Shri Ahimsa Naturals Limited, formerly known as Shri Ahimsa Mines and Minerals Ltd., operates in the extraction, manufacturing, and trading of herbal extracts such as Caffeine Anhydrous Natural, Green Coffee Bean Extracts (GCE), and Crude Caffeine. These products are widely used across the food & beverage, nutraceuticals, cosmetics, and pharmaceutical industries due to their recognized health benefits.

The company has gained a strong foothold in the market, thanks to its expertise in producing high-quality products that serve multiple sectors. As of now, Shri Ahimsa Naturals has garnered significant interest for its upcoming Initial Public Offering (IPO), which seeks to raise ₹ 73.81 Crores. This IPO includes a fresh issue of 42.03 lakh shares, valued at ₹ 50.02 Crores, and an offer for sale (OFS) of 19.92 lakh shares, totaling ₹ 23.79 Crores.

AT A GLANCE: IPO DETAILS

• IPO Size: ₹ 73.81 Crores

• Fresh Issue: ₹ 50.02 Crores (42.03 lakh shares)

• Offer for Sale: ₹ 23.79 Crores (19.92 lakh shares)

• Price Band: ₹ 113 - ₹ 119 per share

• Market Capitalization: ₹ 277.62 Crores (at ₹ 119 per share)

• Lot Size: 1,200 shares

• Retail Investor Minimum Investment: ₹ 1,42,800 (1,200 shares)

• HNI Investment: ₹ 2,85,600 (2 lots, 2,400 shares)

The IPO subscription period is set to open on March 25, 2025, and close on March 27, 2025. The allotment is expected to be finalized on March 28, 2025, and shares are set to list on the NSE SME with a tentative listing date of April 3, 2025.

SHRI AHIMSA NATURALS IPO SUBSCRIPTION STATUS

As of 7:00 PM on March 27, 2025, the subscription status for the Shri Ahimsa Naturals IPO indicates a massive demand, with the IPO subscribed 58.38 times on its final day of the subscription period. This high demand highlights the strong investor interest in the company's prospects. You can check the live subscription status of the Shri Ahimsa Naturals IPO directly on the NSE website.

GREY MARKET PREMIUM (GMP)

The Grey Market Premium (GMP) for the Shri Ahimsa Naturals IPO is currently ₹ 0, indicating no substantial premium in the unorganized market. It’s important to note that the GMP is speculative and subject to fluctuations based on demand and supply. However, the absence of a Grey Market Premium suggests no immediate listing gains from the unlisted market perspective.

ANCHOR INVESTORS AND ALLOTMENT DETAILS

The company has successfully raised ₹ 20.87 Crores from Anchor Investors, at a price of ₹ 119 per share. A total of 17,54,400 equity shares were allocated to Anchor Investors, demonstrating confidence in the company’s prospects. The final allocation to Anchor Investors and Qualified Institutional Buyers (QIBs) will be disclosed in detail post-allotment.

ALLOTMENT DATE AND HOW TO CHECK STATUS

The allotment of Shri Ahimsa Naturals IPO is scheduled for March 28, 2025. Investors can check their allotment status through the registrar's website by entering their application number, PAN, or DP Client ID.

OBJECTIVES OF THE IPO

The net proceeds from the Shri Ahimsa Naturals IPO are intended to fund the following:

1. ₹ 35 Crores will be invested in the company’s wholly-owned subsidiary, Shri Ahimsa Healthcare Private Limited (SAHPL), for setting up a manufacturing facility at Sawarda, Jaipur.

2. General Corporate Purposes: The remaining proceeds will be allocated for other corporate needs and operational expansion.

FINANCIAL PERFORMANCE AND VALUATION

Shri Ahimsa Naturals has demonstrated impressive growth in its financial performance over the past few years. The company’s revenues from operations for the fiscal year ended September 30, 2024, stood at ₹ 5,894.23 Lakh, showing a steady increase over the last three years. The company reported a profit after tax (PAT) of ₹ 974.45 Lakh for FY24.

The company's pre-issue EPS stands at ₹ 10.19, and the post-issue EPS is projected at ₹ 8.00 for FY24. The pre-issue P/E ratio is 11.68x, and the post-issue P/E ratio is 14.87x, indicating a relatively attractive valuation compared to industry peers. The company's return on capital employed (ROCE) for FY24 is 25.69%, and return on equity (ROE) is 22.25%, highlighting strong profitability.

Despite its positive financials, the Grey Market Premium (GMP) suggests that the IPO might not offer immediate listing gains. Based on the company's performance and the overall market outlook, potential investors should exercise caution when considering this IPO for short-term gains.

SHRI AHIMSA NATURALS IPO REVIEW

Shri Ahimsa Naturals has strong fundamentals, with consistent revenue growth and a well-established market presence. The IPO proceeds will help further expand its manufacturing capabilities, making it a promising long-term investment. However, the IPO's pricing and market conditions suggest that investors may not see significant listing gains. We recommend that investors consider this IPO for long-term growth potential rather than short-term gains.

The Current active IPO are Aten Papers & Foam Limited, Infonative Solutions Limited,Spinaroo Commercial Limited,Retaggio Industries Limited.

The Closed IPOs are  Identixweb Limited, ATC Energies System Limited, Shri Ahimsa Naturals Limited, Desco Infratech Limited.

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