Bikaji Foods International Ltd IPO will open for public subscription on 3 November and will close on Monday (7 November). The anchor book for the IPO will open on November 2, Wednesday. For the Rs 881 crore IPO, the ethnic snacks company has fixed the price band at Rs 285-300 per equity share. The issue with a face value of Re 1 per equity share is an entirely an offer for sale (OFS) up to 2.93 crore shares by existing shareholders and promoter group entities. Investors can bid for a minimum of 50 equity shares and in multiples of 50 thereafter.
JM Financial Ltd, Axis Capital Ltd, IIFL Securities Ltd, Intensive Fiscal Services Pvt Ltd, and Kotak Mahindra Capital Company Ltd are the book running lead managers to the issue. Shiv Ratan Agarwal and Deepak Agarwal are the promoters of the company and will sell 25 lakh shares each. Meanwhile, India 2020 Maharaja (PE Firm Lighthouse) will offload 1.21 crore shares, IIFL Special Opportunities Fund will sell 1.1 crore shares and Avendus Future Leaders Fund will offload 12 lakh shares. The OFS comprises also comprises up to 50,000 equity shares by Intensive Softshare Pvt Ltd.
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The company will not receive any proceeds from the issue. Bikaji is aiming to mop-up an estimated Rs 1,000 crore, through its share sale, PTI reported citing sources. Bikaji Foods shares are commanding a grey market premium (GMP) of Rs 76. The shares of the company are expected to list on leading stock exchanges BSE and NSE on 16 November. The finalisation of the basis of share allotment is expected to take place on 11 November.
Bikaji’s revenue from operations grew 22.90% to Rs 1610.96 crore for FY22 against Rs 1310.75 crore for FY21, primarily due to increase in sale of food products, and increase in volume and realisation of products, in particular, bhujia, namkeen, papad, western snacks and packaged sweets, while its net profits stood at Rs 76.03 crore in FY22. For the three months ending 30 June 2022, revenue from operations stood at Rs 419.16 crore and net profit was Rs 15.70 crore.
Shiv Ratan Agarwal launched the Bikaji brand in 1993 and has established market leadership and reach in the ethnic snacks market in Rajasthan, Assam, and Bihar. The company has gradually expanded its footprint across India, with operations in 23 states and four union territories as of 30 June 2022, and is also exporting its products to 21 international countries, including North America, Europe, the Middle East, Africa, and Asia Pacific, accounting for 3.20% of its food product sales.
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