Jay Kailash Namkeen shares debut with a 16% premium on BSE SME platform

The IPO, which was completely a fresh equity issue of 16.33 lakh shares, received decent response from investors with an overall subscription of 40 times at close.

The net proceeds from the public offer will be used for meeting working capital requirements and general corporate purposes.

Jai Kailash is engaged in the business of manufacturing packaged Indian snacks. Its snack offerings include Chana Jor Namkeen, Masala Chana Jor, Pudina Chana, Masala Moong Jor, Plain Moong Jor, Soya Sticks among others.

Also Read:

The company was initially engaged in B2B business wherein it manufactured products in bulk quantities for other well recognised companies/brands in the same industry.

It also made products and supplied them in the states of Assam, Bihar, Chhattisgarh, Gujarat, Madhya Pradesh, Maharashtra, Odisha, Rajasthan, Telangana and Uttar Pradesh. However, it has also started B2C offering since April 2022 under its own brand name Kailash.

The Indian food industry is growing at a CAGR of 11% and the output is projected to reach $535 billion by 2025. The food processing sector will be led by the demand in retail and the rise of health-conscious consumers, as per the DRHP.

For the period ended November 2023, the company clocked revenues of Rs 6.4 crore and net profit of Rs 40 lakh.

Expert Global Consultants acted as the lead manager to the issue and Skyline Financial Services was the registrar.