Papadmalji Agro Foods
Listing performance
Scheduled dates
Tentative timetable — a past date is not confirmation the step completed
Subscription
- Qualified institutionalQIB
- 86.85×
- Big non-institutionalbNII · above ₹10 lakh
- 1.90×
- Small non-institutionalsNII · ₹2–10 lakh
- 0.61×
- Retail individualRII · up to ₹2 lakh
- 1.43×
Grey market premium
Unofficial and indicative — not a forecast
Day-wise premium · 10 observations
| Date | GMP | % | Sauda | Est. listing | Gain / lot |
|---|---|---|---|---|---|
| 07 Oct 2026 | ₹0 | — | ₹0 | ₹72 | ₹0 |
| 06 Oct 2026 | ₹0 | — | ₹0 | ₹72 | ₹0 |
| 05 Oct 2026 | ₹0 | — | ₹0 | ₹72 | ₹0 |
| 04 Oct 2026 | ₹0 | — | ₹0 | ₹72 | ₹0 |
| 03 Oct 2026 | ₹0 | — | ₹0 | ₹72 | ₹0 |
| 02 Oct 2026 | ₹0 | — | ₹0 | ₹72 | ₹0 |
| 01 Oct 2026 | ₹0 | — | ₹0 | ₹72 | ₹0 |
| 30 Sep 2026 | ₹0 | — | ₹0 | ₹72 | ₹0 |
| 29 Sep 2026 | ₹0 | — | ₹0 | ₹72 | ₹0 |
| 28 Sep 2026 | ₹0 | — | ₹0 | ₹72 | ₹0 |
Gain per lot assumes the premium holds to listing and that the application is allotted — allotment in an oversubscribed issue is a lottery, so it is indicative, not expected. Sauda is the rate paid for a submitted application itself.
Bids received
The demand behind each multiple — what was offered, what was bid for, and what those bids are worth
| Category | Shares offered | Shares bid for | Bids (₹ Cr) | Times |
|---|---|---|---|---|
| Qualified institutional | 32,000 | 27,79,200 | ₹20.01 Cr | 86.85× |
| Non-institutional | 7,87,200 | 10,36,800 | ₹7.46 Cr | 1.32× |
| Big non-institutionalwithin NII | 5,23,200 | 8,67,200 | ₹6.24 Cr | 1.66× |
| Small non-institutionalwithin NII | 2,64,000 | 1,69,600 | ₹1.22 Cr | 0.64× |
| Retail individual | 18,40,000 | 29,28,000 | ₹21.08 Cr | 1.59× |
| Total | 26,59,200 | 67,44,000 | ₹48.56 Cr | 2.54× |
Times subscribed is the figure published for each category, not shares bid for divided by shares offered — a category's multiple is struck against its own allottable base, which is not always the offered count shown beside it. Observed 01 Oct, 05:11 pm IST; the registrar publishes the final basis of allotment.
Issue details
- IPO date
- 29 Sep 2026 – 01 Oct 2026
- Listing date
- 07 Oct 2026
- Face value
- ₹10 per share
- Price band
- ₹69 – ₹72
- Lot size
- 1,600 shares
- Sale type
- Fresh capital cum OFS
- Issue type
- Book Building issue
- Listing at
- NSE
- Total issue size
- ₹20.18 Cr
- Fresh issue
- ₹17.49 Cr 24,28,800 shares
- Offer for sale
- ₹1.66 Cr 2,30,400 shares
- Market cap at offer price
- ₹67.63 Cr
- Promoter holding
- 60.98% → 44.28% pre-issue → post-issue
- ISIN
- INE1V7901010
- CIN
- U15119RJ2017PLC059795
- Registrar
- MAS Services Ltd.
- Lead managers
- Kreo Capital Pvt.Ltd.
- Registered office
- Opp. Manav Bharti School, Garsisar, Bikaner, Rajasthan, India - 334001
Reservation and application size
How the issue is split between investor categories, and what each may bid
| Investor category | Shares | % of net | % of total |
|---|---|---|---|
| QIB | 32,000 | 1.20% | 1.14% |
| Anchor investor · within QIB | 0 | — | 0.00% |
| NII (HNI) | 7,87,200 | 29.60% | 28.08% |
| bNII > ₹10L · within NII | 5,24,800 | — | 18.72% |
| sNII < ₹10L · within NII | 2,62,400 | — | 9.36% |
| Retail (RII) | 18,40,000 | 69.19% | 65.64% |
| Employee | 0 | — | 0.00% |
| Market maker | 1,44,000 | — | 5.14% |
| Total issue | 28,03,200 | — | 100.00% |
Net offer to the public of 26,59,200 shares, out of a total issue of 28,03,200. Indented rows sit inside the category above them and are not added to it.
