Keventer Agro IPO Update DRHP filed with SEBI

Keventer Agro Limited IPO 2021 Update : Keventer Agro Limited has submitted DRHP for IPO with capital markets regulator SEBI (Securities and Exchange Board of India) to boost funds by an preliminary share sale. Keventer Agro Limited IPO comprises fresh issuance of equity shares as well as offer for sale of their promotor’s shares.

Keventer Agro Limited IPO comprises below shares to be sale:

  • Fresh Issuance – Worth Rs. 350 Crore
  • Offer for sale (Promotor’s) – 10,767,664 equity shares
Keventer Agro IPO 2021-22
Keventer Agro IPO 2021-22

Utilization of Net Proceeds from fresh issuance :

The Net Proceeds from the Fresh Issue which is almost Rs. 350 Crores are proposed to be utilised in the following manner.

  • Repayment and/or pre-payment, in full or part, of certain borrowings availed by our Company
  • Funding capital expenditure requirements of our Company
  • General corporate purposes.

Keventer Agro Limited is one of the largest
FMCG company in E & N.E. India. Keventer Agro has more than 90+ product categories and 217.75 million potential customers using their products. Keventer Agro Limited has franchised agreement with Parle Agro manufacturing, filling, packing, selling and distributing of franchised products. Popular brands of Keventer include Frooti, Appy, Appy Fizz and Bailey. This company also sells frozen food, UHT milk, milkshakes and bananas under the Keventer brand.

In the Financial Year 2020-21,  the company has recorded total revenue of Rs. 836.02 Crore,  total expenses of 914.83 crore and loss after tax of Rs. 76.18 crore.

Their business is supported by our manufacturing and processing infrastructure comprising of our flagship facility at Barasat, West Bengal and our food processing units located at Durgapur, Midnapore, Siliguri, Malda and Patna. The company is also in the process of establishing a food processing unit at Ranchi. More than 95% of our sales are attributable to products manufactured at our own manufacturing and processing units, apart from our frozen food portfolio and some of the SKUs in the ice-cream segment, which are outsourced.

Keventer Agro Limited has appointed ICICI Securities, Axis Capital and JM Financial as book running lead managers for this IPO and Link Intime India Private Limited as a registrar to the offer.