Fruit drinks manufacturer Manpasand Beverages is planning to raise nearly Rs 500 crore through an initial public offer to double its capacity and explore newer markets.
"We have planned to more than double our capacity in the next two years to reach out to the untapped rural market. For this purpose, we plan to come out with an IPO to raise funds," Manpasand Beverages Chairman and Managing Director Dhirendra Singh told PTI.
The company is likely to go public in FY 2016, he said.
Manpasand manufactures mainly mango juices. It has three manufacturing facilities in Vadodara, Banaras and Dehradun.
"We want to set up four more factories to cater to tier II, semi-rural and rural markets. These factories will come up in Vadodara, Bangalore and one on the Bengal-Bihar border and expansion of Banaras facility," he said.
Manpasand Beverages has a total capacity of 75,000 cases per day, which the company is looking to expand to 150,000 cases per day within three years.
Indian food and beverages market in the FMCG sector is pegged at almost Rs 1.5 lakh crore.
Manpasand, which expects to close the year with Rs 300 crore revenue, is eyeing over Rs 1,000 crore sales by 2016.
"We are present in 20 states through a large network of over 2 lakh retailers, 2,000 distributors and over 200 super stockists. To achieve our target, we need to expand our presence and we expect we will be able to cover the entire country in the next 2-3 years," Singh said.
Besides, the company is also planning to go global by setting up a facility in Dubai.
"There is a huge demand for our flagship brand Mango Sip in the international market. We believe, by setting up a facility abroad we will be able to cater to a larger market," Singh said.
Meanwhile, the company has roped in Bollywood actor Sunny Deol as its brand ambassador and launched a TV commercial to reach out to masses.
"Through this association and the new television commercial, we are confident Mango Sip will make inroads into the hearts of the customers," he added.
Manpasand manufactures guava, apple and litchi juices as well.