Hindustan Coca-Cola Holdings Limited (HCCH), the parent company of Coca-Cola’s Indian bottling arm Hindustan Coca-Cola Beverages (HCCB), has filed its draft red herring prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) for its proposed initial public offering (IPO), marking a key step towards the listing of its Indian bottling operations.

The proposed IPO will comprise an entirely offer for sale (OFS) of up to 997,461,456 equity shares, each with a face value of Rs 10, by Hindustan Coca-Cola Overseas Holdings Pte Ltd. The shares are proposed to be listed on the BSE and the National Stock Exchange (NSE) in 2027. According to industry sources, the IPO is pegged at around $1 billion, with Coca-Cola seeking a valuation of approximately $10 billion for the business.

The development follows an earlier confirmation by The Coca-Cola Company that it was exploring a public listing of its Indian bottling operations. Speaking to analysts after announcing the company’s September-quarter results last month, John Murphy, president and chief financial officer of The Coca-Cola Company, said: “As previously announced, we are exploring a potential IPO of our bottling operations in India and will provide further updates as appropriate.”

India is currently the fifth-largest market for the Atlanta-based beverage major. It is expected to become its third-largest market globally in the next few years

HCCB has reported strong operating performance in the latest available quarter. For the three months ended June 30, 2026, its revenue from operations increased 20.46% year-on-year to Rs 4,310.17 crore. Total sales volume grew 18.61% during the period, while Ebitda margin, excluding other income and exceptional items, improved to 17.20% from 13.76% in the corresponding period last year.

HCCH operates primarily through HCCB, which has a significant presence across southern and western India. Its ownership structure has also undergone a change following Jubilant Beverages’ acquisition of a 40% stake in the business in 2025. HCCH, which currently holds the remaining 60%, is expected to reduce its stake to 45% following the proposed IPO.

Highlighting the market opportunity in its operating regions, the DRHP said the key states have a combined population of approximately 616.9 million, include five of India’s eight largest metropolitan cities and have GDP per capita around 1.5 times the national average.

The non-alcoholic ready-to-drink (NARTD) beverage market across these states was valued at Rs 637.3 billion in FY26 and is projected to reach Rs 1,183.2 billion by FY31, translating into a compound annual growth rate (CAGR) of 13.17%, according to the filing.

The company has also undertaken a strategic reorientation focused on expanding distribution, broadening its product portfolio and optimising its package-price architecture to address gaps across categories.

Kotak Mahindra Capital Company, Citigroup Global Markets India, J.P. Morgan India, Morgan Stanley India, Axis Capital, Goldman Sachs (India) Securities and IIFL Capital Services have been appointed as the book-running lead managers to the IPO.