Published 11:39 IST, July 2nd 2024
Allied Blenders rises 13% in debut trade on National Stock Exchange
India's robust $33 billion spirits market is currently dominated by giants like Diageo-owned United Spirits and Pernod Ricard.

Allied Blenders and Distillers saw its shares surge nearly 13 per cent in their debut trading session on Tuesday, in line with expectations for the Indian whisky manufacturer known for brands like 'Officer's Choice' and 'Sterling Reserve'.
The stock opened at Rs 320 on the National Stock Exchange (NSE), marking a 14 per cent premium over its offer price of Rs 281, before moderating its gains. Meanwhile, the benchmark Nifty 50 remained flat during the session.
India's robust $33 billion spirits market is currently dominated by giants like Diageo-owned United Spirits and Pernod Ricard, which produces the popular 'Chivas Regal' whisky.
Allied Blenders' market debut valued the company at Rs 7,738 crore. In comparison, United Spirits, known for 'Johnnie Walker', holds a larger market cap at $11 billion.
Despite the premium listing, analysts cautioned that Allied Blenders' stock might be overvalued, citing its sky-high price-to-earnings (P/E) ratio of 4,014, significantly higher than United Spirits and Radico Khaitan (RADC.NS) with P/E ratios of 73 and 96, respectively.
"The premium listing reflects market liquidity and investor appetite for new stock opportunities," noted Karan Taurani of Elara Capital.
Allied Blenders' initial public offering was priced at 23 times the shares on offer, considerably lower than recent oversubscribed IPOs in June. The subdued response was partly attributed to the absence of major anchor investors and stretched valuations, according to Kranthi Bathini, director of equity strategy at Wealthmills.
Updated 11:39 IST, July 2nd 2024