Embark on a delectable journey with the Italian Edibles Limited IPO, a fixed price issue totaling Rs 26.66 crores. This enticing opportunity comprises an exclusive fresh issue of 39.2 lakh shares, beckoning investors to savor the potential returns in the culinary domain.
The IPO bidding window opened on February 2, 2024, and will tantalize investors until February 7, 2024. Anticipate the savory outcomes as the allotment is set to be unveiled on February 8, 2024. The Italian Edibles IPO will grace the NSE SME platform, with the eagerly awaited listing date slated for Monday, February 12, 2024.
Priced at Rs. 68 per share, this IPO requires a minimum lot size of 2000 shares, making it an accessible feast for retail investors with an investment threshold of Rs. 136,000. High Net Worth Individuals (HNIs) can indulge with a minimum lot size investment of 2 lots (4,000 shares), amounting to Rs. 272,000.
Under the culinary IPO’s expert guidance, First Overseas Capital Limited spearheads as the book running lead manager, orchestrating a seamless investment experience. Bigshare Services Pvt Ltd plays a crucial role as the registrar for the issue, ensuring meticulous record-keeping. The market-maker, Nikunj Stock Brokers, adds a dash of market expertise to this flavorful offering.
Italian Edibles IPO Details
Dive into the specifics of the Italian Edibles IPO, set to captivate investors from February 2, 2024, to February 7, 2024. With a face value of Rs. 10 per share, the IPO is priced attractively at Rs. 68 per share, making it an enticing prospect for those eyeing the culinary market.
Investors can partake in this delectable venture with a modest lot size of 2000 shares. The IPO boasts a total issue size of 3,920,000 shares, aggregating up to Rs. 26.66 Crores. This comprises an entirely fresh issue, creating an intriguing investment landscape.
Structured as a Fixed Price Issue IPO, Italian Edibles is poised to list on NSE SME, promising a steady market presence. The IPO marks a transition in shareholding, with pre-issue holdings at 10,857,151 shares and post-issue holdings projected to reach 14,777,151 shares.
Noteworthy is the Market Maker portion, contributing 200,000 shares, indicating a robust market support system. This dynamic ensures liquidity and stability in the early stages of the IPO’s listing.
| IPO Date | February 2, 2024 to February 7, 2024 |
| Face Value | ₹10 per share |
| Price | ₹68 per share |
| Lot Size | 2000 Shares |
| Total Issue Size | 3,920,000 shares (aggregating up to ₹26.66 Cr) |
| Fresh Issue | 3,920,000 shares (aggregating up to ₹26.66 Cr) |
| Issue Type | Fixed Price Issue IPO |
| Listing At | NSE SME |
| Share holding pre issue | 10,857,151 |
| Share holding post issue | 14,777,151 |
| Market Maker portion | 200,000 share |
Italian Edibles IPO Reservation
The Italian Edibles IPO, offering a tempting 3,920,000 shares, strategically divides its shares among different investor categories to ensure a balanced allocation. This reservation pattern aligns with the IPO’s vision for widespread participation and a diverse investor base.
Non-Institutional Investors (NII): A substantial portion of 1,860,000 shares, equivalent to 47.45%, is earmarked for Non-Institutional Investors. This segment caters to high-net-worth individuals and entities looking to savor a generous share of the IPO.
Retail Individual Investors (RII): Mirroring the allocation to NII, another 1,860,000 shares, constituting 47.45%, are reserved for Retail Individual Investors. This inclusive approach allows retail investors to partake in the IPO, fostering a broad and participative investment landscape.
Market Maker: Ensuring market stability, a portion of 200,000 shares, accounting for 5.10%, is designated for Market Makers. This allocation serves as a cornerstone for liquidity and smooth market operations during the initial listing phase.
Total Allocation: In summary, the Italian Edibles IPO dedicates a total of 3,920,000 shares, representing 100% of the offering, across various investor categories. This thoughtful distribution aims to accommodate the diverse appetites of Anchor Investors, Market Makers, Non-Institutional Investors, and Retail Individual Investors.
| Investor Category | Shares Offered |
| Anchor Investor Shares Offered | – |
| Market Maker Shares Offered | 200,000 (5.10%) |
| Other Shares Offered | 1,860,000 (47.45%) |
| Retail Shares Offered | 1,860,000 (47.45%) |
| Total Shares Offered | 3,920,000 (100%) |
Italian Edibles IPO Timeline Tentative Schedule
Mark your calendars for the Italian Edibles IPO, set to unfold with precision and efficiency. Here’s a glimpse of the tentative schedule, ensuring a seamless journey for investors.
