The Shivashrit Foods Limited IPO has drawn investor attention in August 2025, although its demand has been relatively modest compared to some other SME issues in the market. Based in Aligarh, Uttar Pradesh, Shivashrit Foods is a leading manufacturer and exporter of premium-quality potato flakes. The company primarily operates on a B2B business model, catering to the food and snacks industry both domestically and internationally. Recently, Shivashrit has also been making efforts to expand into the B2C retail segment through e-commerce channels, aiming to directly reach consumers with packaged products.

IPO Details

The Shivashrit Foods IPO is a Book Built Issue worth ₹70.03 Crores, consisting of a Fresh Issue of 43.16 lakh shares (₹61.29 Crores) and an Offer for Sale (OFS) of 6.16 lakh shares (₹8.75 Crores).

• IPO Open Date: August 22, 2025

• IPO Close Date: August 26, 2025

• Allotment Date: August 28, 2025

• Tentative Listing Date: September 1, 2025

• Exchange: NSE SME

• Price Band: ₹135 to ₹142 per equity share

• Market Capitalisation at Upper Band: ₹259.42 Crores

• Lot Size: 1,000 shares

• Minimum Investment (Retail): 2 lots (2,000 shares) = ₹2,84,000

The issue has a relatively high entry barrier for retail investors due to the large minimum investment requirement.

Mark Corporate Advisors Private Limited is the Book Running Lead Manager, Maashitla Securities Private Limited is the Registrar, and Asnani Stock Broker Private Limited is the Market Maker.

Subscription Status

As of 12:30 PM on August 26, 2025, the Shivashrit Foods IPO was subscribed 1.80 times. While the IPO has received subscriptions across categories, the demand is considered moderate compared to some heavily oversubscribed SME IPOs in 2025.

This subscription figure reflects that while there is interest in the company’s growth potential, investors are cautious due to flat GMP trends and the high ticket size for retail participation.

Anchor Investors

Ahead of the IPO opening, Shivashrit Foods successfully raised ₹19.92 Crores from Anchor Investors at the upper price band of ₹142 per share. The company allotted 14,03,000 equity shares to these institutional investors. Anchor participation provided some early support for the IPO and indicated institutional-level confidence in the company’s fundamentals.

Grey Market Premium (GMP)

The Grey Market Premium (GMP) for Shivashrit Foods IPO is currently reported at ₹0, suggesting that the stock may list flat around its issue price of ₹142 per share.

The last update on August 19, 2025, at 2:00 PM, showed an expected listing price of ₹142 with no premium or discount.

While GMP trends are often used as an unofficial indicator of market sentiment, investors should note that grey market trading is unregulated and purely informal. Therefore, GMP is shared only for educational and informational purposes.

Allotment Process

The IPO allotment date for Shivashrit Foods is August 28, 2025. Investors can check their allotment status online via the registrar’s portal.

Steps to Check IPO Allotment Status:

1. Visit the IPO allotment status page on the registrar’s website.

2. Select Shivashrit Foods Limited IPO from the list of active IPOs.

3. Enter your application number, PAN, or DP Client ID.

4. Click Submit to view your allotment status.

This will instantly show whether an investor has received shares and help them prepare for the listing day on September 1, 2025.

Objectives of the IPO

Shivashrit Foods plans to use the IPO proceeds for key business growth initiatives:

1. Capital Expenditure for Expansion Project: ₹2,630 Lakhs to finance construction of a new facility including plant & machinery for potato flakes line, boiler, ETP plant, power generator, solar panel, and other miscellaneous assets.

2. Working Capital Requirements: ₹1,900 Lakhs to support the company’s expansion project and day-to-day operations.

3. General Corporate Purposes to strengthen the company’s overall financial position and flexibility.

This indicates a strong focus on capacity expansion, modernization of facilities, and scaling up operations to meet rising demand.

Company Overview and Strengths

Shivashrit Foods has established itself as a trusted supplier of potato flakes in India and international markets. Its modern potato processing facility in Aligarh is strategically located in a region known for potato farming, ensuring availability of raw materials.

Business strengths include:

• B2B Leadership: Strong presence in supplying potato flakes to the food and snacks industry.

• Growing Export Market: Expanding international footprint with increasing exports.

• B2C Expansion: Plans to diversify revenue by entering the retail market via e-commerce.

• Infrastructure Expansion: Use of IPO proceeds to set up modern production facilities with advanced machinery.

• Food Industry Demand: Rising consumption of ready-to-cook and snack products supports long-term growth.

Risks Investors Should Consider

• Flat GMP: Current GMP at ₹0 suggests low listing gains, which may reduce short-term investor interest.

• High Entry Cost: A minimum investment of ₹2.84 lakh could discourage smaller retail investors.

• Sector Dependency: As a potato-based product manufacturer, performance depends on agriculture supply chain and raw material availability.

• SME Listing: Being on NSE SME means lower liquidity compared to mainboard IPOs.

Conclusion

The Shivashrit Foods IPO has generated moderate subscription interest with 1.80 times subscription on its final day. While the company has strong fundamentals, growth plans, and anchor investor participation worth ₹19.92 Crores, the flat GMP of ₹0 suggests that listing gains may be limited.

For long-term investors, the IPO presents an opportunity to invest in a growing agro-processing business with clear plans for capacity expansion and entry into the B2C segment. However, short-term traders looking for strong listing day gains may not find this IPO attractive based on current GMP signals.

With allotment scheduled on August 28, 2025, and listing expected on September 1, 2025, the market will soon reveal how investors truly value Shivashrit Foods.

The Upcoming IPOs in this week and coming weeks are Amanta Healthcare, Rachit Paints, Abril Paper Tech, Sneha Organics, Sugs Lloyd, .

The Current active IPO are Anlon Healthcare, NIS Management, Sattva Engineering Construction, Globtier Infotech, Current Infraprojects, Vikran Engineering, Shivashrit Foods, Anondita Medicare, Classic Electrodes (India).

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