DSM Fresh Foods Launches Rs 59.65 Crore IPO with Zero Grey Market Premium
DSM Fresh Foods, operating the Zappfresh brand, has opened its IPO to raise Rs 59.65 crore. The company is offering 59.06 lakh fresh shares priced between Rs 96-101 per share. The IPO runs from September 26 to 30 and will list on BSE SME. Prior to the launch, the company raised Rs 16.83 crore from anchor investors. DSM Fresh Foods, specializing in online retail of fresh meat and ready-to-cook products, reported a 45% increase in revenue to Rs 131.50 crore and nearly doubled its profit after tax to Rs 9.05 crore. The IPO proceeds will fund capital expenditure, marketing, working capital, and acquisitions. Currently, there is no grey market premium for the IPO. The expected allotment date is October 1, with listing scheduled for October 6.
*this image is generated using AI for illustrative purposes only.
DSM Fresh Foods, operating under the Zappfresh brand, has opened its Initial Public Offering (IPO) to raise Rs 59.65 crore. The company, which specializes in online retail of fresh meat and ready-to-cook products, is offering 59.06 lakh fresh shares priced between Rs 96-101 per share.
IPO Details
| Parameter | Value |
|---|---|
| Issue Open Date | September 26 |
| Issue Close Date | September 30 |
| Price Band | Rs 96-101 per share |
| Issue Size | Rs 59.65 crore |
| Listing Platform | BSE SME |
Anchor Investment
Prior to the IPO launch, DSM Fresh Foods successfully raised Rs 16.83 crore from anchor investors by allotting 16.67 lakh shares.
Company Overview
DSM Fresh Foods operates under the Zappfresh brand, focusing on the online retail of fresh meat and ready-to-cook products. The company employs a farm-to-fork model, ensuring quality and freshness in its product offerings.
Financial Performance
The company has demonstrated strong financial growth:
- Revenue: Increased by 45% to Rs 131.50 crore
- Profit After Tax: Nearly doubled from Rs 4.67 crore to Rs 9.05 crore
Utilization of IPO Proceeds
The funds raised through the IPO will be allocated as follows:
- Capital Expenditure: Rs 10.70 crore
- Marketing: Rs 15.00 crore
- Working Capital: Rs 25.00 crore
- Acquisitions and General Corporate Purposes: Remaining amount
Market Expectations
Interestingly, the IPO currently shows no grey market premium, indicating muted expectations for listing gains among investors.
Important Dates
| Event | Date |
|---|---|
| Expected Allotment Date | October 1 |
| Scheduled Listing Date | October 6 |
Investors interested in the food tech and online grocery space may want to closely examine DSM Fresh Foods' business model and growth prospects before making an investment decision. As always, it is advisable to read the offer documents and consult with financial advisors before investing in an IPO.
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