Barbeque Nation
Mainboard₹453 Cr issue
-1.60%
Listing gain over issue price
Issue size
₹453 Cr
1 lot at cut-off
₹15,000
Lot size
30shares
Open
24 Mar 2021
Close
26 Mar 2021
Allotment
01 Apr 2021
Listing
07 Apr 2021
Listing performance
Issue price
₹500
Listed at
₹492
Listing-day close
₹590.40
Latest price
₹604.25
Close on 23 Oct 2026
Listing gain
-1.60%
Return since issue
+20.85%
Scheduled dates
Tentative timetable — a past date is not confirmation the step completed
Issue details
- IPO date
- 24 Mar 2021 – 26 Mar 2021
- Listing date
- 07 Apr 2021
- Face value
- ₹5 per share
- Issue price
- ₹500 per share
- Lot size
- 30 shares
- Total issue size
- ₹453 Cr
- Market cap at offer price
- ₹1,877 Cr
- Promoter holding
- 45.49% → 35.70% pre-issue → post-issue
- ISIN
- INE382M01027
- Registrar
- MUFG Intime India Pvt.Ltd.
- Lead managers
- Ambit Pvt.Ltd.
- Registered office
- Sy.No.62, Site No.13, 6th Cross, N.S.Palya, BTM Layout, Karnataka
Reservation and application size
How the issue is split between investor categories, and what each may bid
| Investor category | Shares | % of net | % of total |
|---|---|---|---|
| Anchor investor · within QIB | 40,57,861 | — | — |
| Market maker | 0 | — | — |
Application size
Minimum 30 shares per lot, in multiples, at ₹500
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (min) | 1 | 30 | ₹15,000 |
| Retail (max) | 13 | 390 | ₹1,95,000 |
| S-HNI (min) | 14 | 420 | ₹2,10,000 |
| S-HNI (max) | 66 | 1,980 | ₹9,90,000 |
| B-HNI (min) | 67 | 2,010 | ₹10,05,000 |
Category limits
| Category | Bid size | Cut-off |
|---|---|---|
| Retail (RII) | Up to ₹2 lakh | Yes |
| Small HNI (sNII) | ₹2 lakh – ₹10 lakh | No |
| Big HNI (bNII) | Above ₹10 lakh | No |
| Employee | Up to ₹5 lakh | Yes |
Bidding at cut-off means accepting the final issue price without naming one. Only retail and employee applicants may do so.
Anchor investors
Institutional allocation placed a day before the issue opens, carved out of the QIB portion and locked in after listing.
Shares allocated
40,57,861
Anchor portion
₹203 Cr
at ₹500 per share
Valuation and performance
Valuation at offer price
₹500 per share
| Metric | Pre-issue | Post-issue |
|---|---|---|
| Market cap | — | ₹1,877 Cr |
About Barbeque Nation
The Company was originally incorporated as Sanchi Hotels Private Limited on October 13, 2006 in Indore, Madhya Pradesh, and was subsequently renamed to Barbeque-Nation Hospitality Limited. As of December 31, 2020, the Company owned and operated 147 Barbeque Nation Restaurants (including opened, temporarily closed and under construction outlets) across 77 cities in India and six International Barbeque Nation Restaurants in three countries outside India. The Company also owns subsidiary Red Apple, which operates nine restaurants under the brand name 'Toscano' and eleven Italian Restaurants in three cities in India. In November 2018, the Company launched UBQ by Barbeque Nation. The Company generates revenue primarily from food and beverage sales at its owned and operated restaurants, as well as from franchise rights.
Company Analysis
from RHPBarbeque-Nation Hospitality Limited operates casual dining restaurants under the Barbeque Nation brand in India and internationally, and operates Italian restaurants under the Toscano brand.
