- Fears of coronavirus have knocked the doors of NSE, BSE. Stocks of major conglomerates have filled drastically past week and the performance of the stock market has been going down due to the ongoing issues.
- Rossari Biotech Ltd. It also canceled its Indian IPO briefing, citing an unfavorable market.
Sometimes a perfect American breakfast, sometimes just munchies … burgers in India have been playing their part well for a long time. But the country has only 2 major burger giants coming from overseas – McDonalds and Burger King. In modern days, there are a number of big and small burger vendors, but none other franchise is as big as two of our guests are.
Burger King India IPO was to happen some time ago, but then due to ongoing issues of coronavirus disease; the burger giant has delayed the process.
Burger Kind India Ltd. Is owned and operated by private equity fund Ever stone Capital, is putting its planned IPO on hold after witnessing a downfall in the entire stock market.
Burger King initially planned to start the IPO before the end of this month, with a target to raise INR 4 billion. No final decisions have been made and the company could proceed with the IPO when the team observes any improvements in the market.
It’s not just NSE or BSE, but many companies listed on the NASDAQ have also felt tremors of coronavirus outbreak. From tech giants to carmakers, almost every industry is affected by the worldwide spreading of this disease.
Everstone secured exclusive rights to develop and operate Burger Kind branded restaurants in India back in 2013.
Was There a Need for Burger King India IPO?
Burger King India posted 66% growth in sales in India last year which helped the company to cut down its losses. The US fast-food chain entered the Indian market in 2014 posted sales of INR 644 crores in FY 18019 while its losses reduced to INR 16 crores (As of 2019 figures).
“Even before we started the first restaurant, we were clear that Burger King’s offerings need to be truly India. Our menu width means we are able to offer burgers that cater to the Indian palate and attract customers looking for everyday value. In the last 5 years, we have focused on a strong expansion plan through strategic investment in brand building and national supply chain development and operational efficiencies.” – Rajeev Varman, CEO of Burger King India (Source)
After such impressive figures, who wouldn’t like to expand and penetrate more? The stage was all set for the burger giant at NSE, BSE, but then fate had some other plans.
Summing Up:
Alphabet, Tesla, Apple, Reliance, SBI Credit cards are just a few names who are facing the tremor of COVID-19. It was analyzed that SBI Card’s IPO will be blockbuster on the stock market, but now the bank has to settle with a very modest entry in the stock market due to COVID-19 outspread.
Although date a specific date is not yet disclosed from Burger King India’s side we are expecting it to happen by next month. On behalf of Next Big Brand, we wish all the best for Burger Kind India IPO … whenever they feel the time is right for them.