IPO Opening and Closing: The IPO window swings open on Friday, February 2, 2024, inviting investors to savor this financial delicacy. The curtain falls on Wednesday, February 7, 2024, marking the conclusion of the subscription period.
Allotment and Refund Process: The basis of allotment, a pivotal moment for investors, is slated for Thursday, February 8, 2024. Following this, the initiation of refunds takes center stage on Friday, February 9, 2024, ensuring a transparent and efficient process.
Share Crediting and Listing Date: Prepare for the feast as credits to Demat accounts take place on Friday, February 9, 2024. The grand finale arrives with the listing date on Monday, February 12, 2024, promising an exciting debut on the NSE SME platform.
Cut-off Time for UPI Mandate Confirmation: Investors must confirm their UPI mandates by 5 PM on February 7, 2024, adhering to the defined cut-off time for a seamless transaction experience.
| IPO Open Date | Friday, February 2, 2024 |
| IPO Close Date | Wednesday, February 7, 2024 |
| Basis of Allotment | Thursday, February 8, 2024 |
| Initiation of Refunds | Friday, February 9, 2024 |
| Credit of Shares to Demat | Friday, February 9, 2024 |
| Listing Date | Monday, February 12, 2024 |
| Cut-off time for UPI mandate confirmation | 5 PM on February 7, 2024 |
Italian Edibles IPO Grey Market Premium (GMP)
As of February 3rd, 2024, the Grey Market Premium (GMP) for the Italian Edibles SME IPO stands at Rs. 20, reflecting strong investor interest. With a price band of Rs. 68.00, the estimated listing price is anticipated to be Rs. 88 (cap price + today’s GMP), projecting a promising expected percentage gain/loss per share at 29.41%.
Retail Subject to Sauda: Rs. 30,400 In an encouraging trend, the Italian Edibles SME IPO Retail Subject to Sauda is marked at Rs. 30,400. This figure indicates a robust demand from retail investors, contributing to the positive market sentiment surrounding the IPO.
Daily GMP Updates: Anticipating a Strong Listing The daily monitoring of GMP indicates a positive trajectory, with the lowest GMP recorded at Rs. 0 and the highest at Rs. 20. This dynamic range suggests a favorable market outlook, supporting expectations for a strong listing.
| GMP Date | IPO Price | GMP | Sub2 Sauda Rate | Estimated Listing Price | Last Updated |
| 03-02-2024 | 68.00 | ₹20 No change | 30400 | ₹88 (29.41%) | 3-Feb-2024 16:31 |
| 02-02-2024 Open | 68.00 | ₹20 No change | 30400 | ₹88 (29.41%) | 2-Feb-2024 23:26 |
| 01-02-2024 | 68.00 | ₹20 Up | 30400 | ₹88 (29.41%) | 1-Feb-2024 23:24 |
| 31-01-2024 | 68.00 | ₹0 No change | — | ₹68 (0%) | 31-Jan-2024 23:29 |
| 30-01-2024 | 68.00 | ₹0 No change | — | ₹68 (0%) | 30-Jan-2024 23:30 |
| 29-01-2024 | 68.00 | ₹0 No change | — | ₹ (0%) | 29-Jan-2024 9:33 |
Investors and market participants are advised to stay tuned for daily updates on the Italian Edibles SME IPO GMP, as the current trend points upward, foretelling a potentially robust listing. The IPO’s positive reception in the grey market, coupled with retail interest, sets the stage for an exciting market debut.
Italian Edibles IPO Lot Size Strategies for Retail and HNI Investors
As the eagerly anticipated Italian Edibles IPO beckons, investors are presented with a nuanced opportunity to participate with bids starting from a minimum of 2000 shares and in multiples thereof. This article delves into the strategic investment guidelines for both Retail and High Net Worth Individual (HNI) categories, providing clarity on minimum and maximum investment thresholds.
Investment Parameters for Retail Investors:
| Application | Lots | Shares | Amount |
| Retail (Min) | 1 | 2000 | ₹ 136,000 |
| Retail (Max) | 1 | 2000 | ₹ 136,000 |
Retail investors can engage with confidence, with the flexibility to bid for a minimum of 2000 shares, aligning with a nominal investment of Rs. 136,000. This structure accommodates diverse financial preferences, fostering inclusive participation.