Application size
Minimum 1,600 shares per lot, in multiples, at ₹72
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (min) | 1 | 1,600 | ₹1,15,200 |
| S-HNI (min) | 2 | 3,200 | ₹2,30,400 |
| S-HNI (max) | 8 | 12,800 | ₹9,21,600 |
| B-HNI (min) | 9 | 14,400 | ₹10,36,800 |
Category limits
| Category | Bid size | Cut-off |
|---|---|---|
| Retail (RII) | Up to ₹2 lakh | Yes |
| Small HNI (sNII) | ₹2 lakh – ₹10 lakh | No |
| Big HNI (bNII) | Above ₹10 lakh | No |
| Employee | Up to ₹5 lakh | Yes |
Bidding at cut-off means accepting the final issue price without naming one. Only retail and employee applicants may do so.
Anchor investors
Institutional allocation placed a day before the issue opens, carved out of the QIB portion and locked in after listing.
Valuation and performance
Valuation at offer price
₹72 per share
| Metric | Pre-issue | Post-issue |
|---|---|---|
| EPS (₹) | 7.64 | 5.55 |
| P/E (×) | 9.42 | 12.97 |
| Price to book (×) | 3.04 | — |
| Market cap | — | ₹67.63 Cr |
Key performance indicators
Latest reported period, standalone
- Return on net worth
- 32.29%
- ROCE
- 46.47%
- Debt / equity
- 0.62
- PAT margin
- 15.54%
- EBITDA margin
- 25.16%
- NAV per share
- ₹23.67
- Price to book
- 3.04
Single period as reported. Year-on-year movement is in the financials table below, where every period is published.
Company financials
Standalone ·₹ crore unless a row shows % or ×, as reported in the offer document
| Period ended | FY26 | FY25 | FY24 |
|---|---|---|---|
| Profit and loss | |||
| Total income | 33.54 | 31.76 | 26.29 |
| Revenue from operations | 33.53 | 31.75 | 26.27 |
| Other income | 0 | 0.01 | 0.02 |
| Total expenses | 26.29 | 27.04 | 24.16 |
| Operating profit | 7.25 | 4.72 | 2.13 |
| Operating margin | 21.62% | 14.86% | 8.10% |
| Profit before tax | 7.24 | 4.72 | 2.13 |
| Profit after tax | 5.21 | 4.72 | 2.11 |
| PAT margin | 15.53% | 14.86% | 8.03% |
| Balance sheet | |||
| Total assets | 33.5 | 25.05 | 20.07 |
| Current assets | 29.38 | 21.29 | 16.16 |
| Current liabilities | 16.25 | 12.36 | 10.93 |
| Total liabilities | 17.36 | 14.12 | 13.86 |
| Net worth | 16.14 | 10.93 | 6.2 |
| Current ratio | 1.81× | 1.72× | 1.48× |
| Return on equity | 32.28% | 43.18% | 34.03% |
| Cash flow | |||
| Operating cash flow | 0.56 | 2.42 | -2.75 |
| Investing cash flow | -0.76 | -0.21 | -0.15 |
| Financing cash flow | 0.22 | -2.23 | 2.92 |
| Net cash flow | 0.02 | -0.02 | 0.02 |
Objects of the issue
Stated use of the net proceeds— open a row for the issuer's full explanation
1 Funding Capital Expenditure for New Manufacturing Facility at Bachhasar, Bikaner ₹7.90 Cr
The company intends to fund capital expenditure towards construction of building, mechanical and electrical works, procurement of plant and machinery, and installation of a rooftop solar power system for setting up a new manufacturing facility at Bachhasar, Bikaner, covering civil construction, machinery, and solar infrastructure.
2 Repayment or Prepayment of Borrowings ₹5.80 Cr
The company proposes to utilize a portion of the net proceeds towards repayment or prepayment, in full or in part, of secured borrowings availed from banks, aimed at reducing existing debt, maintaining a favorable debt-equity ratio, and freeing internal accruals for business growth.
3 General Corporate Purposes —
The company intends to deploy the balance net proceeds towards general corporate purposes including strategic initiatives, funding growth opportunities, strengthening marketing and brand building, meeting ongoing contingencies, and capital expenditure for expansion or renovation of assets.
4 Offer for Sale by Investor Selling Shareholder —
The Offer for Sale allows the Investor Selling Shareholder, India Customer Insight Fund, to sell equity shares held by it; the company will not receive any proceeds from this portion of the offer.
2 of 4 objects carry no stated amount — typically general corporate purposes, funded from whatever remains — so the total above is the quantified portion only, not the whole issue.
