New Delhi: Danish brewer Carlsberg has confidentially filed draft papers for an initial public offering (IPO) of its Indian business, joining a growing number of multinational companies seeking to tap India’s equity markets, according to Reuters.

The confidential filing route allows companies to submit IPO documents to the Securities and Exchange Board of India (SEBI) without immediately making the details public. The documents are disclosed closer to the launch of the public issue.

The proposed listing will involve the sale of a part of Carlsberg Group’s stake in Carlsberg India and will not include a fresh issue of shares. Carlsberg India is a wholly owned subsidiary of the Danish brewer.

The filing follows similar moves by multinational companies such as Hyundai Motor and LG Electronics, which have also explored stake sales through Indian listings as they look to benefit from the country’s relatively stronger market valuations.

Analysts said listing the Indian unit could help unlock value by providing a standalone valuation for the business. A public listing could also provide access to local capital markets for future expansion while supporting the company’s balance sheet.

Carlsberg’s shares were trading about 2.5% higher during European trading hours following the announcement.

The planned listing comes at a time when India’s IPO market is showing signs of recovery after a period of slower activity triggered by geopolitical tensions, including the recent US-Israel conflict with Iran, which weighed on investor sentiment.

Market activity is expected to pick up in the second half of the year, with several large public offerings lined up, including those of Jio Platforms and the National Stock Exchange (NSE).

Carlsberg said the progress and timing of the proposed IPO would depend on regulatory approvals and prevailing market conditions.

According to an earlier Bloomberg News report, the offering could be valued at as much as $700 million and may take place later this year.