The Company was originally incorporated as Sanchi Hotels Private Limited on October 13, 2006 in Indore, Madhya Pradesh, and was subsequently renamed to Barbeque-Nation Hospitality Limited. As of December 31, 2020, the Company owned and operated 147 Barbeque Nation Restaurants (including opened, temporarily closed and under construction outlets) across 77 cities in India and six International Barbeque Nation Restaurants in three countries outside India. The Company also owns subsidiary Red Apple, which operates nine restaurants under the brand name 'Toscano' and eleven Italian Restaurants in three cities in India. In November 2018, the Company launched UBQ by Barbeque Nation. The Company generates revenue primarily from food and beverage sales at its owned and operated restaurants, as well as from franchise rights.
casual dining restaurantsfood and beveragehospitality
Objects of the Issue
- Capital expenditure for expansion and opening of new restaurants by the Company ₹546.19 million p.27
- Prepayment or repayment of all or a portion of certain outstanding borrowings obtained by our Company on a consolidated basis ₹750.00 million p.27
- General corporate purposes ₹383.21 million p.27
- Funding capex for new Barbeque-Nation Restaurants p.71
- Repayment or pre-payment of loans p.71
- General corporate purposes p.71
- Capital expenditure for expansion and opening of new restaurants by the Company ₹546.19 million p.127
- Prepayment or repayment of all or a portion of certain outstanding borrowings availed by our Company on a consolidated basis ₹750.00 million p.130
- General corporate purposes ₹383.21 million p.135
- Not stated in this section
- Not clearly stated in this document excerpt - Objects of the Offer section not included in Part 9 p.514
Issue Structure
- Total Issue
- 9,057,470* Equity Shares, aggregating to ₹4,528.74* million
- Fresh Issue
- 3,600,000* Equity Shares, aggregating to ₹1,800 million
- Offer for Sale
- 5,457,470 Equity Shares, aggregating to ₹2,728.74* million
- Price Band
- ₹498 per Equity Share (Floor Price) to ₹500 per Equity Share (Cap Price)
- Lot Size
- 30 Equity Shares and in multiples of 30 Equity Shares thereafter
- Face Value
- ₹5 each
Business Model
The Company operates casual dining restaurants under the 'Barbeque Nation' brand featuring table-top grilling and all-you-can-eat cuisine. It earns revenue from food and beverage sales at its owned and operated restaurants in India and internationally. The Company also operates Italian restaurants under the 'Toscano' brand through its subsidiary Red Apple. Additionally, the Company generates revenue from franchise arrangements.
Business Segments
Casual dining restaurants featuring table-top grilling and all-you-can-eat cuisine
Italian restaurants operated under the Toscano brand by subsidiary Red Apple
Barbeque Nation restaurants operated outside India
Operates casual dining restaurants featuring interactive grilled meats served at the table, primarily in India with overseas presence
Operates Italian restaurants through subsidiary Red Apple Kitchen Consultancy Private Limited
Prepares food items and consumables used in Barbeque Nation Restaurants at facilities in Delhi NCR and Mumbai for delivery to restaurants
Operation of Barbeque Nation casual dining restaurants featuring DIY over-the-table barbeque concept in metros, Tier I and Tier II cities across India
Operation of Barbeque Nation restaurants in United Arab Emirates, Malaysia, and Oman through subsidiary entities including Barbeque Nation Restaurant LLC, Barbeque Nation (MENA) Holding Limited, Barbeque Nation (Malaysia) Sdn. Bhd., and Barbeque Nation International L.L.C.
Operates casual dining restaurants featuring fixed-price 'all-you-can-eat' buffet with over-the-table barbeque concept where customers grill their own food at embedded table grills, serving unlimited appetizers, main courses and desserts
Operates Italian restaurants offering a la carte Italian cuisine, including fine dining experiences with restaurant events such as Easter brunch, BBQ, bread-making sessions and cooking demonstrations
Provides a la carte Indian cuisine in the value segment, initially through leading food delivery service providers, operating from existing kitchen infrastructure
Operates Barbeque Nation restaurants in international markets including UAE, Oman, and Malaysia
Operating casual dining restaurants serving food and beverages; Revenue from operations includes sales to customers at restaurants; other income from displays, sponsorships, and royalty arrangements
Operating restaurants under the Barbeque-Nation brand name
Operating restaurants under the Toscano and Café Toscano brand names (acquired through Red Apple Kitchen Consultancy Private Limited)
Operating restaurant outlets internationally in Dubai, Oman, and Malaysia
Operates casual dining restaurants with the over-the-table barbeque concept where diners grill their own food at embedded table-top grills, offering vegetarian and non-vegetarian cuisines
Operates Barbeque Nation restaurants in international markets outside India
Operates casual dining Italian restaurants under the Toscano brand and other Italian concepts (La Terrace, Collage). Company owns 61.35% of Red Apple Kitchen Consultancy Private Limited
Provides a la carte Indian cuisine in the value segment, predominantly through food delivery platforms in 77 Indian cities
Operates casual dining restaurants serving food and beverages; uses a table-top grilling concept where customers grill their own food.