About Papadmalji Agro Foods
Papadmalji Agro Foods Limited, incorporated as a private limited company on December 19, 2017, and converted to a public limited company on January 28, 2025, is engaged in the manufacturing of a wide range of Handmade Papads, Machine-Made Papads, Rice Papads, Vrat Special Papads and Moongodi, as well as in the trading of Cereal Pellets. The Company produces handmade papads through a Batara-Batari model involving contractors and home-based workers, while also manufacturing machine-made papads at its facilities in Bikaner, Rajasthan. In addition to in-house manufacturing, the Company undertakes white label manufacturing of Handmade Papads for clients. The Company distributes products through multiple channels including general trade, modern trade, quick commerce, and direct-to-consumer platforms, as well as to merchant exporters for select Middle Eastern markets.
Management
Jai Agarwal
MD
Prem Lata Agarwal
COO
Priya Mungia
CFO
Khushboo Tak Singhal
Director
Prafful Bhojak
Director
Prasad Ramanuj Heda
Director
Aanya Agarwal
Director
Ramzan Sinwal
VP of Sales
Vidhi Luthra
Director of HR
Strengths
As stated in the offer document
Extensive and Well-Established Sale and Distribution Network
The company operates a broad distribution network comprising 76 distributors and 30 wholesalers, collectively servicing 8,710 retail outlets across 12 states and 1 Union Territory, ensuring consistent product availability across urban, semi-urban, and rural areas.
Multi-Channel Presence
The company has established a diversified multi-channel presence spanning general trade, modern trade (7 channels), quick commerce, a direct-to-consumer platform (www.papadmalji.com), and a merchant exporter serving UAE, Saudi Arabia, Qatar, Oman, Kuwait, and Bahrain.
Wide Range of Products with Diverse Variants
The company offers an extensive portfolio including handmade papads, machine-made papads, rice papads (khichiya), vrat special papads, moongodi, and cereal pellets across multiple pack sizes, catering to diverse consumer segments and available in 21 states and 3 Union Territories.
Purity, Health and Wellness Focus
The company uses RO-filtered water with activated charcoal, zero additives or harmful chemicals, and minimal edible oils in production, with hand-made papads sun-dried using traditional methods, reflecting a purity and hygiene-focused manufacturing philosophy over mass production.
Empowered by Women
The company manufactures hand-made papads through a structured Batara-Batari model involving 9 Bataras overseeing women workers (Bataris) engaged in home-based production, providing livelihood opportunities while preserving traditional papad-making heritage.
Experienced Promoters and Professional Management Team
The company is led by promoters Mr. Jai Agarwal and Mrs. Prem Lata Agarwal, each with over a decade of industry experience, supported by a professional management team including Mr. Ramzan Sinwal with prior experience at Zydus Wellness Limited, enabling strategic growth and operational excellence.
Organised Player in the Papad Industry
The company operates within the organised segment of the papad industry with a formal corporate structure under the Companies Act 2013, ISO 22000:2018 certification, FSSAI licensing, standardised manufacturing processes, branded packaging, and audited financials, distinguishing it from predominantly unorganised industry participants.
Well-Equipped Manufacturing Infrastructure
The company operates two FSSAI-licensed manufacturing units in Bikaner, Rajasthan — Gharsisar Unit (15,480 sq. ft.) and Karni Unit (4,800 sq. ft.) — equipped with semi-automated and automated machinery supporting handmade, machine-made, rice papad, and moongodi production under defined hygiene and quality standards.
Stringent Quality and Food Safety Procedures
The company maintains ISO 22000:2018 certification at its Gharsisar Unit, employs a FoSTaC-certified Food Safety Supervisor, conducts multi-stage quality checks, and engages accredited third-party laboratories for testing, ensuring consistent product safety and regulatory compliance.
Equity Investment and Strong Corporate Governance
Since 2018, the company has been supported by 'India Customer Insight Fund,' a SEBI-registered Alternative Investment Fund backed by seasoned investors including Mr. Haresh Chawla and Mr. Santosh Desai, strengthening its corporate governance framework, internal controls, and organisational discipline.
Risk factors
As stated in the offer document
Dependence on a Limited Number of Customers
The company derives a significant portion of revenue from a concentrated customer base, with the top 10 customers contributing 40.53%, 69.25%, and 69.65% of total revenue from operations for FY2026, FY2025, and FY2024, respectively. Loss of any key customer, payment defaults, or reduction in order volumes could materially and adversely affect the company's revenue, cash flows, and financial condition.
