Vandan Foods SME: Check IPO Date, Live Subscription and Key Details
Vandan Foods Ltd, incorporated in December 2015, is primarily engaged in the manufacturing and trading of agro commodities. From fiscal year 2024, the company has actively ventured into the manufacturing of castor oil and its derivatives, operating on a Business-to-Business (B2B) model. Their main products include Refined F.S.G. (First Stage Grade) Castor Oil and Castor De-Oiled Cake (DOC). Refined F.S.G. Castor Oil is used in various industrial applications such as synthetic resins, plastics, fibers, paints, varnishes, cosmetics, lubricants, and textiles.
Min Investment
₹138000
Price Range
₹115.00
Issue Size
₹28.84 Cr
IPO Type
BSE SME
Key Metrics
Check Live GMP
Face Value
₹10
EPS
7.21
P/E Ratio
15.94
RoNW
27.92%
ROE
45.41%
Debt to Equity
0.94
Timeline
IPO Opens
30 Jun
IPO Closes
2 Jul
Allotment
3 Jul
Listing
7 Jul
IPO Objectives
- To Meet Working Capital Requirements.
- Prepayment or repayment of all or a portion of certain outstanding borrowings availed by the Company.
- Funding the capital expenditure requirement for expansion of the Dhinoj Facility (CAPEX).
- General Corporate Purpose.
Strengths
- Experienced Promoters and Management Team: The promoters and management team possess extensive industry experience in agro-commodities and castor oil manufacturing, driving operational and financial growth.
- Quality Control and Quality Assurance: As an ISO 9001:2015 certified company, it implements stringent quality management practices, including outsourced testing by accredited laboratories, ensuring high product standards for castor oil and de-oiled cake.
- Diversified Business Model and Product Portfolio: Recently diversified into manufacturing castor oil and its derivatives (Refined F.S.G. Castor Oil, Castor De-Oiled Cake, and High Protein Castor Meal), reducing dependency on agro-commodity trading alone and ensuring revenue stability.
- Scalable Business Model: Operates on a customer-centric and order-driven B2B model, which allows for efficient resource utilization and economies of scale, supporting growth in both domestic and international markets.
- Optimal Utilization of Resources: Focuses on process innovation and technology enhancements to curtail costs and improve functional efficiency, aiming for a competitive edge.
Weaknesses
- High Revenue Concentration: Despite recent diversification, a substantial portion of the company's revenue is derived from a limited number of customers (top 10 customers contributed 61.44% in 9M FY25), and a large portion of revenue is from the state of Gujarat (92.62% in 9M FY25), making the business vulnerable to changes in demand patterns or adverse economic developments in that region.
- Volatility in Raw Material Prices: The primary raw material, castor seeds, is subject to price fluctuations due to seasonal availability and market dynamics. Without long-term supply agreements, the company is exposed to price volatility and potential margin pressures.
- Operational Risks Linked to a Single Manufacturing Facility: The entire manufacturing operation is at one facility, making it susceptible to disruptions from natural disasters, labor issues, or equipment breakdowns.
- Sudden Quantum Jump in Financials: The significant jump in top and bottom lines from FY24 onwards (pre-IPO period) raises concerns about the sustainability of such aggressive growth rates and may indicate one-off factors.
- Working Capital Intensive: The business requires substantial working capital for daily operations, and while IPO proceeds will address this, it remains an inherent characteristic of the industry.
Financial Performance
| Period Ended | 31 Dec 2024 | 31 Mar 2024 | 31 Mar 2023 | 31 Mar 2022 |
|---|---|---|---|---|
| Assets (₹ Cr.) | 31.69 | 12.12 | 4.74 | 4.2 |
| Revenue (₹ Cr.) | 72.66 | 48.73 | 11.59 | 1.61 |
| PAT (₹ Cr.) | 4.54 | 2.64 | 0.64 | -0.11 |
| Net Worth (₹ Cr.) | 14.01 | 9.47 | 2.18 | -0.05 |
Peer Comparison
| Company | P/B Ratio | P/E Ratio | RONW (%) | Net Worth (₹ Cr.) |
|---|---|---|---|---|
| Vandan Foods Limited | 6.92 | 15.94 | 45.41 | 14.01 |
| N.k.industries Ltd. | 0 | -11.52 | 1.02 | -344 |
| Jayant Agro-organics Ltd. | 1.33 | 14 | 9.52 | 577 |
Subscription Details
Daily Bids Status
| Date | Day 1 | Day 2 | Day 3 |
|---|---|---|---|
| NII | 0.00x | 0.10x | 0.41x |
| RII | 0.55x | 1.52x | 3.07x |
| Total | 0.27x | 0.81x | 1.74x |
Overall Subscription Statistics
| Category | Shares Offered | Shares Bid | Bid Amount (₹ Cr) |
|---|---|---|---|
| NII | 12,54,000 | 5,11,200 | 5.88 |
| RII | 12,54,000 | 38,54,400 | 44.33 |
| Total | 25,08,001 | 43,65,600 | 50.20 |
Company Details
- 503/B, Wall Street-1, Opp Orient Club, Nr. Rly. Crossing, Ellisbridge, Ahmedabad, Gujarat-380006, India
- +91-8980121363
- cs@vandanfoods.in
- http://www.vandanfoods.in/
Registrar Details
- Bigshare Services Pvt Ltd
- +91-22-6263 8200
- ipo@bigshareonline.com
- https://ipo.bigshareonline.com/IPO_Status.html