IPO Overview
Shellz India was incorporated on May 7, 2012 as Tifosi Foods Private Limited. It was renamed Shellz India Private Limited in September 2020 and, after converting into a public company, adopted its current name. Shellz India Limited is engaged in the manufacturing and marketing of confectionery products and the manufacturing and supply of food and bakery ingredients. Its product portfolio comprises over 300 SKUs across multiple categories, catering to consumers in urban, semi-urban, and rural markets. The company markets its consumer products under two brands — Hugs and Tosca. The company follows a fully integrated manufacturing model, producing all consumer products in-house through its facilities in Delhi and Sonipat, Haryana.
The company is now launching its SME IPO on the BSE SME platform. The IPO is a wholly fresh issue of 33.50 lakh shares aggregating up to ₹59.97 crore, with no offer-for-sale component. The price band is set at ₹170–₹179 per share with a lot size of 800 shares. The IPO opens on 15 October 2026 and closes on 19 October 2026, with listing expected on 23 October 2026.
IPO Detailed Information
Issue Details
| Parameter | Details |
| IPO Type | Book Built – SME |
| Listing Exchange | BSE SME |
| IPO Open Date | 15 October 2026 |
| IPO Close Date | 19 October 2026 |
| Allotment Date | 21 October 2026 (Expected) |
| Refund Initiation | 22 October 2026 |
| Credit to Demat | 22 October 2026 |
| Listing Date | 23 October 2026 (Tentative) |
| Price Band | ₹170 – ₹179 per share |
| Face Value | ₹10 per share |
| Lot Size | 800 shares |
| Minimum Investment (Retail) | ₹2,86,400 (2 lots = 1,600 shares) |
| Minimum Investment (HNI) | ₹4,29,600 (3 lots = 2,400 shares) |
| Issue Size | ₹59.97 crore |
| Fresh Issue | 33,50,400 shares (₹59.97 crore) |
| Offer For Sale (OFS) | Nil |
Note: The entire IPO is a fresh issue — no offer-for-sale component. All proceeds go directly to the company.
Issue Break-up
| Category | Allocation |
| Qualified Institutional Buyers (QIB) | ~50% |
| Non-Institutional Investors (NII/HNI) | ~15% |
| Retail Individual Investors (RII) | ~35% |
| Market Maker | 3,29,600 shares (reserved) |
OFS / Selling Shareholders
There is no Offer For Sale (OFS) in this IPO. The entire issue is a fresh issue — all IPO proceeds will go directly to the company for business use.
Objects of the Issue (Fund Utilization)
Shellz earmarks ₹22 crore for debt repayment and ₹23 crore for incremental working capital. The balance will be used for general corporate purposes.
- Repayment / prepayment of outstanding borrowings — ₹22 crore
- Working capital requirements — ₹23 crore
- General corporate purposes — remaining proceeds
Lead Managers & Registrar
- Book Running Lead Manager: Socradamus Capital Pvt. Ltd.
- Registrar to the Issue: Bigshare Services Pvt. Ltd.
- Market Maker: Mansi Share & Stock Broking Pvt. Ltd.
Promoters & Management
The company promoters are Kapil Garg and Shalini Garg. Kapil Garg, the Chairman of the company, brings over two decades of deep experience in the confectionery industry.
Company Details
Shellz India is a fast-growing confectionery manufacturer and marketer in India, offering a diversified portfolio of more than 250 products across multiple categories including chocolates, jellies, baked treats, candies, and food ingredients. It operates primarily under its flagship brands Hugs and Tosca, catering to both mass-market and premium consumer segments.
Brands:
- Hugs — primarily positioned at mass-market price points, with most products priced at ₹10 or below
- Tosca — focuses on the mass-premium segment through differentiated product formats and packaging, with an emphasis on e-commerce
Sectors Served:
- Retail Consumers (Urban, Semi-Urban, Rural)
- Institutional / B2B (Food & Bakery Ingredients)
- E-commerce Channels
Key Products:
- Wafer cones, cream-filled snacks, chocolate treats
- Jellies, sugar candies, panned confectionery
- Food and bakery ingredients for institutional clients
Key Capabilities:
- 300+ SKU product portfolio
- In-house integrated manufacturing (design to dispatch)
- Dual-brand strategy covering mass and premium segments
Manufacturing Facilities:
- Delhi (Registered Office)
- Sonipat, Haryana (Manufacturing Unit)
Financial Snapshot
| Period | Total Income (₹ Cr) | PAT (₹ Cr) | EBITDA (₹ Cr) |
| FY24 | ₹162.81 | ₹5.25 | ₹18.94 |
| FY25 | ₹187.39 | ₹8.30 | ₹22.79 |
| FY26 | ₹193.18 | ₹13.37 | ₹30.15 |
Key Financial Metrics
- Revenue increased by 3% and PAT rose by 61% between FY25 and FY26.
- Pre-issue P/E is approximately 18.8x based on FY25 earnings; post-issue P/E at 17.46x.
- Net Worth (FY26): ₹58.95 crore
- Total Assets (FY26): ₹213.72 crore
- EPS (Pre-IPO): ₹9.52 | EPS (Post-IPO): ₹10.25
Company Strengths
- Diversified confectionery portfolio spanning multiple product categories with strong distribution reach and improving profits.
- Dual-brand strategy — Hugs for mass market, Tosca for premium — giving the company reach across income segments
- Fully integrated in-house manufacturing in Delhi and Sonipat
- Consistent revenue growth with sharply accelerating PAT — growing 61% YoY in FY26
- Experienced promoter with over two decades in the confectionery industry
- Entire IPO is a fresh issue — zero promoter exit, all capital going into the business
Key Risks & Challenges
- High borrowings on the balance sheet — a significant portion of IPO proceeds (₹22 crore) is earmarked for debt repayment rather than growth capex.
- Revenue growth is modest at ~3% YoY in FY26 despite PAT improvement — indicating margin recovery rather than top-line expansion
- Highly competitive FMCG confectionery segment with large established players like Parle, ITC, Mondelez, and Perfetti
- SME IPO liquidity risk — limited trading volumes on BSE SME platform
- Dependence on two brands (Hugs and Tosca) for most consumer revenue — limited brand diversification
- Small-scale operations with just 7 employees reported — raises questions about scalability and organizational depth
Disclaimer:
This document is for informational purposes only and should not be considered as investment advice. Investors should read the Red Herring Prospectus (RHP) carefully and consult a financial advisor before investing in any IPO. Market investments are subject to risk.
