New Delhi: Fast food chain, Dominos Pizza India Pvt. Ltd has filed draft red herring prospectus (DRHP) with the Securities and Exchange Board of India (Sebi) with an intention to go public early next year.
“Yes, we have filed the DRHP today (Monday) to issue 2.25 crore shares and if every thing goes fine, we should be able to hit the market early next year,” Dominos Pizza India chief executive Ajay Kaul. Of the 2.25 crore shares, nearly 1.85 crore shares are currently owned by JPMorgan, which is willing to exit from the business.
JPMorgan owns 33% in the company and the remaining is owned by the Delhi-based Jubilant Group.
“We are issuing about 40 lakh fresh shares and the remaining are being sold to the public as JPMorgan exit from the venture,” Kaul added. Though he did not give the details on how much money was Dominos likely to raise through the initial public offer (IPO). “I cannot say what will be the share price, but the proceeds will be used to retire some debt and part of the proceeds will be used for expansion and other corporate expenses,” Kaul said. Dominos currently has about Rs85 crore debt on its books.
Shyam S. Bhartia and Hari S. Bhartia are promoters of Dominos Pizza India Ltd, which holds the master franchise for India and Nepal for Dominos Pizza. The promoters of HT Media Ltd, which publishes Mint, and promoters of Dominos Pizza India Ltd are closely related.