Operates Italian restaurants under the brand names 'Toscano' and 'Café Toscano'.
Operates restaurants internationally through wholly-owned subsidiaries including Barbeque-Nation (MENA) Holding Limited and associated entities in Dubai, Malaysia, and other locations.
Operates casual dining restaurants offering interactive grill-on-table dining experiences
Operates casual dining restaurants offering American cuisine
SWOT Analysis
Strengths
- • Leading casual dining restaurant chain by outlet count(p.27)
- • Substantial network expansion across multiple geographies(p.27)
- • Strong revenue growth trajectory(p.40)
- • Brand recognition and market position(p.44)
- • Diversified restaurant portfolio(p.27)
- • Strong brand acquisition through strategic transaction(p.107)
- • Significant promoter and shareholder backing(p.107)
- • Established market position in casual dining format(p.139)
- • Pioneer in DIY table-top barbeque concept(p.179)
- • Experienced management from hospitality sector(p.139)
- • Leading casual dining chain brand with rapid expansion across India and international markets(p.196)
- • Proven operational model with consistent cover growth and revenue generation(p.199)
- • Successful brand recognition and strong customer loyalty through referrals(p.199)
- • Efficient operational systems and centralized management infrastructure(p.202)
- • Experienced management team with hospitality industry background(p.202)
- • Unique all-you-can-eat DIY barbeque format differentiation(p.197)
- • Strategic brand diversification through Red Apple acquisition into Italian casual dining segment(p.196)
- • Shareholder governance with drag-along rights ensuring IPO completion(p.238)
- • Experienced management team with hospitality sector background(p.244)
- • Established board with independent directors providing governance oversight(p.248)
- • Established brand presence with multiple restaurant outlets across India and international locations(p.342)
- • Diversified restaurant portfolio operating under multiple brand names(p.311)
- • Leasehold improvements and operational infrastructure investment across locations(p.309)
- • Employee compensation through stock option schemes demonstrating retention mechanisms(p.340)
- • Leading casual dining chain position in India(p.436)
- • Pioneered over-the-table barbeque concept(p.437)
- • Strong network expansion with 147 outlets across 77 cities(p.436)
- • Consistent cover growth at Barbeque Nation restaurants(p.437)
- • Diversified brand portfolio(p.437)
- • Strong employer brand recognition(p.437)
- • Strong revenue growth trajectory(p.454)
- • Established multi-location restaurant network with scale(p.438)
- • Supplier relationships and negotiating power(p.441)
- • Cost management capability and operational leverage(p.441)
- • Growing digital engagement and loyalty program(p.441)
- • Positive post-COVID recovery momentum(p.439)
- • Established regulatory compliance with necessary government approvals(p.494)
- • Strong trademark portfolio registered across multiple jurisdictions(p.497)
- • Multiple brand variants and intellectual property assets(p.496)
- • Operational presence across multiple jurisdictions with subsidiary operations(p.495)
Weaknesses
- • Persistent profitability challenges despite revenue growth(p.46)
- • Negative net worth from COVID-19 impact(p.38)
- • High operating cost structure relative to revenues(p.46)
- • Dependence on leased premises with escalating costs(p.54)
- • Heavy dependence on third-party delivery aggregators(p.39)
- • Litigation and regulatory compliance issues across promoters(p.42)
- • Past experience with failed restaurant format(p.46)
- • Heavy dependence on three cities (Delhi NCR, Mumbai, Bengaluru) for revenue(p.60)
- • Significant reliance on promoter and key management personnel(p.59)
- • Absence of keyman insurance(p.60)
- • Commissary operations concentrated in two cities(p.59)
- • Recent consecutive losses and negative equity(p.62)
- • Working capital deficit and liquidity stress(p.61)
- • High debt burden with restrictive covenants(p.65)
- • Regulatory non-compliance and lapses in filings(p.69)