Dependence on a Limited Number of Suppliers and Raw Material Price Volatility
The company sources key raw materials without long-term supply agreements, with the top 10 suppliers accounting for 61.75%, 54.29%, and 67.44% of total purchases for FY2026, FY2025, and FY2024, respectively. Any supply disruption, price fluctuation, or supplier failure could adversely affect production schedules, cost structure, and profitability.
High Dependence on Key Brands and Product Concentration in Papads
A substantial portion of revenue is derived from brands 'Vishal,' 'Zhakaas,' and 'Rozana,' and the product portfolio is heavily concentrated in papad products contributing over 93% of total revenue. Any decline in brand perception, shift in consumer preferences, or increased competition from alternative snacks could materially impact sales volumes and financial performance.
Significant Working Capital Requirements and Negative Historical Cash Flows
The company's net working capital has grown continuously from ₹1,261.59 lakhs (FY2024) to ₹2,131.32 lakhs (FY2026), and the company recorded negative cash flow from operating activities of ₹274.72 lakhs in FY2024. Inability to meet working capital requirements or sustain adequate liquidity could adversely affect operations, growth, and financial stability.
Short-Term Borrowings and Liquidity Risk
As of March 31, 2026, the company has short-term borrowings of ₹902.69 lakhs (tentatively ₹1,073.70 lakhs as of August 31, 2026), all repayable on demand. Any immediate repayment demand from lenders could result in substantial fund outflows, working capital shortages, and adverse impact on operational continuity and financial stability.
Geographic Concentration of Manufacturing Operations and Sales Markets
All manufacturing units are located in Bikaner, Rajasthan, and approximately 71.98% of revenue in FY2026 was derived from only three states—Rajasthan (50.42%), Haryana (12.15%), and Assam (9.41%). Any adverse regional developments, natural disasters, or socio-political disruptions in these areas could significantly disrupt production and revenue generation.
Regulatory and Licensing Compliance Risks
The company requires multiple statutory permits, licenses, and approvals to operate, including FSSAI licenses, factory licenses, and pollution control board consents for its proposed new facility, none of which have been applied for yet. Failure to obtain, renew, or maintain required approvals in a timely manner could result in operational interruptions, penalties, and material adverse effects on the business.
Unregistered Trademarks and Intellectual Property Risks
Key brand logos used by the company, including those under the 'Vishal' brand, are either pending registration or have been opposed by third parties at the Trademarks Registry. The absence of statutory trademark protection exposes the company to risks of unauthorized use by third parties, potential litigation, and adverse impact on brand recognition, goodwill, and business operations.
Dependence on Promoters and Key Managerial Personnel
The company's business operations and strategic direction are substantially dependent on the continued involvement of its Promoters, Mr. Jai Agarwal and Mrs. Prem Lata Agarwal, who have over a decade of industry experience each. Any loss of their services due to resignation, incapacity, or other unforeseen circumstances could disrupt operations, weaken strategic execution, and adversely affect financial performance.
Contingent Liabilities – Income Tax Demand of ₹276.84 Lakhs
The company faces a contingent liability of ₹276.84 lakhs arising from an Income Tax Department demand under Section 147 for Assessment Year 2019–20, related to unexplained income from a preferential share allotment at a premium. The appeal before the Commissioner of Income Tax (Appeals) remains pending, and if the liability materializes, it could adversely affect the company's financial condition and results of operations.
Company Analysis
from RHPPapadmalji Agro Foods Limited manufactures and trades handmade papads, machine-made papads, rice papads, moongodi, and cereal pellets, operating in the food processing industry with a focus on papad production.
Papadmalji Agro Foods Limited, incorporated as a private limited company on December 19, 2017, and converted to a public limited company on January 28, 2025, is engaged in the manufacturing of a wide range of Handmade Papads, Machine-Made Papads, Rice Papads, Vrat Special Papads and Moongodi, as well as in the trading of Cereal Pellets. The Company produces handmade papads through a Batara-Batari model involving contractors and home-based workers, while also manufacturing machine-made papads at its facilities in Bikaner, Rajasthan. In addition to in-house manufacturing, the Company undertakes white label manufacturing of Handmade Papads for clients. The Company distributes products through multiple channels including general trade, modern trade, quick commerce, and direct-to-consumer platforms, as well as to merchant exporters for select Middle Eastern markets.