Investment Parameters for HNI Investors:
| Application | Lots | Shares | Amount |
| HNI (Min) | 2 | 4000 | ₹ 272,000 |
For High Net Worth Individuals seeking a more substantial stake, the IPO offers a minimum bid of 4000 shares, translating to an investment of Rs. 272,000. This approach enables HNI investors to explore larger investment avenues within the Italian Edibles IPO.
Strategic Takeaways: As investors prepare to navigate the investment landscape, these tailored guidelines ensure a clear understanding of the investment parameters. Whether retail or high-net-worth, participants can strategically plan their bids, aligning with their financial goals in this culinary venture. It’s not just an IPO; it’s an opportunity crafted for a diverse array of investors to savor success.
Italian Edibles IPO Promoter Holding
In the realm of the Italian Edibles IPO, the dynamic duo, Mr. Ajay Makhija and Mr. Akshay Makhija, stand as the esteemed promoters steering the company towards culinary success. Understanding the evolution of promoter holding provides investors with valuable insights into the company’s stability and growth prospects.
Share Holding Pre Issue: Prior to the IPO, the promoters boast a robust 100.00% holding, showcasing their unwavering commitment to the company’s vision and operations.
Share Holding Post Issue: Post the IPO, the promoter holding undergoes a strategic shift, settling at 73.47%. This adjustment reflects the infusion of fresh capital and the entry of new stakeholders, contributing to the company’s expansion.
Strategic Implications: The reduction in promoter holding post the IPO signifies a dilution strategy employed to welcome external investors and foster broader market participation. This diversification could enhance liquidity, strengthen the company’s financial standing, and pave the way for innovative culinary ventures.
| Share Holding Pre Issue | 100.00% |
| Share Holding Post Issue | 73.47% |
Italian Edibles Limited Crafting Sweet Success Since 2009
Founded in 2009, Italian Edibles Limited has become a prominent player in the confectionery industry, offering a diverse array of delightful products under its OfCour’s brand. From Rabdi [Meethai Sweet] and milk paste to chocolate paste, lollipops, candies, multigrain puffed buns, and fruit-based treats, the company caters to the sweet-tooth cravings of consumers.
Manufacturing Excellence: With two state-of-the-art manufacturing facilities located at Gram Palda and Prabhu Toll Kanta in Indore, Madhya Pradesh, Italian Edibles ensures the highest quality standards in its confectionery production.
Pan-India Presence and Global Reach: Italian Edibles has established its footprint across India, particularly in rural and semi-urban areas of various states. The company’s products are enjoyed in Andhra Pradesh, Assam, Bihar, Chhattisgarh, Delhi, Gujarat, Haryana, Himachal Pradesh, Jammu & Kashmir, Jharkhand, Karnataka, Kerala, Madhya Pradesh, Maharashtra, Odisha, Punjab, Rajasthan, Tamil Nadu, Telangana, Uttar Pradesh, Uttarakhand, and West Bengal. Beyond the borders, Italian Edibles exports its delectable offerings to countries like Nigeria, Yemen, Senegal, and Sudan.
Clientele and Product Range: As of August 31, 2023, Italian Edibles has garnered a notable customer list, including Chocolate World, Yuvraj Agency, Bakewell Biscuits Private Limited, R. K. Prabhavati Traders, Mamta Stores, Ma Laxmi Traders, Suria Distributor, and more. Notably, one of its flagship products, Jelly Candies, has found a place in the offerings of Dharpal Premchand Ltd (BABA) Group.
Sales and Marketing Excellence: Driving its market presence, Italian Edibles boasts a dedicated sales and marketing team comprising 15 skilled professionals. This team ensures effective promotion and distribution, contributing to the company’s widespread recognition and success.
Italian Edibles Limited Financial Information Restated
Italian Edibles Limited exhibits a strategic financial realignment, showcasing adaptability and resilience in the face of market dynamics. The restated financial information for the periods ending on March 31, 2023, and March 31, 2022, unveils noteworthy trends in revenue, profit after tax (PAT), assets, net worth, and reserves and surplus.
Revenue Adjustment: Italian Edibles experienced a -16.1% decrease in revenue between March 31, 2023, and March 31, 2022. This adjustment reflects the company’s response to market conditions, emphasizing strategic decision-making.