- • Significant pledging of promoter shares to secure debt(p.110)
- • Negative earnings and profitability in recent periods(p.140)
- • Negative net worth on standalone basis(p.141)
- • High consolidated debt obligations(p.131)
- • Negative return on net worth(p.141)
- • Negative net working capital position and deteriorating financial metrics post-COVID(p.198)
- • Significantly impaired profitability with negative adjusted EBITDA during COVID period(p.203)
- • Negative net worth position as of November 2020(p.203)
- • Rising rent-to-revenue ratio indicating operational leverage strain(p.201)
- • Past experience with unsuccessful Johnny Rockets franchise operation(p.216)
- • Dependence on dine-in format with limited delivery infrastructure historically(p.209)
- • Negative working capital position with current liabilities exceeding current assets(p.281)
- • Significant accumulated losses and negative equity(p.284)
- • Substantial lease liabilities creating long-term financial obligations(p.284)
- • Multiple loss-making group entities creating financial drag(p.275)
- • Litigation and compliance issues in group entities including income tax demands and trademark infringement(p.275)
- • Dependence on few key promoter-shareholders for financial support(p.294)
- • Negative equity position with accumulated losses(p.362)
- • Significant dependence on lease arrangements for restaurant locations with substantial long-term obligations(p.326)
- • High debt burden and liquidity constraints with defaulted loan repayments(p.345)
- • Significant impairment of goodwill indicating asset quality concerns(p.311)
- • Concentrated customer base through heavy reliance on few restaurant outlets(p.342)
- • Rising finance costs and interest burdens on borrowings(p.329)
- • Contested tax positions and contingent liabilities(p.337)
- • Severe liquidity position with current liabilities exceeding current assets(p.370)
- • Significant accumulated losses eroding equity(p.394)
- • High debt levels with substantial borrowings(p.395)
- • Heavy dependence on lease arrangements creating fixed obligations(p.404)
- • Operating losses incurred during COVID-19 closure periods(p.370)
- • Substantial impairment charges on subsidiary investments(p.408)
- • Severe COVID-19 impact on operations and liquidity(p.439)
- • Negative consolidated EBITDA in recent period(p.470)
- • Significant recent losses and deteriorating profitability(p.454)
- • High leverage and substantial debt obligations(p.471)
- • Rising employee benefit costs relative to revenue(p.441)
- • Material tax contingencies and litigation(p.472)
- • Incomplete GST registration across restaurant outlets(p.495)
- • Missing professional tax registration in certain states(p.495)
- • Incomplete food safety and legal metrology license applications(p.495)
- • Landlord-related fire safety certificate deficiencies(p.495)
- • Missing commissary renewal applications and approvals(p.495)
- • Gaps in employment law registrations and ESI Act coverage(p.495)
- • Missing public liability insurance for Red Apple subsidiaries(p.495)
- • Incomplete insurance renewal for overseas subsidiary(p.496)
Opportunities
- • Significant expansion of casual dining market in India(p.27)
- • Continue expansion in Indian cities(p.47)
- • Growth through international franchise expansion(p.47)
- • New restaurant format opportunities(p.40)
- • Digital and delivery channel growth(p.39)
- • Rapid growth of organized casual dining market(p.171)
- • Expansion into high-growth tier II cities(p.177)
- • Growth of chain market at 19% CAGR(p.171)
- • Rising eating-out frequency and consumer willingness to spend(p.176)
- • Planned expansion of new restaurant locations(p.127)
- • Young demographic favoring branded dining experiences(p.176)
- • Additional mall space becoming available for F&B expansion(p.177)
- • Rapid growth in chain casual dining market with 18% CAGR to FY2025(p.197)
- • Expansion into Tier II and Tier III cities with underpenetrated casual dining market(p.189)
- • Growing delivery segment through aggregators and own-brand channels(p.210)