Objects of the Issue
- Capex for setting up a new manufacturing facility at Bachhasar, Bikaner including machinery and civil works ₹790.00 lakhs (from Net Proceeds) p.43
- Working capital requirements ₹150.00 lakhs (from Net Proceeds)
- Offer-related expenses p.10
- Funding of capital expenditure to construct a new manufacturing facility at Bachhasar ₹782.19 lakhs p.61
- Funding the capital expenditure towards construction of building, mechanical and electrical works and procurement of plant and machinery and installation of 250 kW Rooftop Solar Power System for setting up a new manufacturing facility at Bachhasar, Bikaner ₹790.00 lakhs p.111
- Repayment or prepayment, in full or in part, of borrowings availed by our Company from banks ₹580.26 lakhs p.111
- General Corporate Purpose p.111
- Establishment of new Manufacturing Unit at Bachhasar, Rajasthan and Rationalization of Manufacturing Operations ₹782.19 lakhs p.172
- Funding capex for the solar power installation at the Gharsisar Unit p.233
- Funding capex for the proposed installation of 250 KW rooftop solar power system and setting up a new manufacturing facility at Bachhasar, Bikaner p.363
- General corporate purposes p.371
Issue Structure
- Total Issue
- Up to ₹ [●] lakhs (28,03,200 equity shares of face value ₹10 each)
- Fresh Issue
- Up to 25,72,800 Equity Shares aggregating up to ₹ [●] lakhs
- Offer for Sale
- Up to 2,30,400 Equity Shares aggregating up to ₹ [●] lakhs by India Customer Insight Fund
- Price Band
- ₹ [●] to ₹ [●] per equity share
- Lot Size
- [●] equity shares and multiples thereof
- Face Value
- ₹10 per equity share
Business Model
The Company earns revenue primarily from the manufacturing and sale of papad products (handmade papads, machine-made papads, rice papads, and vrat special papads) and related products (moongodi and cereal pellets) through multiple distribution channels including general trade, modern trade, quick commerce, direct-to-consumer platforms, and merchant exporters. The Company also undertakes white label manufacturing of handmade papads for clients. Revenue from handmade papads contributed 41.33% of total revenue in FY2026, machine-made papads contributed 27.86%, and rice papads contributed 24.09%.
Business Segments
SWOT Analysis
- • Established brand with a decade+ of promoter experience in the papad industry(p.50)
- • Strong financial growth with PAT increasing 10.33% YoY in FY2026(p.61)
- • Significant revenue growth with total income increasing 5.59% to ₹3,353.52 Lakhs in FY2026(p.61)
- • Expanded market presence through strategic diversification into e-commerce and modern trade(p.61)
- • Multi-channel distribution network and established sales presence(p.127)
- • Wide product portfolio with distinct variants across categories(p.127)
- • Focus on purity, health and wellness(p.127)
- • Women-empowered workforce and operations(p.127)
- • Experienced promoter and professional management team(p.127)
- • High capacity utilization in rice papad production(p.130)
- • Strong EBITDA margin growth trajectory(p.130)
- • Promoter owns land for new facility, eliminating land acquisition risk(p.114)
- • Extensive and well-established distribution network with 76 distributors and 30 wholesalers serving 8,710 retail outlets across 12 states and 1 Union Territory(p.167)
- • Multi-channel presence across general trade, modern trade, quick commerce, and direct-to-consumer platforms ensuring widespread product availability(p.168)
- • Wide range of diverse product portfolio with multiple brands (Zhakaas, Vishal, Rozana, Diamond, Papadmalji) addressing different consumer segments(p.169)
- • Focus on purity, health and wellness with RO-filtered water, no additives, and traditional sun-drying methods preserving natural enzymes and nutrients(p.170)
- • ISO 22000:2018 certification for Gharsisar Unit demonstrating commitment to internationally recognized food safety management systems(p.226)
- • Experienced promoters with over a decade of experience in the papad industry providing strategic direction and operational expertise(p.171)
- • Strong financial performance with 41.04% year-on-year growth in Operating EBITDA and improving EBITDA margin from 18.84% to 25.16%(p.161)
- • Women empowerment through Batara-Batari model providing livelihood opportunities for local women while preserving traditional papad-making practices(p.171)
- • Standardized, centralized distributor and vendor selection processes ensuring consistency and quality(p.227)
- • Structured women workforce representation with 33% female employees; commitment to women empowerment(p.229)
- • Comprehensive employee training programs covering both soft skills and technical competencies(p.230)
- • Positive employee relations with no labour disputes or unionization(p.229)
- • Centralized inventory management system enabling efficient production planning and customer fulfillment(p.246)
- • Integrated digital infrastructure with ERP system (TallyPrime) and HR management platform (Spine HRIS)(p.232)
