Khyati Global Ventures IPO:
The Khyati Global Ventures IPO is generating significant interest among investors as it prepares for its upcoming subscription period. This article will provide a comprehensive overview of the IPO, including key details, company background, financial metrics, and investment considerations.
Khyati Global Ventures IPO: Overview
- Issue Size:
The Khyati Global Ventures IPO aims to raise ₹26.22 crores through a combination of fresh issue and offer-for-sale. The fresh issue comprises 18.48 lakh equity shares valued at₹18.30 crores, while the offer-for-sale includes 8 lakh equity shares worth₹7.92 crores. - Price Band:
A minimum investment requirement of 1,21,000 for retail investors (1200 shares) and 2,42,000 for high-net-worth individuals (2400 shares) sets the IPO price at 99 per share. - Subscription Dates:
The bidding opens on October 4, 2024, and closes on October 8, 2024. We anticipate finalising the allocation by October 11, 2024.
Khyati Global Ventures IPO: Company Background
Established in 1983, Khyati Global Ventures Limited primarily operates as an exporter and reseller of various fast-moving consumer goods (FMCG). The company’s product portfolio includes:
- Food Products:
snacks, staples, and processed foods. - Non-Food FMCG:
household items and personal care products. - Pharmaceuticals are health-related products.
- Handicrafts:
festive and pooja items.
The company collaborates with renowned brands such as Everest, Parle G, and MDH, catering to wholesalers and supermarket chains internationally.
Khyati Global Ventures IPO: Financial Performance
As of June 30, 2024, Khyati Global Ventures reported:
- Revenue:
₹2,716.92 lakhs - Net Profit:
₹94.67 lakhs
Compared to the previous fiscal year, the company has shown a revenue growth of 9% and a profit after tax (PAT) increase of 23%.
Khyati Global Ventures IPO: Use of Proceeds
The funds raised from the IPO will primarily be allocated for:
- Working capital requirements:
₹7.45 crore (approximately 71.78%) - General corporate purposes:
₹1.76 crores (approximately 16.94%) - Issue-related expenses:
Rs. 1.17 crore (approximately 11.28%).
Khyati Global Ventures IPO: Investment Considerations
Strengths
- The infrastructure is well-established and has a substantial storage capacity.
- The company offers a wide range of products that cater to both domestic and international markets.
- Strong relationships with globally recognised brands.
Risks
- Potential conflicts of interest may arise from entities within the promoter group that are involved in similar businesses.
- Dependence on timely statutory approvals could affect operations.
- Market competition from larger FMCG companies could impact pricing strategies.
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Conclusion
The Khyati Global Ventures IPO presents an intriguing opportunity for investors looking to enter the FMCG sector through a company with a solid track record and growth potential. With its competitive pricing strategy and diverse product offerings, Khyati Global Ventures is well-positioned to leverage market trends in the FMCG industry. Investors should consider their financial goals and risk tolerance before participating in this IPO. We always recommend conducting thorough research and consulting with financial advisors to make informed investment decisions. This analysis aims to equip potential investors with essential insights into the Khyati Global Ventures IPO while highlighting critical factors that could influence their investment outcomes.