Freshara Agro Exports IPO: Check GMP, Day Two Subscription Status And Other Key Details

The initial public offering of Freshara Agro Exports Ltd. has been subscribed over 20 times on the second day of bidding on Friday. The SME IPO was booked 12.31 times on the opening day on Thursday.

The book-building offer, worth Rs 75.39 crore, comprises an entirely fresh issue of 64.99 lakh shares.

Investors who want to apply for the Freshara Agro Exports IPO may check these details before subscribing to the issue.

The three-day subscription period for Freshara Agro Exports IPO will close on Oct. 21.

The price band of the Freshara Agro Exports IPO has been fixed between Rs 110 and Rs 116 per share. Retail investors will need to apply for at least a single lot size of 1,200 shares, amounting to a minimum investment of Rs 1,39,200. High networth individuals can apply for a minimum of two lots.

The allotment of shares is expected to be finalised on Oct. 22. Shares of Freshara Agro Exports will be credited to the demat accounts of successful bidders on Oct. 23 and refunds for non-allottees will also be initiated the same day.

Purva Sharegistry India Pvt. is the registrar for Freshara Agro Exports's public issue, and GYR Capital Advisors Pvt. is the book-running lead manager, while Giriraj Stock Broking is the market maker.

Shares of Freshara Agro Exports are likely to be listed on the NSE SME platform, Emerge, on Oct. 24.

The Freshara Agro Exports IPO has been subscribed 20.30 times as of 10:48 a.m. on Friday.

• Qualified institutional buyers: 3.51 times.

• Non-institutional investors: 22.82 times.

• Retail investors: 28.80 times.

The latest grey market premium for the Freshara Agro Exports IPO stood at Rs 90 per share at 10:24 a.m. on Friday, according to the Investorgain website. The GMP indicates a potential listing price of Rs 206, at a premium of 77.59%, against the issue price of Rs 116.

Note: Investors must note that the GMP of a stock is highly speculative and may not be a true indicator of the listing price of IPO shares.

Freshara Agro Exports is engaged in procurement, processing and export of gherkins and other pickled vegetables. It procures raw vegetables from Tamil Nadu, Karnataka, and parts of Andhra Pradesh under contract farming.

The product portfolio of the company comprises gherkins, baby corn, jalapenos, and other pickled vegetables.

Established in 2015, the company has certifications from food regulators like the Food Safety and Standards Authority of India and global agencies in several countries, including the United States Food & Drug Administration.

Use Of Proceeds

Freshara Agro Exports Ltd. will use the proceeds from the IPO for capital expenditure and to meet working capital requirements. A portion of the funds will also be used for general corporate purposes.

Financials

The company reported a revenue of Rs 107.46 crore and net profit of Rs 11.37 crore in the quarter ended Sept. 30, 2024.

For the year ended March 31, 2024, its revenue rose 55.91% to Rs 198.01 crore against Rs 127 crore in the preceding financial year. Profit was up by 140.3% in FY24 at Rs 21.82 crore, as compared to Rs 9.08 crore in FY23.

Disclaimer: Investments in initial public offerings are subject to market risks. Please consult with financial advisors and read the red herring prospectus thoroughly before placing bids.