Learn about Mohan Meakin Unlisted Shares | Mohan Meakin IPO Details

𝗔𝗯𝗼𝘂𝘁 𝗠𝗼𝗵𝗮𝗻 𝗠𝗲𝗮𝗸𝗶𝗻 𝗣𝗿𝗲 𝗜𝗣𝗢:

Mohan Meakin Limited (MML) is a large and diverse conglomerate with a rich history that traces back to 1855 when Edward Dyer established Asia's first brewery in Kasauli, nestled in the Himalayan Mountains of India. Initially founded as Dyer Breweries, the company has grown and evolved significantly over the decades, reflecting its expansive diversification and deep-rooted legacy in various sectors.

The primary business of Mohan Meakin Limited revolves around the manufacturing of both alcoholic and non-alcoholic beverages. Its alcoholic product line includes an array of whiskies, beers, brandies, gins, rums, and vodka, with iconic brands such as Old Monk rum and Lion Beer, one of India’s oldest beer brands, being particularly noteworthy. On the non-alcoholic side, the company produces apple juices, brewed and non-fruit vinegars, and mineral water. In addition to beverages, MML also offers breakfast foods such as corn flakes, wheat porridge, wheat flakes, wheat dalia, and malt extracts, showcasing its diverse portfolio.

The company’s journey through history is marked by significant transformations. In 1935, Dyer Breweries was renamed Dyer Meakin Breweries Ltd. following the separation of its Burma Brewery assets. This was followed by another renaming in 1966 to Mohan Meakin Breweries Ltd., and finally to Mohan Meakin Limited in 1980, reflecting its evolving identity and expanding business scope.

Mohan Meakin has established a robust manufacturing infrastructure across India, with key production sites in Solan, Kasauli, Mohangram, MohanNagar, Bhankarpur, and Lucknow. These strategic locations enable the company to maintain a steady supply of its diverse products to meet the demand both domestically and internationally. The company’s export footprint spans several countries, including the United Arab Emirates, the United States, Singapore, Qatar, Germany, Kenya, Ukraine, Russia, Hong Kong, Oman, the Democratic Republic of the Congo, and Estonia, highlighting its significant global presence.

Mohan Meakin Limited’s legacy is deeply intertwined with the economic and social fabric of India. It has not only been a leader in the liquor industry but also contributed significantly to the country’s industrial growth and employment. The company’s commitment to quality, continuous innovation, and adaptation to changing market dynamics has ensured its enduring success.

From its humble beginnings in the Himalayas to becoming a globally recognized name, Mohan Meakin Limited stands as a testament to its rich history, resilience, and pioneering spirit in the beverage industry. Its comprehensive product range, historical significance, and international reach underscore its status as a formidable player in the market.

𝗠𝗼𝗵𝗮𝗻 𝗠𝗲𝗮𝗸𝗶𝗻 𝗜𝗣𝗢 𝗗𝗲𝘁𝗮𝗶𝗹𝘀:

The 163-year-old corporation is contemplating re-listing its equity shares on the Delhi and Calcutta stock exchanges, 16 years after their delisting. They have submitted documents for re-listing to the Metropolitan Stock Exchange (MSE). As of now, Mohan Meakin Limited has not filed any Draft Red Herring Prospectus (DRHP) for an IPO.

𝗠𝗼𝗵𝗮𝗻 𝗠𝗲𝗮𝗸𝗶𝗻 𝗨𝗻𝗹𝗶𝘀𝘁𝗲𝗱 𝗦𝗵𝗮𝗿𝗲𝘀 𝗜𝗻𝗱𝘂𝘀𝘁𝗿𝘆 𝗦𝘁𝗮𝘁𝗶𝘀𝘁𝗶𝗰𝘀:

An "alcoholic drink" refers to a beverage produced by the fermentation of grains, fruits, and other sources of sugar. This fermentation process, a natural byproduct of yeast digestion of the sugars in the raw materials, results in the creation of wine, beer, and spirits. Beer, one of the most well-known alcoholic beverages, is made from malt, rice, hops, and maize.

According to CARE Research, India’s alcohol industry, valued at $35 billion as of FY21, is the third largest in the world after China and Russia. India produces a variety of spirits, including whiskey, brandy, rum, and vodka. The alcohol market in India is segmented into different categories: country liquor, Indian Made Foreign Liquor (IMFL), beer, and imported liquor, with country liquor commanding the highest market share due to its affordability.

IMFL, despite high duties, has positioned India as the world's fastest-growing producer in this category and an appealing destination for international alcohol beverage companies. The COVID-19 pandemic caused a decline in IMFL production and consumption in FY20 and FY21. However, data from the Centre for Monitoring Indian Economy (CMIE) predicts a 12% increase in IMFL imports and a 2% increase in exports in FY22. IMFL is expected to grow at a CAGR of 12% until FY21 and then at a CAGR of 3% from FY21 to FY26. Whiskey dominates the IMFL category, making India the largest whiskey market globally. Prominent brands include United Spirits Limited’s McDowell’s No. 1, Royal Challenge, and Bagpiper, as well as Pernod Ricard’s Imperial Blue, Seagram’s Blender’s Pride, Royal Stag, and Beam Global’s Teacher's. Rum is the second most common spirit in India, with Mohan Meakin Ltd.’s Old Monk being particularly popular. Gin and vodka are also growing in demand, especially among urban youth and women, with top products including Bacardi’s Bombay Sapphire gin and Diageo’s Smirnoff vodka.

Beer has a long history in India, with the first brewery established in 1830 in Kasauli (later moved to Solan). Despite this, beer has only recently gained widespread popularity. Strong beers, with an alcohol content of at least 8%, dominate the category. Beer production fell by 5% in FY20 and by approximately 47% in FY21, primarily due to COVID-19 lockdowns. With the gradual reopening of the economy, an uptick in production is anticipated. United Breweries, 42% owned by Heineken, leads the market with its Kingfisher brand. Other popular brands include SAB Miller’s Miller, Foster’s, Royal Challenge, Carlsberg, and Tuborg. Weaker beers are less common, but Kingfisher offers options with lower alcohol content.

Country liquor is the most consumed type of alcohol in India, growing at an annual rate of 6-8%, with faster growth in some northern and eastern states. The average alcohol content in country liquor is 33% v/v.

The modern Indian wine market is modest but expanding. Annual per capita wine consumption in India is only 9 milliliters, about 1/8000th of that in France. This low consumption is due to a preference for hard liquor and beer, which make up about 98% of the market, while wine accounts for barely 2%. However, the whiskey market in India, the world’s largest growth market for this spirit category, is expected to expand significantly. According to International Wines and Spirits Record (IWSR) data, scotch is projected to contribute 10.5 million cases to total whiskey growth, while Indian-made whiskies are expected to increase by 28.2 million cases.