No, I won’t date here as I cannot two time my existing partner CCL Products
Anyway, seriously, at 1 billion USD valuation and a PAT of 80 crore as per your above post, it is straight away getting 70 PE? While strictly not comparable, CCL Products is available at 15-17 times FY17E EPS of 14-15 and 24 times FY16E 10-11 EPS.
However, India is a predominantly a Tea drinking country as so far we did not have this coffee culture, westernisation thing not yet penetrated broadly. I myself in my 20s felt aspirational drinking coffee in a Barista or Coffee day so with Indian demographics in support the coffee culture is going to explode and market opportunity could be huge.
After reading the above post, I personally would stay away from this IPO as the capital allocation strategy is not encouraging and so is the company’s stake in unrelated fields. Also, the business is real estate intensive. For coffee culture, you need to be present in HIGH cost locations with appealing interiors etc.
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