EverBrands IPO: Subway India operator files DRHP to raise Rs 600 crore via fresh issue

EverBrands India, the operator of Subway restaurants in India, has filed a DRHP on Sept 28, 2026 with SEBI for approval of its upcoming ipo process. The proposed EverBrands IPO is offering entirely as a fresh issue of equity shares worth up to Rs 600 crore, with no offer-for-sale component.

The company operates Subway in India through Culinary Brands India Private Limited and also has businesses linked to Lavazza, Dilmah and Fresh & Honest.

The EverBrands IPO will raise up to Rs 600 crore through a fresh issue of shares. The company plans to use Rs 326.85 crore to set up new Subway company-owned, company-operated (COCO) stores and Rs 125 crore to repay or pre-pay borrowings of its wholly owned subsidiary, Culinary Brands India Private Limited. The remaining amount will be used for general corporate purposes.

EverBrands India is a multi-brand food and beverage platform. Its business includes the Subway quick service restaurant (QSR) business and beverage brands such as Lavazza, Dilmah and Fresh & Honest.

Through its subsidiary, Culinary Brands India, the company holds master franchisee rights for Subway across India, Sri Lanka and Bangladesh. As of March 31, 2026, it had 1,008 Subway stores in India, including 678 COCO stores and 330 franchise-owned, franchise-operated (FOFO) stores. It also had eight FOFO stores in Sri Lanka.

The proposed fresh issue will mainly support Subway store expansion and debt repayment.

The company plans to invest Rs 326.85 crore in setting up new Subway stores under the COCO format. Another Rs 125 crore will go towards repayment or pre-payment of borrowings of Culinary Brands India.

The company may also consider a pre-IPO placement of up to Rs 120 crore. If completed, the fresh issue size would be reduced by the amount raised through that placement.

EverBrands' revenue has increased, but the company reported a wider loss in FY26.

EverBrands has been increasing the number of Subway stores it operates directly.

The total number of COCO stores in India went up from 311 in March 2024 to 434 in March 2025 and to 678 in March 2026. The company intends to utilize a substantial amount of the IPO money raised on expanding COCO stores.

Under the COCO model, the company owns and operates the stores itself. This gives EverBrands direct control over store operations but also means it has to bear the associated operating and capital costs.

The DRHP contains risk factors that investors will need to review before considering the IPO. One important factor is the company's dependence on its Subway master franchise arrangement.

EverBrands is also loss-making, while its planned expansion into more COCO stores will require additional capital and operating expenditure. Changes in consumer demand, store performance, costs and the company's relationship with Subway could also affect its business.

The DRHP is a draft offer document and is not the final prospectus. The company itself states that the offer documents may change before the final offering documents are filed.

EverBrands has filed the DRHP with SEBI and the stock exchanges. The IPO still needs to go through the applicable regulatory and listing process before the issue can open.

The DRHP does not provide a final IPO price band or issue opening date. Investors should therefore not treat the Rs 600 crore proposal as confirmation of the final issue structure.

The EverBrands IPO will raise funds up to Rs 600 crore via a fresh issue of shares. The major portion of the money will be used for setting up new Subway COCO outlets, whereas Rs 125 crore will be used to repay debts.

The company has expanded its Subway network and reported higher revenue in FY26, but it also reported a wider loss. The final IPO details will become clearer as the company moves through the regulatory process.

Ans. The proposed EverBrands IPO comprises a fresh issue of equity shares worth up to Rs 600 crore with no offer-for-sale component.

Ans. EverBrands plans to use Rs 326.85 crore from the IPO proceeds to set up new Subway COCO stores. Another Rs 125 crore is planned for repayment or prepayment of borrowings of its wholly owned subsidiary, Culinary Brands India, while the remaining amount will be used for general corporate purposes.

Ans. As per the DRHP, as of March 31, 2026, EverBrands had 1,008 Subway stores in India. This included 678 COCO stores and 330 FOFO stores.

Ans. No. The proposed EverBrands IPO consists of a fresh issue of equity shares and does not include an offer-for-sale component.

Ans. No. The DRHP does not specify the final IPO price band or the issue opening date. Important dates, price band and lot size will be available once the SEBI approval is received and the company releases the RHP.

Sources: EverBrands IPO: Subway India DRHP, and other public domains.