Jeyyam Global Foods Limited is coming up with an IPO worth INR 81.94 crores, consisting of a fresh issue of 120.89 lakh shares worth INR 73.74 crores and an offer to sell 13.43 lakh shares worth INR 8.19 crores. The company aims to fund working capital needs, capital expenditures, and general corporate purposes.

Jeyyam Global Foods IPO – Important Dates 

Jeyyam Global Foods Limited IPO – Company Profile 

Jeyyam Global Foods Limited, with over 15 years in the food industry, specializes in manufacturing and supplying Bengal Gram, Fried Gram, and Besan Flour. The company is expanding into B2C spices, ready-to-eat foods, and more. 

By maintaining the highest standards from procurement to packaging, Jeyyam ensures quality at every step. Their advanced manufacturing facilities and efficient supply chain enable them to meet their customers’ evolving needs consistently. 

With a strong focus on the Chana industry, Jeyyam leverages expertise and a thriving supply chain ecosystem. Through forward and backward integration, Jeyyam drives industry growth and positions itself as a leading pan-India Chana brand. 

Jeyyam Global Foods Ltd IPO Fundamental Analysis 

Jeyyam Global Foods Limited’s financial analysis reveals a mixed performance. Revenue has shown significant growth, alongside increased profitability and EPS. However, a higher debt-equity ratio and rising current ratio suggest potential financial challenges. 

1. Revenue Trend: The revenue increased from ₹25,388.30 lakh in March 2022 to ₹38,217.00 lakh in March 2023. The revenue for the current year’s 12-month period ending March 2024 is INR 62,981.00 lakh. 

2. Equity and Liabilities: Both equity and liability have shown a consistent increase over the periods, reflecting potential growth and expansion. However, the debt-equity ratio has increased, indicating rising reliance on debt financing. 

3. Profitability: The profit after tax (PAT) has increased from ₹436.80 lakh in March 2022 to ₹1,509.11 lakh by March 2024. The rise in profitability could be a source of confidence for investors. 

4. Earnings per Share (EPS): The diluted EPS has also increased from ₹1.42 in March 2022 to ₹4.26 by March 2024, reflecting higher earnings per share for investors. 

5. Return on Net Worth (RoNW): The RoNW has risen from 7.63% to 18.81%, indicating an increase in the company’s ability to generate returns on shareholder equity.

6. Financial Position: Total assets have increased, suggesting potential business growth. However, the current ratio has increased, indicating strengthening liquidity and potential challenges in meeting short-term obligations. 

Jeyyam Global Foods IPO Financial Analysis 

Jeyyam Global Foods Limited IPO Peer Comparison 

Jeyyam Global Foods Limited exhibits solid financial performance with robust earnings per share, return on net worth, and asset management. Sameera Agro and Infra Limited show competitive returns with slightly lower metrics across critical indicators. 

Jeyyam Global Foods Ltd IPO Objective 

The main objective of Jeyyam Global Foods Limited is to fund working capital requirements and capital expenditures to support its growth and operations. 

1. Working Capital Requirements: The company intends to utilize INR 35 crores from the offer proceeds to meet its increasing working capital requirements, funded through internal accruals, net worth, bank financing, and unsecured loans to support ongoing and future operations. 

2. Capital Expenditures: The company plans to utilize INR 19 crores from the IPO proceeds: INR 9 crores for constructing a manufacturing unit in Salem, INR 5 crores for two Bengal Gram units in Maharashtra, and INR 5 crores for an integrated unit in Madhya Pradesh. 

3. General Corporate Purposes: The company plans to use the net proceeds for general corporate purposes, including covering operational expenses, taxes, strategic initiatives, brand building, marketing activities, and addressing any other board-approved or regulatory-compliant needs. 

Jeyyam Global Foods IPO Risks And Challenges 

Jeyyam Global Foods Limited’s risk includes dependency on a few key customers, geographic concentration in Tamil Nadu and Karnataka, and potential challenges from changing consumer preferences, supply chain disruptions, and regulatory requirements despite no significant past issues. 

• A decrease in demand, supply chain disruptions, or failure to adapt to changing consumer preferences and regulatory requirements could negatively impact their business, financial condition, and cash flows despite no significant past issues. 

• The geographic concentration of their sales in Tamil Nadu and Karnataka exposes them to local disruptions, economic conditions, and natural disasters, which could negatively impact their business, financial condition, and cash flows. 

• Their top 10 customers contributed 63% and 46% of revenue in FY 2024 and FY 2023, respectively. Dependency on a few clients increases potential volatility, and losing key customers could adversely affect their financial condition. 

Jeyyam Global Foods Ltd IPO – Industry & Market Potential 

India’s food processing industry, a global leader, is projected to hit $535 billion by 2025-26, fueled by increasing demand for convenience and health-focused products. The sector also benefits from robust export growth and foreign investment.

India’s food processing sector contributes 32% to the food sector and 13% to exports. Due to government support and infrastructure improvements, it is expanding rapidly. Projections indicate it will reach $535 billion by 2025-26.

Growing at 8.4% annually, India’s food processing sector impacts agriculture and manufacturing. Urbanization and rising incomes are key drivers, and the industry is expected to reach $535 billion by FY26 and $1.2 trillion by 2027. 

Jeyyam Global Foods Limited IPO – Type of Offer 

Jeyyam Global Foods Limited plans a fresh issue of shares, seeking INR 73.74 crores to fund working capital needs, capital expenditures, and general corporate purposes. Additionally, the company proposes an offer for sale, intending to sell 13.34 lakh existing shares.

