Shanthala FMCG Products
Listing performance
Scheduled dates
Tentative timetable — a past date is not confirmation the step completed
Issue details
- IPO date
- 27 Oct 2023 – 31 Oct 2023
- Listing date
- 03 Nov 2023
- Face value
- ₹10 per share
- Issue price
- ₹91 per share
- Lot size
- 1,200 shares
- Issue type
- Fixed Price issue
- Total issue size
- ₹16.07 Cr
- Market cap at offer price
- ₹60.95 Cr
- Promoter holding
- 77.44% → 57.02% pre-issue → post-issue
- ISIN
- INE0Q9Q01017
- Registrar
- Bigshare Services Pvt.Ltd.
- Lead managers
- First Overseas Capital Ltd.
- Registered office
- 7th Block, Gandhinagr Bye Pass Road, Virajpet, Karnataka
Reservation and application size
How the issue is split between investor categories, and what each may bid
| Investor category | Shares | % of net | % of total |
|---|---|---|---|
| Market maker | 88,800 | — | — |
Application size
Minimum 1,200 shares per lot, in multiples, at ₹91
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (min) | 1 | 1,200 | ₹1,09,200 |
| S-HNI (min) | 2 | 2,400 | ₹2,18,400 |
| S-HNI (max) | 9 | 10,800 | ₹9,82,800 |
| B-HNI (min) | 10 | 12,000 | ₹10,92,000 |
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.
Valuation and performance
Valuation at offer price
| Metric | Pre-issue | Post-issue |
|---|---|---|
| EPS (₹) | 3.55 | — |
| P/E (×) | 25.63 | — |
| Market cap | — | ₹60.95 Cr |
Key performance indicators
- Return on net worth
- 12.38%
- ROCE
- 19.00%
- Debt / equity
- 3.12
- PAT margin
- 0.43%
- NAV per share
- ₹28.64
Single period as reported. Year-on-year movement is in the financials table below, where every period is published.
About Shanthala FMCG Products
Shanthala FMCG Products Limited, incorporated in February 2014 as Shanthala Traders Private Limited (renamed Shanthala FMCG Products Private Limited in April 2023 and converted into a public limited company in July 2023), is an FMCG distributor headquartered in Virajpet, Coorg district, Karnataka. The business traces its roots to the proprietary firm M/s. Shanthala Traders started by promoter B. Manjunath Mallya in 1996, whose entire undertaking was transferred to the Company upon incorporation. The Company provides last-mile connectivity for large consumer product companies: it has been associated with ITC for over 15 years (distributing cigarettes, packaged foods, personal and home care products, and matches & agarbatti), onboarded Hindustan Unilever Limited in August–September 2023 through a five-year Redistribution Stockist Agreement dated September 8, 2023 (beauty & wellbeing, nutrition, personal care and home care products), and distributes edible oil, sugar and atta under the Sunpure brand for M. K. Agrotech Pvt. Ltd. Operating through leased godowns and its own vehicles, it serves scattered retail stores and wholesalers across Coorg with 26 full-time employees plus six daily-wage workers. Revenue comes mainly from resale of these FMCG products (total revenue ₹4,077.25 lakhs in FY2023 and ₹1,585.58 lakhs for the five months ended August 31, 2023), supplemented by rental income from a 20-room residential property it owns at Virajpet, fixed-deposit interest, marketing support service income and Sunpure incentives; tobacco products alone contributed 67.12% of revenue from operations in the period ended August 31, 2023.
Company Analysis
from RHPShanthala FMCG Products Limited is a Coorg (Karnataka)-based distributor of fast-moving consumer goods — branded packaged foods, personal care, home care, beauty & wellbeing, nutrition, matches & agarbatti, edible oil and tobacco products — for large FMCG companies such as ITC, Hindustan Unilever and M. K. Agrotech (Sunpure).
Shanthala FMCG Products Limited, incorporated in February 2014 as Shanthala Traders Private Limited (renamed Shanthala FMCG Products Private Limited in April 2023 and converted into a public limited company in July 2023), is an FMCG distributor headquartered in Virajpet, Coorg district, Karnataka. The business traces its roots to the proprietary firm M/s. Shanthala Traders started by promoter B. Manjunath Mallya in 1996, whose entire undertaking was transferred to the Company upon incorporation. The Company provides last-mile connectivity for large consumer product companies: it has been associated with ITC for over 15 years (distributing cigarettes, packaged foods, personal and home care products, and matches & agarbatti), onboarded Hindustan Unilever Limited in August–September 2023 through a five-year Redistribution Stockist Agreement dated September 8, 2023 (beauty & wellbeing, nutrition, personal care and home care products), and distributes edible oil, sugar and atta under the Sunpure brand for M. K. Agrotech Pvt. Ltd. Operating through leased godowns and its own vehicles, it serves scattered retail stores and wholesalers across Coorg with 26 full-time employees plus six daily-wage workers. Revenue comes mainly from resale of these FMCG products (total revenue ₹4,077.25 lakhs in FY2023 and ₹1,585.58 lakhs for the five months ended August 31, 2023), supplemented by rental income from a 20-room residential property it owns at Virajpet, fixed-deposit interest, marketing support service income and Sunpure incentives; tobacco products alone contributed 67.12% of revenue from operations in the period ended August 31, 2023.
Objects of the Issue
- Funding additional working capital requirements ₹ 1,150.00 lakhs p.58
- General Corporate Purposes ₹ 400.00 lakhs p.60
Issue Structure
- Total Issue
- 17,66,400 Equity Shares at the Offer Price of ₹ 91 each aggregating ₹ 1,607.42 Lakhs
- Fresh Issue
- 17,66,400 Equity Shares at the Offer Price of ₹ 91 each aggregating ₹ 1,607.42 Lakhs
- Offer for Sale
- N.A.
- Price Band
- Fixed Price Offer at ₹ 91 per Equity Share
- Face Value
- ₹ 10 each
Business Model
The Company earns revenue by purchasing branded FMCG products directly from its principals — ITC, Hindustan Unilever Limited and M. K. Agrotech (Sunpure) — largely against purchase orders and almost on cash basis, storing them in leased godowns, and reselling them to local retailers and wholesalers in Coorg district, earning a trading/distribution margin on sales; ancillary income arises from renting out its owned 20-room residential property, FD interest, marketing activity and support service fees, and Sunpure incentives.
Business Segments
Promoters
| Name | Role | Pre-Issue | Post-Issue |
|---|---|---|---|
| B. Manjunath Mallya | Promoter | 35.732% | 26.309% |
| Shobitha Malya | Promoter | 1.622% | 1.194% |
| Sneha Vinayak Kudva | Promoter | 24.158% | 17.787% |
| Yogish Mallya | Promoter | 15.881% | 11.693% |
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.