Vandan Foods Ltd
Complete IPO details, including price band, financials, subscription status, and key insights.
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IPO Snapshot
Key metrics and details at a glance.
Price Band
₹115
Per ShareLot Size
1200 Shares
Minimum Investment
₹1,38,000
Issue Size
₹30.36 Cr
Face Value
₹10
Per ShareIPO Type
Fixed Price - SME
Retail Quota
50%
QIB Quota
0%
NII Quota
50%
IPO Timeline
Important dates for your applying strategy.
Subscription Status
Live demand across investor categories.
Track real-time subscription levels:
*Real-time data subject to exchange updates
Vandan Foods Ltd
Business model, operations, and market positioning.
Promoter Holding (Pre-Issue)
96.94%
Promoter Holding (Post-Issue)
66.42%
Issue Type
Fixed Price - SME
ISIN
INE0RDJ01019
About the Company
Prior to financial year 2018, the Company was engaged in the catering business. However, from financial year 2018 till financial year 2023, the Company was engaged in the trading of agro commodities. Thereafter, from the financial year 2024 its current promoters have been actively managing the business of manufacturing of Castor Oil and its derivatives. The Company is currently operating on a B2B business model primarily focusing on Refined F.S.G. Castor Oil, Castor De Oil Cake. Castor Oil is used in the production of synthetic resins, plastics, fibres, paints, varnishes and various chemicals including drying oils and plasticizers.
Industry Overview
The global castor oil market was valued at USD 1.4 billion in 2022, growing at a CAGR of 5.1% from 2023 to 2032. The market is expected to reach USD 2.3 billion by 2032. Throughout the forecast period, castor oil is expected to see high demand from the pharmaceutical and cosmetics sectors. Rising healthcare costs and public awareness of preventive care and self-management drive demand for cosmetics and pharmaceutical products. The product's increasing use in creating skincare, cosmetic, and soap goods is also expected to increase its demand. The India castor oil market reached a volume of 102.5 Kilo Tons in 2023.
Company History
Vandan Foods Limited was originally incorporated as "Vandan Foods Private Limited" as a private limited company under the provisions of the Companies Act, 2013 vide Certificate of Incorporation dated December 15, 2015, issued by Assistant Registrar of Companies, Gujarat. Thereafter, the Company was converted from a private limited company to public limited company pursuant to special resolution passed in the Extra-Ordinary General Meeting of the company dated September 11, 2023 and consequently, the name of the Company was changed from "Vandan Foods Private Limited" to "Vandan Foods Limited" and a fresh certificate of incorporation dated September 18, 2023 was issued to the Company by the Registrar of Companies, Ahmedabad. The Corporate Identification Number of the Company is U10402GJ2015PLC085394.
Products & Services
- The Company is currently operating on a B2B business model primarily focusing on Refined F.S.G. Castor Oil, Castor De Oil Cake.
Growth Strategy
- Expanding its Geographical Network.
- Focus on consistently meeting quality standards.
- Maintaining cordial relationship with its Suppliers, Customer and employees.
- Increasing Operational efficiency.
Customer Base
Wholesaler and Retailer
Financial Performance
Revenue, profit after tax and total assets across the last 3 reported financial years.
Revenue
Amount in ₹ crore
Profit After Tax (PAT)
Amount in ₹ crore
Total Assets
Amount in ₹ crore
Figures in ₹ crore, on a standalone basis, as reported for FY23 to FY25.
Objects of the Issue
How the company plans to utilize IPO proceeds.
Use of Proceeds
The funds raised through this IPO will be used for:
Public issue of 26,40,000 equity shares of face value of Rs. 10/- each of Vandan Foods Limited ("VFL)" or the "Company" or the "Issuer") for cash at a price of Rs. 115/- per equity share including a share premium of Rs. 105/- per equity share (the "Issue Price") aggregating to Rs. 30.36 crores ("the Issue"), of which 1,32,000 equity shares of face value of Rs. 10/- each for cash at a price of Rs. 115/- per equity share including a share premium of Rs. 105/- per equity share aggregating to Rs. 1.52 crores will be reserved for subscription by market maker to the issue (the "Market Maker Reservation Portion"). The issue less the market maker reservation portion i.e. net issue of 25,08,000 equity shares of face value of Rs. 10/- each at a price of Rs. 115/- per equity share including a share premium of Rs. 105/- per equity share aggregating to Rs. 28.84 crores is herein after referred to as the "Net Issue". the issue and the net issue will constitute 31.49 % and 29.91 % respectively of the post issue paid up equity share capital of the company. The face value of the equity shares is Rs. 10/- each and the issue price is Rs. 115/- each i.e. 11.5 times of the face value of the equity shares. The minimum lot size is 1200 equity shares
*Subject to approvals and market conditions.
Strengths & Risks
Key competitive advantages and factors to consider before investing.
- Experienced Promoters and Management Team.
- End to end execution capabilities.
- Long term Relationship with the Clients.
- Quality Assurance & Control.
- Scalable Business model.
- A certain amount of its revenue is generated from certain key customers, and the loss of one or more such customers, the deterioration of their financial condition or prospects, or a reduction in their demand for its products could adversely affect the company business, results of operations, financial condition and cash flows.
- The company relies significantly on some suppliers for the supply of its raw materials. If these suppliers are unable or unwilling to supply raw materials on time or otherwise fail to meet our requirements, its business will be harmed. An inability to procure the desired quality, quantity of its raw materials in a timely manner and at reasonable costs, or at all, may have a material adverse effect on the company business, results of operations and financial condition.
- Its revenues are highly dependent on the company operations in the geographical region of state of Gujarat. Any adverse development affecting its operations in this region could have an adverse impact on the company business, financial condition and result of operations.
- The Company, its Directors and its Promoters are party to certain litigation and claims. These legal proceedings are pending at different levels of adjudication before various forums and regulatory authorities. Any adverse decision may make us liable to liabilities/penalties and may adversely affect our reputation, business and financial status.
- The Company has reported certain negative cash flows from its operating activity, investing activity and financing activity, details of which are given below. Sustained negative cash flow could impact our growth and business.