1. Fresh Issue: The company will issue new shares to raise capital, aiming to collect INR 73.74 crores. The company intends to utilize the proceeds from the fresh issue to fund working capital needs, capital expenditures, and general corporate purposes. 
2. Offer for sale: Jeyyam Global Foods Limited is offering to sell 13.34 lakh existing shares. The following are the details of the existing shareholders who are also the promoters selling the shares:

Jeyyam Global Foods IPO Offer Size 

The offer size of Jeyyam Global Foods Limited is INR 81.94 crores, consisting of a fresh issue of 120.89 lakh shares worth INR 73.74 crores and an offer to sell 13.43 lakh shares worth INR 8.19 crores. The company seeks funds for working capital needs, capital expenditures, and general corporate purposes. 

Jeyyam Global Foods Limited IPO Allotment Structure 

Jeyyam Global Foods Limited’s allocation will be as follows: 50% for Qualified Institutional Buyers (QIB), 15% for Non-Institutional Investors (NII), and 35% for Retail Individual Investors (RII) according to SEBI regulations. 672,000 shares are reserved for market makers. 

● Qualified Institutional Buyers (QIB): As per SEBI regulations, 50% of the shares offered through the IPO will be reserved for Qualified Institutional Buyers. These include entities such as banks, mutual funds, and insurance companies.

● Non-Institutional Investors (NII): 15% of the shares will be reserved for Non-Institutional Investors. These typically include corporate bodies or individuals investing more than Rs.2 lakhs.

● Retail Individual Investors (RII): The remaining 35% of the shares will be allotted to Retail Individual Investors. These individual investors apply for shares with a total value of less than Rs.2 lakhs. 

● Market Maker Reservation: A portion of shares, i.e. 672,000 shares, are reserved for market makers. 

How to apply for the Jeyyam Global Foods IPO?

To apply for the Jeyyam Global Foods Limited IPO through Alice Blue, follow these steps:

Open a Demat and Trading Account: If you don’t have one already, you must open a Demat and trading account with Alice Blue.

1. Check for IPO Details: Once your account is active, you can check for the Jeyyam Global Foods Limited IPO details in the IPO section of the Alice Blue platform.
2. Place the Bid: Enter the number of shares you wish to buy and place your bid within the IPO’s price band.
3. Submit the Application: Confirm all your details and submit your application.

 You can apply for the Jeyyam Global Foods Limited IPO at Alice Blue in just a few clicks!

Check Allotment Status: After the allotment process, you can check the allotment status to see if you have received any shares.

Please note that the allotment of shares is not guaranteed and will depend on the demand for the IPO.

How do you check Jeyyam Global Foods IPO Allotment Status?

Checking the allotment status of an IPO in Alice Blue is usually straightforward. Please follow these general steps:

1. Log in to your Alice Blue Account: You can do this through the Alice Blue website or the trading app.
2. Navigate to the Portfolio or IPO Section: This might differ based on the layout of Alice Blue’s platform, but generally, you can find the status of your IPO application under the ‘Portfolio’ or ‘IPO’ section.
3. Find the IPO Allotment Status: Look for a sub-section called ‘IPO Allotment Status’ or something similar. This is where you can see the status of the IPOs you have applied for.
4. Select the Jeyyam Global Foods Limited IPO: If you have applied for multiple IPOs, there might be a dropdown menu or a list where you can select the IPO you are interested in. Select the Jeyyam Global Foods Limited IPO.
5. Check the Status: The status of your application should be displayed here. If the shares have been allocated to you, it would be mentioned here.

 If you face any issues, we request you to reach out to our customer support team at Alice Blue for detailed assistance. 

 Apart from Alice Blue, there are other ways to check the allotment status of the Jeyyam Global Foods Limited IPO:

● Registrar’s Website: Visit the website of Kfin Technologies Limited, the registrar of the Jeyyam Global Foods Limited IPO. On the homepage, look for the ‘IPO Allotment Status’ option. You must enter your PAN, application, or Demat account number to check your allotment status. Click on the ‘Submit’ button to view your IPO allotment status.

● NSE SME: You can also check the allotment status on the official websites of the National Stock Exchange (NSE) Small Medium Exchange (SME). You would need your application number and PAN to check the status. 

Please note that the allotment status will only be available after completing the allotment process, a few days after the IPO window closes.

Jeyyam Global Foods Ltd IPO Offer Registrar

The registrar for the Jeyyam Global Foods Limited IPO is Kfin Technologies Limited. They are responsible for ensuring the IPO allotment and refund processes are carried out smoothly.

Contact information for the registrar: 

KFIN TECHNOLOGIES LIMITED

Selenium Tower B, Plot No.31-32, 

Gachibowli, Financial District,

Nanakramguda, Serilingampally, 

Hyderabad-500032

Tel: 18003094001

E-mail: [email protected]

Website: www.kfintech.com 

Jeyyam Global Foods IPO – FAQs 

1. What is the allotment date of the Jeyyam Global Foods IPO? 

The allotment date of the Jeyyam Global Foods Limited IPO is September 5, 2024. 

2. What is the price band of the Jeyyam Global Foods IPO? 

The price band of the issue is INR 59-61 per share. 

3. What is the size of the Jeyyam Global Foods IPO? 

The offer size of Jeyyam Global Foods Limited is INR 81.94 crores, consisting of a fresh issue of 120.89 lakh shares worth INR 73.74 crores and an offer to sell 13.43 lakh shares worth INR 8.19 crores. The company seeks funds for working capital needs, capital expenditures, and general corporate purposes. 

4. What is the listing date of the Jeyyam Global Foods IPO? 

The listing date of Jeyyam Global Foods Limited’s IPO is September 9, 2024.