Whalesbook
IPO Details Announced
Amir Chand Jagdish Kumar (Exports) Ltd. has set the price band for its ₹440 crore Initial Public Offering (IPO) at ₹201 to ₹212 per share. The subscription period is scheduled from March 24 to March 27, with the anchor book opening on March 23. This public offering consists of a fresh issue of equity shares worth the entire ₹440 crore, with no offer-for-sale component.
The company's fundraising target was adjusted downwards from an earlier plan of ₹550 crore. Prior to this offering, the Haryana-based firm successfully raised ₹13 crore in a pre-IPO round at ₹172 per share, valuing the company at ₹1,877 crore. The issue allocates 50% for Qualified Institutional Buyers (QIBs), 15% for non-institutional investors, and 35% for retail investors. Retail investors can apply for a minimum of one lot comprising 70 shares, requiring an investment of at least ₹14,840.
Financials and Market Position
For the nine months ending December 31, 2024, Amir Chand Jagdish Kumar (Exports) reported revenues of ₹1,421.3 crore and a profit after tax of ₹48.77 crore. The company markets its basmati rice under the flagship 'Aeroplane' brand. It competes with established players like KRBL Ltd., LT Foods, and Sarveshwar Foods, as well as many smaller processors. Beyond its core export business, the company has diversified into fast-moving consumer goods (FMCG), offering various household staples.
IPO Fund Allocation
The net proceeds from the IPO will strengthen the company's working capital and fund general corporate purposes. Emkay Global Financial Services and Keynote Financial Services are managing the IPO as merchant bankers. Share allotment is expected by March 30, with listing planned on the BSE and NSE.