Incorporated in January 2019, Srivari Spices and Foods Limited as ‘Srivari Spices and Foods Private Limited’. The company manufactures spices and flour (chakki atta), markets and sells their products in and around Andhra Pradesh and Telangana.
Srivari Spices and Foods works in both Direct to Customer (D2C) and Business to Business (B2B) business models. They deliver their products directly to the suppliers and also through about 15,000 retail stores. Recently, the company showcased their products in the All India Industrial Exhibition, conducted by the Indian Government.
Srivari Spices and Foods Limited IPO Details
Srivari Spices and Foods Limited IPO Objectives
The objectives of Srivari Spices and Foods Limited's IPO are listed below:
- To fund the working capital requirement of the company.
- To meet the general corporate purposes.
Srivari Spices and Foods Limited IPO Date
Srivari Spices and Foods Limited’s IPO will open on August 7, 2023 and close on August 9, 2023.Retail investors can bid for the Srivari Spices and Foods Limited IPO between August 7, 2023 and August 9, 2023. Srivari Spices and Foods Limited’s IPO will list on the NSE exchange on August 18, 2023.
Srivari Spices and Foods Limited IPO Price Band
Srivari Spices and Foods is a 100% fresh IPO worth ₹9 crore. The issue comprises 21,42,000 shares and is priced at ₹40 to ₹42 per share.
Srivari Spices and Foods Limited IPO Lot Size
Srivari Spices and Foods Limited’s IPO lot size is 3,000 shares and retail investors need to apply for a minimum of 1 lot, which is of ₹1,26,000.
Strengths and Risks
Strengths and Opportunities
- The net worth of the company also doubled from ₹426.91 lakh on March 31, 2021, to ₹910.02 lakh on March 31, 2023.
- The company has increased its profit after tax from ₹35.27 lakh on March 31, 2021, to ₹312.61 lakh on March 31, 2023.
- The company works with a goal to offer organic quality spices and other food products without any artificial chemicals or preservatives.
Risks and Threats
- The company does not have any long-term agreements with their raw materials suppliers. Any raise in the cost or limited availability of raw materials can impact the operations.
- 70.24% of the company’s projected total revenue is from its top 10 customers. This shows that the company’s revenue is highly dependent on specific customers, and losing them se customers can impact the business adversely.
- In FY 2022 and FY 2021 the company experienced a negative cash flow of ₹110.18 lakh and ₹17.34 lakh, respectively.
Peer Details
Srivari Spices and Foods faces competition from publicly listed players like Contil India Limited and Jetmall Spices And Masala Limited that are operating in the same business.
Contact Details of Srivari Spices and Foods Limited IPO
- Registered office: Shed No. 5-105/4/A, SY No.234/A, Sriram Industrial Area, Kattedan, Jalpally, Hyderabad – 500 077, Telangana, India.
- Phone: +91 737 588 8999
- E-mail:compliance@srivarispices.com
Srivari Spices and Foods Company Financials
| Financial year | Period ending on March 31, 2023 (₹ in lakh) | Period ending on March 31, 2022 (₹ in lakh) |
|---|---|---|
| Revenue from Operations | 3,581.29 | 1,764.21 |
| Profit After Tax (PAT) | 312.61 | 72.84 |
| Net Worth | 910.02 | 499.75 |
| Earnings Per Share | 7.07 | 1.81 |
| Total Borrowings | 1,283.51 | 277.39 |