- • Market share shift from unorganized to organized casual dining post-COVID(p.193)
- • Increasing consumer spending capacity and middle-class expansion in India(p.183)
- • Multi-brand strategy to capture broader customer segments(p.206)
- • International expansion in select markets with franchise and owned models(p.206)
- • Digital transformation and online ordering platform penetration(p.211)
- • IPO funding to address liquidity constraints and fund growth(p.238)
- • Structured governance framework post-IPO with established board committees(p.248)
- • Expansion through acquisition of established restaurant brands (Red Apple acquisition demonstrates capability)(p.334)
- • Casual dining segment growth as customer preferences evolve(p.367)
- • International market expansion through subsidiaries in Dubai, Oman, Malaysia(p.348)
- • Digital and online ordering channels capturing evolving consumer behavior(p.314)
- • Rent concessions and lease modifications securing improved terms(p.331)
- • Growth in Chain Casual Dining market projected to reach ₹302 billion by FY 2025(p.437)
- • Expansion potential with 71 Barbeque Nation restaurants opened since April 2017(p.437)
- • Opportunity to expand Toscano Restaurants to other Metro and Tier I cities(p.437)
- • UBQ brand expanding delivery footprint across 77 cities(p.437)
- • Strong maturation of restaurants with growing covers(p.437)
- • Urban expansion and market growth in India(p.440)
- • Continued restaurant network expansion(p.442)
- • Digital marketing and online ordering growth(p.441)
- • Leverage from increasing restaurant scale and operational efficiency(p.442)
Threats
- • Severe and continuing impact of COVID-19 pandemic(p.37)
- • Increased competition in casual dining market(p.53)
- • Competitors with greater financial resources and economies of scale(p.53)
- • Rising real estate and lease costs(p.54)
- • Supply chain disruptions from disease outbreaks(p.52)
- • Regulatory risks from GST anti-profiteering investigation(p.42)
- • Seasonality affecting revenue consistency(p.55)
- • Dependence on third-party transportation with limited controls(p.54)
- • Food safety and health concerns risk(p.56)
- • Disease outbreaks and epidemics(p.56)
- • Raw material supply disruptions and commodity price volatility(p.58)
- • High employee attrition in F&B industry(p.60)
- • Economic downturn and discretionary spending reduction(p.68)
- • Intensifying competition from established and new entrants(p.61)
- • Regulatory changes and compliance requirements(p.65)
- • GST rate increases and unfavorable tax changes(p.75)
- • Power supply disruptions and rising energy costs(p.68)
- • Inability to pass input cost increases to consumers(p.59)
- • Significant COVID-19 impact on food services market(p.171)
- • Intense competition from established national and international chains(p.178)
- • Concentration of market in specific geographic locations(p.175)
- • High operating costs including real estate expenses(p.177)
- • Dependence on consumer discretionary spending(p.178)
- • Economic contraction and consumer sentiment weakness(p.162)
- • Significant competitive intensity in casual dining with fragmented market structure(p.217)
- • Competition from companies replicating casual dining format at lower costs(p.217)
- • Continued impact from COVID-19 on operational capacity and consumer behavior(p.209)
- • Heavy dependence on leased premises with rental cost volatility(p.218)
- • Regulatory and licensing complexity across multiple Indian states(p.221)
- • Input cost inflation and supply chain disruptions affecting food costs(p.213)
- • Liquidity constraints and debt covenant pressures post-COVID(p.211)
- • Severe impact of COVID-19 pandemic on restaurant operations(p.294)
- • Going concern uncertainty despite management's mitigation efforts(p.281)
- • Significant debt burden with borrowing obligations(p.284)
- • Competition from promoters in similar business lines(p.274)
- • Reliance on controlled entities with shared infrastructure and transactions(p.274)
- • Operational disruptions and uncertainty from regulatory compliance(p.294)
- • Severe COVID-19 pandemic impact on restaurant operations and going concern(p.330)
