The company that runs Subway in India has filed for an IPO. EverBrands India filed its DRHP with SEBI on 29 September for a fresh issue of up to Rs 600 crore. The DRHP is the draft prospectus a company files before an IPO, and SEBI has to clear it first. There is no offer for sale in the EverBrands IPO, so every rupee raised goes to the company and none to existing shareholders.
That detail matters more than the headline number. Plenty of filings this year have been mostly a sale by early investors. This one is not.
How big is the business?
EverBrands had 1,008 Subway stores across India as on 31 March 2026. Of those, 678 are company owned and company operated, which the trade calls COCO, and 330 are run by franchisees. It runs another eight franchisee stores in Sri Lanka.
Subway is only one of its brands. The company also handles Lavazza coffee and its own Fresh and Honest brand, and distributes Dilmah tea in India. It reports in two parts, quick service restaurants and beverages, with an installed base of 9,455 coffee machines.
| Figure | FY2026 | FY2025 |
|---|---|---|
| Revenue | Rs 966.17 crore | Rs 716.06 crore |
| QSR revenue | Rs 693.09 crore | Rs 480.38 crore |
| Beverages revenue | Rs 240.57 crore | Rs 206.36 crore |
| EBITDA | Rs 98.13 crore | Rs 64.21 crore |
| Net loss | Rs 58.19 crore | Rs 28.26 crore |
Revenue grew 34.9 per cent in FY2026. The loss grew faster, from Rs 28.26 crore to Rs 58.19 crore, even though EBITDA improved. That gap is what a chain looks like when it is opening company owned stores quickly. Each new COCO store brings rent, staff and depreciation on day one and takes time to earn them back.
Where does the money go?
The DRHP splits the fresh issue like this.
- Rs 326.85 crore for capital spending on new Subway stores in the COCO format.
- Rs 125 crore to repay borrowings.
- The balance for general corporate purposes.
The company may also raise up to Rs 120 crore in a pre-IPO placement, which would reduce the size of the public issue by the same amount.
So more than half the money is going into opening stores it will own itself, rather than adding franchisees. That is a deliberate choice about who keeps the margin, and it is also what has been driving the loss.
Who owns it now?
EverBrands Ventures Pte Ltd holds 57.78 per cent on a fully diluted basis. Norwest Capital LLC holds 16.48 per cent. Shivanand Shankar Mankekar HUF holds 5.83 per cent and Playbook India Fund II holds 4.15 per cent. Motilal Oswal, ICICI Securities and Nuvama are the book running lead managers, with MUFG Intime as registrar.
What happens next
Nothing quickly. SEBI takes weeks to months to give its observations on a DRHP, and companies then have a year to launch. Price band, lot size and dates come only at the red herring prospectus stage, much later. Filing a DRHP is a plan, not a date.
We list every issue that has cleared or is waiting at this stage on our upcoming mainboard IPO page, and it updates as SEBI acts. For a sense of how long the gap runs, Arohan Financial Services filed for the same Rs 600 crore fresh issue size back in May 2026. The draft documents themselves are published on SEBI's public issues filings page once processed.
