advisory or its associates have not received any compensation from the subject company in the past twelve months;
(b) EWL Advisory or its associates have not managed or co-managed public offering of securities for the subject company in the past twelve months;
(c) EWL Advisory or its associates have not received any compensation for investment banking or merchant banking or brokerage services from the subject company
in the past twelve months;
(d) EWL Advisory or its associates have not received any compensation for products or services other than investment banking or merchant banking or brokerage
services from the subject company in the past twelve months;
(e) EWL Advisory or its associates have not received any compensation or other benefits from the subject company or third party in connection with the research
report.
3 In respect of Public Appearances
(a) EWL Advisory or its associates have not received any compensation from the subject company in the past twelve months;
(b) The subject company is not now or never a client during twelve months preceding the date of distribution of the research report and the types of services provided
by EWL Advisory
Provided that research analyst or research entity shall not be required to make a disclosure as per sub-clauses (c), (d) and (e) of clause (ii) or sub-clauses (a) and (b) of
clause (iii) to the extent such disclosure would reveal material non-public information regarding specific potential future investment banking or merchant banking or
brokerage services transactions of the subject company.
(4) EWL Advisory or its proprietor has never served as an officer, director or employee of the subject company;
(5) EWL Advisory has never been engaged in market making activity for the subject company;
(6) EWL Advisory shall provide all other disclosures in research report and public appearance as specified by the Board under any other regulations.