Jay Kailash Namkeen (BSE SME)
Mar 28, 2024 - Apr 3, 2024
| Price | ₹70 - ₹73 |
| Premium | ₹12 |
|---|---|
| Lot size | 1600 |
| Allotment | Apr 4, 2024 |
| Listing | Apr 8, 2024 |
| Category | Lot(s) | Qty | Amount | Reserved |
|---|---|---|---|---|
| Retail | 1 | 1600 | 116800 | 485 |
| HNI | 2 | 3200 | 233600 | 194 |
Last updated on 03 Apr 2024 | 05:55:03 PM
| Category | Offered | Applied | Times |
|---|---|---|---|
| QIBs | 464000 | 1078400 | 2.32 |
| HNIs | 310400 | 21480000 | 69.2 |
| Retail | 776000 | 39568000 | 50.99 |
| Total | 1550400 | 62126400 | 40.07 |
| Total Application : 32,073 | |||
| HNI Interest Cost Per Share (7 Days) | |||||
|---|---|---|---|---|---|
| @7% ₹6.78 | @8% ₹7.75 | @9% ₹8.72 | @10% ₹9.69 | @11% ₹10.66 | @12% ₹11.63 |
IPO Reservation
| Investor Category | Shares Offered | No. of Shares |
|---|---|---|
| Retail | 47.50% | 776000 |
| NII (HNI) | 19.00% | 310400 |
| QIB | 28.40% | 464000 |
| Market Maker | 5.09% | 83200 |
| Total | 100.00% | 1633600 |
Jay Kailash Namkeen Limited, established in 2021, is a manufacturer of packaged Indian snacks, offering a diverse range of products to cater to various tastes and preferences. With a wide-ranging portfolio including Chana Jor Namkeen, Masala Mung Jor, Soya Sticks, Bhavnagari Gathiya, and Roasted Peanuts, among others, the company provides a total of 186 SKUs across 56 different products in multiple sizes to accommodate diverse consumer needs. Operating from its production facility in Rajkot, Gujarat, the company boasts a robust production capacity of 10 tons per working day, ensuring a steady supply of high-quality snacks. Serving customers across several states including Assam, Bihar, Maharashtra, and Uttar Pradesh, Jay Kailash Namkeen Limited has established a strong market presence, supported by a dedicated team of 14 permanent and 35 hourly paid on-call workers for production, shipping, marketing, and sales. With a commitment to quality and innovation, the company continues to expand its reach and delight customers with its flavorful and authentic Indian snacks.
Jay Kailash Namkeen IPO Details
| Issue Size | 1,633,600 shares (aggregating up to ₹11.93 Cr) |
| Fresh Issue | 1,633,600 shares (aggregating up to ₹11.93 Cr) |
| Issue Type | Book Built Issue IPO |
| Listing At | BSE SME |
| Share holding pre issue | 3,363,333 |
| Share holding post issue | 4,996,933 |
| Market Maker portion | 83,200 shares Rikhav Securities |
Key Performance Indicator
| KPI | Mar-23 | Mar-22 | Mar-21 |
|---|---|---|---|
| ROE | 24.72% | 108.23% | 30.99% |
| ROCE | 31.91% | 139.51% | 8.13% |
| RONW | 24.72% | 108.25% | 33.15% |
| D/E | 0.61 | 0.28 | 3.93 |
| EPS (basic & diluted) | 3.03 | 1.71 | 3.1 |
| P/BV | 5.95 | ||
| P/E (Pre IPO) | 27.65 |
Company Financials
Jay Kailash Namkeen Limited Financial Information (Restated)
Jay Kailash Namkeen Limited's revenue decreased by -5.31% and profit after tax (PAT) rose by 62.71% between the financial year ending with March 31, 2023 and March 31, 2022.
| Period | 30 Nov 2023 | Mar 2023 | Mar 2022 | Mar 2021 |
|---|---|---|---|---|
| Assets | 1,118.30 | 671.19 | 613.46 | 373.57 |
| Revenue | 646.19 | 987.74 | 1,043.12 | 1,314.80 |
| Profit | 40.45 | 88.79 | 54.57 | 8.81 |
| Net Worth | 582.45 | 359.21 | 83.20 | 28.42 |
| Reserves | 246.12 | 65.88 | 49.42 | |
| Borrowing | 354.67 | 238.44 | 65.76 | 111.58 |
| Amount in ₹ Lakhs | ||||
Strength Factors
Innovative Packaging: Jay Kailash Namkeen Limited's commitment to innovative packaging elevates its products above competitors, enhancing their visual appeal and attracting consumers. Creative packaging not only differentiates the company's products on the shelf but also reflects its dedication to quality and customer satisfaction, potentially increasing market share and brand loyalty.
Quality Assurance: With quality assurance at the forefront of its operations, the company ensures that its products consistently meet high standards of taste, freshness, and safety. By prioritizing quality at every stage of production, from sourcing ingredients to packaging and distribution, Jay Kailash Namkeen Limited instills confidence in consumers, fostering trust and loyalty, and ultimately driving repeat purchases and positive word-of-mouth recommendations.
Experienced Leadership: Being led by promoters and a management team with a wealth of experience is a significant strength for the company. The expertise and industry knowledge of the leadership team enable effective decision-making, strategic planning, and innovation, guiding the company towards sustainable growth and competitive advantage in the highly competitive packaged snacks market.
Risk Factors
Limited Operating History: Jay Kailash Namkeen Limited's limited operating history poses inherent risks commonly associated with early-stage companies. This may include uncertainties regarding business performance, market acceptance of products, and the ability to execute strategic plans effectively. Investors may find it challenging to evaluate the company's business and prospects accurately, potentially impacting investment decisions and access to capital.
Dependency on Lease Arrangement: The company's reliance on a leave and license arrangement for its registered office and manufacturing facility presents a risk. Any termination or non-renewal of the lease agreement could disrupt operations, leading to potential relocation costs, production delays, and loss of business continuity. This uncertainty surrounding premises ownership may affect the company's stability and operational efficiency.
Unsecured Loans: Jay Kailash Namkeen Limited's unsecured loans with a total outstanding amount of ₹137.05 lakhs pose a risk of recall by lenders at any time. In the event of loan recall, the company may face financial strain, liquidity challenges, and potential disruptions to its operations. Managing debt obligations and securing alternative financing options may become challenging, impacting the company's financial stability and ability to fund growth initiatives.
Jay Kailash Namkeen IPO Lead Manager(s)
- Expert Global Consultants Private Limited
Skyline Financial Services Private Ltd
Phone: 02228511022
Email: ipo@skylinerta.com
Website: https://www.skylinerta.com/ipo.php