- • Significant operational challenges during pandemic lockdown with revenue disruption(p.313)
- • Regulatory and taxation uncertainty impacting profitability(p.337)
- • Currency volatility risk from foreign currency borrowings and operations(p.346)
- • Interest rate exposure on floating rate borrowings affecting finance costs(p.319)
- • Competitive pressures in casual dining segment and changing consumer preferences(p.345)
- • Loss of key restaurant brand and associated goodwill impairment(p.311)
- • COVID-19 pandemic causing significant operational disruptions and closures(p.370)
- • Regulatory restrictions on restaurant operations requiring closures(p.370)
- • Uncertainty regarding COVID-19 recovery timeline and financial impact(p.369)
- • Multiple instances of loan default indicating covenant compliance risks(p.420)
- • Restrictive debt covenants limiting business flexibility(p.434)
- • Foreign exchange exposure from USD borrowings(p.421)
- • Uncertain duration and continued impact of COVID-19 pandemic(p.439)
- • Sensitivity to macroeconomic conditions and consumer spending(p.440)
- • Rising cost of food and beverages inputs(p.440)
- • Intense competition in casual dining sector(p.443)
- • Rising rent and occupancy costs(p.442)
- • Restrictive debt covenants limiting operational flexibility(p.471)
- • Shifting consumer preferences toward healthier options(p.440)
- • Regulatory non-compliance risk for licenses and approvals(p.494)
- • Risk of not obtaining or delay in obtaining material approvals(p.494)
- • Foreign investment restrictions and FEMA compliance requirements(p.540)
Promoters
| Name | Role | Pre-Issue | Post-Issue |
|---|---|---|---|
| Sayaji Hotels Limited | Promoter | — | — |
| Sayaji Housekeeping Services Limited | Promoter | 12,621,116 Equity Shares (36.19%) | — |
| Kayum Dhanani | Promoter | 333,400 Equity Shares | — |
| Raoof Dhanani | Promoter | — | — |
| Suchitra Dhanani | Promoter | 6 Equity Shares | — |
| Kayum Dhanani | Promoter | — | — |
| SHL (Sanchi Hotels Limited) | Promoter Group | — | — |
| Raoof Dhanani | Promoter | — | — |
| Suchitra Dhanani | Promoter | — | — |
| SHKSL | Promoter | 37.18% | 33.62% |
| Kayum Dhanani | Promoter/Managing Director | 0.98% | 0.89% |
| Suchitra Dhanani | Promoter | 0.00% | 0.00% |
| Kayum Dhanani | Promoter | — | — |
| Suchitra Dhanani | Promoter | — | — |
| Raoof Dhanani | Promoter | — | — |
| SHL (Sayaji Hotels Limited) | Promoter | — | — |
| SHKSL | Promoter Group | — | — |
| Sayaji Hotels Limited | Promoter | — | — |
| Sayaji Housekeeping Services Limited | Promoter | — | — |
| Kayum Dhanani | Promoter | 0.98% | — |
| Raoof Dhanani | Promoter | — | — |
| Suchitra Dhanani | Promoter | 0.00% | — |
| Sayaji Housekeeping Services Limited | Promoter | 45.09% | — |
| Tamara Private Limited | Promoter | 21.71% | — |
| Pace Private Limited | Promoter | 11.37% | — |
| Sayaji Housekeeping Services Limited | Promoter | 45.09% | — |
| Tamara Private Limited | Promoter | 21.71% | — |
| Pace Private Limited | Promoter | 11.37% | — |
| Tarun Khanna | Director/Associated with AAJVIT, CX Advisors LLP and CX Alternative Investment Fund | — | — |
| Devinjit Singh | Director/Associated with Xponentia Opportunities Fund-I | — | — |
| Sayaji Housekeeping Services Limited (SHKSL) | Promoter Group | — | — |
| Kayum Dhanani | Promoter | — | — |
| Raoof Dhanani | Promoter | — | — |
| Suchitra Dhanani | Promoter | — | — |
Leadership
Kayum Dhanani · Promoter and Managing Director
Auto-extracted from the company's RHP using AI, with each fact linked to its source passage (hover any row to see the quote & page). Provided for research only, not investment advice — verify against the official RHP before relying on it.
Barbeque Nation IPO FAQs
What is the lot size of Barbeque Nation IPO?
The minimum lot size of Barbeque Nation IPO is 30 shares. One lot costs ₹15,000 at the cut-off price.
When does Barbeque Nation IPO open and close?
Barbeque Nation IPO opened for subscription on 24 Mar 2021 and closed on 26 Mar 2021.
What is the listing date of Barbeque Nation IPO?
Barbeque Nation IPO listed on 07 Apr 2021.