- • Differentiated product positioning through purity, hygiene, and use of Pure RO Water and Activated Charcoal(p.233)
- • Robust marketing strategy spanning modern trade, general trade, direct-to-consumer, and digital channels(p.234)
- • ISO 22000:2018 certification and FSSAI licensing across manufacturing facilities(p.320)
- • Diversified multi-channel distribution network across general trade, modern trade, and quick commerce(p.320)
- • Strong profitability with PAT margin improvement from 8.02% (FY24) to 15.54% (FY26)(p.333)
- • Established brand portfolio with 'Zhakaas', 'Vishal', 'Rozana', 'Diamond', and 'Papadmalji' brands(p.319)
- • Combination of traditional handmade and mechanized production capabilities(p.319)
- • Strong debt service coverage ratio of 3.99x in FY26 with improving leverage(p.343)
- • Established regulatory compliance and approvals infrastructure(p.356)
- • ISO 22000:2018 food safety management system certification(p.361)
- • Protected brand identity through registered trademarks(p.361)
- • Positive operating profit and net worth over 3-year period(p.368)
- • Positive free cash flow to equity in 2 of last 3 years(p.369)
- • 100% underwriting commitment for the offer(p.395)
- • High customer concentration with top 10 customers accounting for 40.53% of revenue(p.24)
- • High supplier concentration with top 10 suppliers accounting for 61.75% of purchases(p.25)
- • Significant working capital requirements with continuous increase in net working capital(p.28)
- • Historical delays in filing statutory forms with ROC(p.30)
- • Procedural delays and non-compliance in GST, EPF, ESI and TDS/TCS filings(p.40)
- • Revenue highly concentrated in papad products (93.73% of revenue in FY 2026)(p.32)
- • Geographic concentration with 71.98% of revenue from three states (Rajasthan, Haryana, Assam)(p.33)
- • Short-term borrowings of ₹902.69 lakhs as of March 31, 2026 repayable on demand(p.43)
- • Negative cash flows from operating activities in FY 2024 of ₹(274.72) lakhs(p.43)
- • Trademark applications opposed by third parties and pending registration(p.45)
- • Promoters have provided personal guarantees and collateral for company's loans(p.36)
- • High attrition rates in operational support staff at 146.82% in FY2026(p.60)
- • Significant pending income tax contingent liability of ₹276.84 lakhs(p.50)
- • Gharsisar unit lacks formal Consent to Operate from State Pollution Control Board despite White Category exemption(p.59)
- • Dependent on leased premises from promoter for new Bachhasar manufacturing unit(p.61)
- • Pending statutory compliance requirements for rent agreements on factory premises(p.59)
- • High debt-to-equity ratio, though improving(p.130)
- • Concentration risk with top 10 customers representing 45.94% of revenue(p.133)
- • Dependence on a few key suppliers; top 10 suppliers represent 61.02% of purchases(p.133)
- • Limited number of manufacturing facilities (only 2 operational)(p.130)
- • Low moongodi capacity utilization at only 18.29%(p.130)
- • Significant outstanding borrowings of ₹1,378.64 Lakhs as of August 31, 2026(p.121)
- • High promoter concentration with Jai Agarwal holding 52.79% of pre-Offer capital(p.106)
- • Manual labour dependency in hand-made papad production limiting scalability(p.214)
- • Working capital intensive business requiring significant investment in inventory and receivables(p.214)
- • Perishability and shelf-life issues affecting product distribution and storage(p.214)
- • Adverse weather patterns disrupting sun-drying process for handmade papads and moongodi production(p.214)
- • Production and sales concentrated in festival and wedding seasons leading to revenue fluctuations(p.214)
- • Limited market share compared to unorganized competitors(p.214)
- • Dependence on third-party transporters for product delivery with no formal long-term agreements(p.214)
- • Significant seasonal workforce turnover of 146.82% among labourers, housekeeping, and security staff in FY2026(p.231)
- • High variation in employee registrations with EPFO showing net deletions of 4 employees in FY2026 despite overall workforce growth(p.230)
- • Absence of dedicated R&D team; innovation driven through informal collaboration between sales and production teams(p.247)
- • Dependence on third-party manpower through contractors; 22 contract labourers deployed at manufacturing units as of March 31, 2026(p.229)
- • Reliance on external IT support with no in-house IT team for maintaining digital infrastructure(p.232)
- • High dependence on top 10 customers representing 45.94% of revenue in FY26(p.346)
- • Significant inventory buildup with 37.67% increase from FY25 to FY26(p.326)
- • Pending income tax demand of ₹276.84 lakhs under section 147(p.326)
- • High dependence on top 10 suppliers representing 61.02% of purchases in FY26(p.347)
- • Moderate cash balance of ₹2.35 lakhs as at March 31, 2026(p.343)
- • Dependence on group companies in the same industry creating conflict of interest(p.386)