Profit After Tax (PAT): Despite the revenue dip, the company showcased remarkable resilience in profitability. The Profit After Tax surged by an impressive 229.4%, highlighting effective cost management and operational efficiency.
| Period Ended | Assets (₹ Lakhs) | Revenue (₹ Lakhs) | Profit After Tax (₹ Lakhs) | Net Worth (₹ Lakhs) | Reserves and Surplus (₹ Lakhs) |
| 31 Aug 2023 | 4,824.64 | 3,052.16 | 209.68 | 1,287.92 | 202.21 |
| 31 Mar 2023 | 4,155.24 | 6,330.09 | 264.21 | 1,078.24 | 906.82 |
| 31 Mar 2022 | 3,905.45 | 7,545.25 | 80.21 | 814.03 | 642.60 |
| 31 Mar 2021 | 3,946.43 | 4,899.44 | 86.52 | 583.82 | 433.82 |
Strategic Implications: Italian Edibles’ proactive financial restatement underscores its commitment to long-term sustainability. The decrease in revenue is counterbalanced by a substantial increase in profitability, portraying a calculated and strategic response to market dynamics. The strengthened financial position, with improved net worth and reserves, positions Italian Edibles for sustained growth and resilience in the dynamic confectionery market.
Italian Edibles IPO Key Performance Indicator
Italian Edibles IPO can leverage essential Key Performance Indicators (KPIs) to gauge the company’s financial health and potential for growth. The IPO’s market capitalization stands at Rs 100.48 Cr, providing an initial glimpse into its valuation within the market.
Return on Equity (ROE): A robust ROE of 24.50% reflects Italian Edibles’ ability to generate profits from shareholders’ equity, showcasing efficient utilization of investor funds for profitability.
Return on Capital Employed (ROCE): The ROCE at 19.32% signifies the company’s proficiency in utilizing both equity and debt capital to generate returns, indicating effective capital deployment.
Debt/Equity Ratio: With a Debt/Equity ratio of 1.6, Italian Edibles maintains a balanced capital structure, managing debt responsibly in proportion to equity. This ratio is crucial for assessing financial risk.
Return on Net Worth (RoNW): An impressive RoNW matching the ROE at 24.50% affirms Italian Edibles’ ability to deliver returns to shareholders, reinforcing the company’s financial strength.
Price-to-Book Value (P/BV): The P/BV ratio of 1.08 suggests a balanced market valuation, indicating potential undervaluation or alignment with the company’s book value.
Strategic Interpretation: Italian Edibles’ KPIs portray a financially sound entity with prudent management of capital, generating favorable returns. The balanced Debt/Equity ratio signifies responsible financial management, while the P/BV ratio provides insights into market sentiment.
| KPI | Values |
| ROE | 24.50% |
| ROCE | 19.32% |
| Debt/Equity | 1.6 |
| RoNW | 24.50% |
| P/BV | 1.08 |
Objects of the Issue Italian Edibles IPO Objectives
The Italian Edibles IPO unfolds with clear objectives, outlining the purposeful allocation of net proceeds to propel the company’s strategic initiatives and fortify its market position.
Setting up a Proposed Manufacturing Unit: The primary focus of the IPO proceeds is directed towards establishing a new manufacturing unit. This strategic move aligns with Italian Edibles’ expansion plans, enhancing production capabilities and fostering scalability to meet growing market demands.
Repayment of Certain Borrowings: A portion of the net proceeds is earmarked for the prudent repayment of specific borrowings. This financial strategy aims to streamline the company’s debt structure, contributing to improved financial flexibility and reduced interest obligations.
Meeting Incremental Working Capital Requirements: Italian Edibles recognizes the importance of a robust working capital base in sustaining operational efficiency. The IPO proceeds will be channeled towards meeting incremental working capital needs, ensuring smooth day-to-day operations and facilitating business agility.
General Corporate Expenses: The IPO also addresses general corporate expenses, covering a spectrum of operational necessities. These may include administrative costs, regulatory compliance, and other routine corporate expenditures essential for maintaining a seamless business environment.
Strategic Implications: The meticulous allocation of net proceeds underlines Italian Edibles’ commitment to strategic growth, financial prudence, and operational excellence. The establishment of a new manufacturing unit and the targeted repayment of borrowings reflect a forward-looking approach, while addressing working capital needs and general corporate expenses ensures a well-rounded utilization plan.
