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Subway's India Parent EverBrands Files DRHP for Rs 600 Crore IPO with SEBI

· · 3 min read

EverBrands India, the master franchisee for Subway restaurants in India, Sri Lanka, and Bangladesh, has filed its Draft Red Herring Prospectus (DRHP) with SEBI for an Initial Public Offering. The IPO aims to raise up to Rs 600 crore for expansion and debt repayment.

EverBrands India, formerly known as Culinary Brands, has officially filed its Draft Red Herring Prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) to launch an Initial Public Offering (IPO). The multi-brand food and beverages platform, which holds the exclusive master franchisee rights for Subway restaurants across India, Sri Lanka, and Bangladesh, seeks to raise significant capital for its strategic growth initiatives.

IPO Details and Fund Utilization

The proposed IPO comprises a fresh issue of equity shares amounting to up to Rs 600 crore. According to the DRHP, the proceeds from this offering are earmarked for several key purposes:

  • Investment in its wholly-owned subsidiary, Culinary Brands India Private Limited.
  • Repayment or pre-payment of certain outstanding borrowings.
  • Funding capital expenditure for establishing new Subway stores under the company-owned-company-operated (COCO) format.
  • General corporate purposes to support overall business operations and growth.

EverBrands India's Diverse Portfolio

EverBrands India operates across two primary verticals: Quick Service Restaurants (QSR) and Beverages. Beyond its significant presence with Subway, the company also manages a full-spectrum integrated multi-brand platform in the beverage sector.

QSR Vertical: Subway's Dominance

As of December 31, 2025, Subway was recognized as the second-largest QSR chain globally. In India, it stood as the third-largest by store count as of March 31, 2026. EverBrands significantly expanded its COCO network in India, growing from 311 stores on March 31, 2024, to 678 stores by March 31, 2026. The total number of Subway stores across India reached 1,008 as of March 31, 2026, including both COCO and franchise-owned-franchise-operated (FOFO) formats, alongside eight FOFO stores in Sri Lanka.

Beverages Vertical: Premium and Value Offerings

In the beverages segment, EverBrands India is the exclusive brand partner for premium Italian coffee brand Lavazza and single-origin tea brand Dilmah in India. It also owns the value-driven Indian coffee brand, Fresh & Honest. Lavazza boasts over 130 years of heritage, while Dilmah serves a global clientele, including hospitality giants like Marriott and Hyatt. Fresh & Honest caters to corporate and retail consumers through its B2B operations and vending machines.

The company's installed coffee machine base grew from 7,217 as of March 31, 2024, to 9,455 by March 31, 2026, reflecting robust growth in this vertical.

Financial Performance and Market Outlook

EverBrands India has demonstrated strong revenue growth in both its verticals. For the fiscal year ending March 31, 2026 (FY26), revenue from operations in the QSR vertical reached Rs 693.09 crore, up from Rs 480.38 crore in FY25. The beverages business also saw an increase, with revenue climbing to Rs 240.57 crore in FY26 from Rs 206.36 crore in FY25.

The company operates within India’s burgeoning food services market, which was estimated at Rs 5,613 billion in FY25 and is projected to expand significantly to Rs 9,088 billion by FY30, according to the TKC Report. The book running lead managers for the EverBrands IPO include Motilal Oswal Investment Advisors, ICICI Securities, and Nuvama Wealth Management, underscoring the market's interest in this offering.

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