Jay Ambe Supermarkets Limited, operating under the brand CITY SQUARE MART, has launched its IPO of ₹18.45 crore, providing investors the chance to participate in the growth of a leading supermarket chain. The Book Built Issue consists entirely of a fresh issue of 23.64 lakh shares. The IPO opens on September 9, 2025, and closes on September 11, 2025, with allotment expected on September 12, 2025. Shares will be listed on the BSE SME platform, with a tentative listing date of September 16, 2025.

Company Overview

CITY SQUARE MART is positioned as an ultimate shopping destination, aiming to redefine the retail experience by making shopping convenient, enjoyable, and budget-friendly. The supermarket offers an extensive product portfolio including FMCG, groceries, consumer durables, garments, footwear, toys, home textiles, home décor, handicrafts, stationery, and travel products, all under one roof.

The company is led by an experienced management team headed by Chairman and Managing Director Jignesh Amratbhai Patel, who has more than 19 years of experience in global and national supermarket operations. The team drives business strategy, innovation, technology adoption, and customer-centric approaches across operations.

IPO Details

• Price Band: ₹74 to ₹78 per equity share

• Lot Size: 1,600 shares (minimum investment 2 lots = 3,200 shares = ₹2,49,600)

• Market Capitalisation at ₹78/share: ₹69.26 crore

Structure of the IPO:

• Fresh Issue: 23.64 lakh shares worth ₹18.45 crore

The IPO is managed by Beeline Capital Advisors Private Limited as book running lead manager, MUFG Intime India Private Limited as registrar, with Spread X Securities Private Limited acting as sole Market Maker.

Grey Market Premium (GMP)

The GMP for Jay Ambe Supermarkets IPO is ₹0, indicating no expected listing gains. GMP depends on informal market supply-demand dynamics and is informational only, with no guarantee of actual listing performance.

Financial Performance

Jay Ambe Supermarkets has demonstrated steady financial growth over the past three fiscal years:

• Revenue (₹ Lakhs): FY25: 4,740.00 | FY24: 3,341.29 | FY23: 3,269.15

• EBITDA (₹ Lakhs): FY25: 503.32 | FY24: 318.69 | FY23: 124.52

• Profit After Tax (₹ Lakhs): FY25: 275.37 | FY24: 154.89 | FY23: 35.30

Key Performance Metrics:

• Pre-issue EPS (FY24): ₹4.5

• Post-issue EPS (FY24): ₹3.10

• Pre-issue P/E: 17.33x | Post-issue P/E: 25.15x

• ROCE FY24: 24.12% | ROE FY24: 26.07% | RoNW: 20.29%

These metrics indicate the IPO is fully priced, and listing gains are not expected based on current valuation.

IPO Objectives

The net proceeds from the IPO will be used for:

1. ₹425.00 lakh for acquisition of an existing store at Nana Chiloda, Ahmedabad

2. ₹463.32 lakh for purchase of fit-outs for three new stores

3. ₹450.00 lakh for working capital requirements

4. Remaining proceeds for general corporate purposes

These investments will support the company’s expansion, enhance operational capacity, and strengthen working capital, enabling CITY SQUARE MART to meet growing customer demand.

Subscription & Listing

The IPO opens for subscription on September 9, 2025, and closes on September 11, 2025. Investors can check their allotment status on the registrar’s website using PAN, application number, or DP Client ID after September 12, 2025.

Tentative Listing Date: September 16, 2025, on BSE SME

Investment Outlook

While Jay Ambe Supermarkets shows steady revenue growth and strong operational presence, the GMP of ₹0 and post-issue P/E of 25.15x suggest limited upside at listing. This IPO is more suitable for long-term investors interested in retail expansion and supermarket sector growth rather than for short-term listing gains.

Conclusion

The Jay Ambe Supermarkets IPO provides an opportunity to invest in a company focused on retail innovation, expansion, and customer-centric growth. However, due to the fully priced IPO and zero GMP, investors seeking short-term gains should exercise caution, while long-term investors may consider the IPO for growth potential in the retail sector.

The Upcoming IPOs in this week and coming weeks are Karbonsteel Engineering, Taurian MPS, L. T. Elevator, Galaxy Medicare, Airfloa Rail Technology, Dev Accelerator, Jay Ambe Supermarkets, Urban Company, Shringar House of Mangalsutra, .

The Current active IPO are Nilachal Carbo Metalicks, Krupalu Metals, Vashishtha Luxury Fashion, Sharvaya Metals, Vigor Plast India, Austere Systems.

Start your Stock Market Journey and Apply in IPO by Opening Free Demat Account in Choice Broking FinX.