- • Group company Bhujialalji Private Limited shows negative net worth(p.385)
- • Group company Kachoree Club Private Limited with persistent losses and negative net worth(p.386)
- • Limited track record with only 3 years of operational history(p.368)
- • Recent conversion from private to public limited company status(p.367)
- • Establishment of new manufacturing unit at Bachhasar for rice papad production(p.56)
- • Expansion through empanelment with Kendriya Police Kalyan Bhandar (KPKB)(p.56)
- • Product portfolio expansion and new product categories(p.56)
- • Digital marketing and brand awareness initiatives including influencer partnerships(p.56)
- • Eligibility for government capital subsidy under Rajasthan Investment Promotion Scheme 2024(p.59)
- • Expansion into new product lines including 5' and 7' rice papads and machine-made mini papads(p.113)
- • Government capital subsidy of 50% on capital investment up to ₹1.50 crore available for the new facility(p.114)
- • Growing Indian snacks market projected to reach INR 1,04,649.54 Crores by 2034 with CAGR of 8.91%(p.151)
- • Production Linked Incentive Scheme for Food Processing Industries with substantial support available(p.147)
- • Strong organized segment growth driven by changing consumer preferences and urbanization(p.152)
- • Integration of 250 kW rooftop solar system to reduce energy costs and support sustainability positioning(p.113)
- • Export market growth opportunity as processed food forms only 16% of India's agri-exports versus 25% for US and 49% for China(p.155)
- • Opportunity to tap institutional and modern retail channels through organized brand positioning(p.121)
- • Expansion through empanelment with Kendriya Police Kalyan Bhandar (KPKB) for bulk institutional sales(p.172)
- • Growth through new manufacturing unit at Bachhasar to enhance production capacity and introduce larger 5" and 7" Rice Papads(p.172)
- • Expansion of product portfolio with new flavours and health-oriented variants including reduced-oil options(p.172)
- • Growth in modern trade channels, quick commerce platforms and online grocery platforms(p.214)
- • Leveraging influencer partnerships and digital marketing to enhance brand awareness and reach younger consumers(p.173)
- • Direct-to-consumer website expansion to drive retail sales and build consumer relationships(p.174)
- • International expansion in Middle Eastern markets through merchant exporters(p.214)
- • Potential engagement with HoReCa sector (hotels, restaurants, cafes, catering) for institutional distribution(p.214)
- • Expansion into modern trade channels; recently onboarded with leading modern trade players(p.258)
- • Quick-commerce platform integration for rapid delivery and younger consumer reach(p.258)
- • Direct-to-consumer e-commerce platform launched; opportunity for margin expansion and direct consumer engagement(p.258)
- • Solar power installation planned at Gharsisar Unit to reduce reliance on conventional energy and improve operational sustainability(p.233)
- • Digital marketing initiatives including food influencer collaborations to strengthen brand presence(p.240)
- • Merchant exporter channel enabling product availability in select Middle Eastern markets(p.246)
- • Specialty product portfolio expansion with flavored variants, vrat-special papads, and differentiated offerings for regional preferences(p.247)
- • Expansion into higher-margin product categories and new geographic markets(p.343)
- • Geographic expansion with presence in 20 states and 2 Union Territories as of June 2025(p.321)
- • Growing modern trade and quick commerce channels showing strong growth(p.332)
- • White label manufacturing capability for institutional and brand partners(p.319)
- • Potential for improved capacity utilization with current installed capacity underutilized(p.343)
- • Expansion into new manufacturing facility with 250 KW solar power system(p.363)
- • Access to SME Platform listing with potential migration to NSE Main Board(p.395)
- • Product diversification across multiple brand lines(p.386)
- • Mandatory market-making support for 3 years post-listing(p.396)
- • Export capabilities with IEC registration and APEDA membership(p.359)
- • Declining demand or shift in consumer preferences away from papads(p.32)
- • Risk of supply disruptions or increase in raw material costs without long-term supply agreements(p.25)
- • Location-specific risks concentrated in Bikaner including natural disasters and climatic conditions(p.33)
- • Intense competition in papad industry affecting pricing and profitability(p.36)
- • Regulatory and food safety compliance requirements with risk of penalties and operations suspension(p.35)
- • Risks from adverse climatic conditions and seasonal agricultural variations in Bikaner(p.39)
- • Operational risks from decentralized Batara-Batari handmade papad production model(p.35)
- • High competition from alternative packaged snacks and convenience foods(p.58)
- • Geographic concentration of raw material procurement exposes to regional disruptions(p.56)
- • Products have limited shelf life of 90-365 days creating spoilage and inventory risks(p.57)
- • Seasonal demand patterns causing revenue fluctuations and capacity challenges(p.57)
- • Reliance on contract manufacturing and trading exposes to supplier and quality risks(p.57)
- • Manufacturing operations dependent on continuous power and fuel availability(p.55)
- • Economic slowdown and inflation in India could reduce consumer demand and increase costs(p.63)
- • Regulatory changes in food safety and labor laws could increase compliance costs(p.63)
- • Intense competition in organized snacks market with established domestic and global players(p.152)
- • Unorganized sector maintains significant market share with price and cost advantages(p.153)
- • Health and regulatory pressure on high-fat and high-salt snacks consumption(p.152)
- • Price sensitivity and price wars impacting profitability in competitive market(p.152)
- • Regulatory and quality compliance hurdles for exports across different ministries(p.157)
- • Infrastructure bottlenecks and cold chain limitations with 30% of agricultural produce lost(p.157)
- • Dependence on geographic market concentration in Bikaner, Rajasthan region(p.130)
- • Monsoon and agricultural output volatility affecting raw material availability(p.146)
- • Dominance of unorganised sector in mass production of papads competing on price(p.214)
- • Raw material price fluctuations affecting production costs(p.214)
- • Supply chain and logistics disruptions impacting timely product delivery(p.214)
- • Regulatory challenges affecting food safety standards and packaging requirements(p.214)
- • Changing consumer tastes and preferences shifting away from traditional snacks(p.214)
- • Weather dependency for traditional sun-drying making industry highly reliant on monsoon conditions(p.214)
- • Competition from alternative packaged snacks and convenience foods(p.214)
- • Inflation and changing economic conditions affecting consumer purchasing power(p.214)
- • Highly fragmented and competitive papad industry with numerous unorganized local manufacturers(p.232)
- • Competition from established organized players with strong national and regional brand recognition(p.232)
- • Unorganized competitors operating at lower costs due to reduced compliance requirements and smaller operational scales(p.232)
- • Seasonal attrition and demographic mobility of labour workforce from rural areas limiting production consistency(p.232)
- • Exposure to regulatory and compliance requirements across multiple food safety and labour law statutes(p.249)
- • Heavy dependence on agricultural produce and seasonal monsoon patterns for raw materials(p.346)
- • Exposure to food industry competition and competitive pressures(p.347)
- • Vulnerability to changes in input costs, labor costs, and raw material prices(p.325)
- • Exposure to foreign exchange risk through export sales to Middle Eastern countries(p.320)
- • Potential adverse impact from geopolitical events including Russia-Ukraine War and Middle East conflicts(p.325)
- • Exposure to regulatory changes and compliance requirements in food industry(p.325)
- • Dependency on government and regulatory approvals for business operations(p.356)
- • Regulatory changes in food safety and standards compliance requirements(p.359)
- • Environmental compliance requirements for new facility(p.360)
- • Competition in the food processing and snacks industry with established players(p.386)
- • Foreign investment restrictions and regulatory compliance for NRI/FPI investors(p.397)
- • Exposure to factory licensing and labor law compliance requirements(p.359)
Promoters
| Name | Role | Pre-Issue | Post-Issue |
|---|---|---|---|
| Mr. Jai Agarwal | Promoter | — | — |
| Mrs. Premlata Agarwal | Promoter | — | — |
| Ms. Aanya Agarwal | Promoter | — | — |
| Jai Agarwal | Promoter | 52.79% | 38.33% |
| Prem Lata Agarwal | Promoter | 8.18% | 5.94% |
| India Customer Insight Fund | Promoter Group | — | — |
| Jai Agarwal | Promoter | 52.79% | 38.33% |
| Prem Lata Agarwal | Promoter | 8.18% | 5.94% |
| Aanya Agarwal | Promoter | 0.01% | 0.01% |
| Jai Agarwal | Promoter | — | — |
| Prem Lata Agarwal | Promoter/Whole-time Director | — | — |
| Jai Agarwal | Promoter/Chairman and Managing Director | 52.79% | — |
| Prem Lata Agarwal | Promoter/Whole-Time Director | 8.18% | — |
| Aanya Agarwal | Promoter/Non-Executive Director | 0.01% | — |
| Jai Agarwal | Promoter/Managing Director | 52.79% | — |
| Prem Lata Agarwal | Promoter/Whole Time Director | 8.18% | — |
| India Insight Fund | Promoter Group | 34.01% | — |
| Jai Agarwal | Promoter/Chairman and Managing Director | — | — |
| Ms. Aanya Agarwal | Promoter | — | — |
Leadership
Auto-extracted from the company's RHP using AI, with each fact linked to its source passage (hover any row to see the quote & page). Provided for research only, not investment advice — verify against the official RHP before relying on it.