PAJSON AGRO INDIA LIMITED IPO Explain

Pajson Agro India IPO Overview

Visakhapatnam (Andhra Pradesh)-based cashew processor raising ₹74.45 cr (100% fresh issue). Price: ₹112-118. Lot: 1,200 shares (₹2.83L min).

Funds for second processing facility at Vizianagaram.

Lead: Smart Horizon Capital.

Founded 2021. Acquired Olam Agro plant (₹18.25 cr, 295,990 sq.ft, 18,000 MT capacity). Processes raw cashew nuts (RCN) from India, Ivory Coast, Ghana, Nigeria, Benin, Togo, Guinea-Bissau into kernels. “Royal Mewa” B2C brand (cashews, almonds, pistachios, raisins). 71 distributors across 18 states, 3 UTs.

Clients: Reliance Retail, Haldiram, Bikanervala, More, Nutraj, Farmley. Exports to UAE.

465 employees (91.18% women). Competes with Olam, Agromonts, Cashew Ventures India, Kerala State Cashew, Ess Vee Cashew.

IPO DETAILED INFORMATION

Issue Details

Parameter	Details
IPO Type	SME
IPO Open Date	11 December 2025 (Wednesday)
IPO Close Date	15 December 2025 (Sunday)
Anchor Investor Bidding	10 December 2025 (Tuesday) – One Day
Allotment Date	16 December 2025 (Monday) – Expected
Credit to Demat	17 December 2025 (Tuesday) – Expected
Refund Initiation	17 December 2025 (Tuesday) – Expected
Listing Date	18 December 2025 (Wednesday) – Tentative
Price Band	₹112 – ₹118 per share
Face Value	₹10 per share
Lot Size	1,200 shares (minimum lot); multiples of 1,200 thereafter
Min Investment (Retail)	₹2,83,200 (2 lots / 2,400 shares at upper band ₹118)
HNI Investment	₹4,24,800 (3 lots / 3,600 shares) minimum
Issue Size	₹74.45 crore total
Fresh Issue	₹74.45 crore (100%) – 63,09,600 equity shares
Offer for Sale (OFS)	NIL – No OFS component
Total Shares Offered	63,09,600 equity shares
Listing	BSE SME (Emerge Platform)
Post-Issue Market Cap	Estimated ~₹280.95 crore (at upper price band ₹118)

Issue Break-up

Category	Allocation
Anchor Portion	17,72,400 Equity Shares
QIB (Net of Anchor)	11,82,000 Equity Shares (18.60% of Net Offer after anchor)
NII (Non-Institutional Investors)	Not less than 9,00,000 Equity Shares (15% of Net Offer)
Retail Individual Investors	Not less than 20,97,600 Equity Shares (35% of Net Offer)
Market Maker	3,57,600 Equity Shares

Selling Shareholders (OFS)

No Offer for Sale (OFS) – Entire issue is 100% fresh capital infusion for company growth. No promoter or investor exits.

Objects of the Issue (Fund Utilization)

Fresh Issue Proceeds (₹74.45 crore net proceeds ₹57 crore after expenses) will be used for:

1. Capital Expenditure – Establishment of Second Cashew Processing Facility at Vizianagaram, Andhra Pradesh – Primary Allocation
   • Setting up new cashew processing plant in Vizianagaram, Andhra Pradesh
   • Land acquisition or leasing
   • Building construction and civil works
   • Procurement of cashew processing machinery and equipment
   • Installation, commissioning, and trial runs
   • Capacity expansion to complement existing 18,000 MT Visakhapatnam facility
   • Geographic diversification of manufacturing operations
   • Target: Doubling processing capacity over medium term
2. General Corporate Purposes – Balance Amount
   • Working capital requirements for raw cashew nut procurement
   • Inventory financing (RCN inventory, finished goods)
   • Marketing and brand building for “Royal Mewa” B2C brand
   • Technology infrastructure and ERP systems
   • Distribution network expansion beyond 71 distributors
   • Export market development
   • Strategic initiatives and contingencies

Strategic Focus:

• Significant capacity expansion through second facility addressing supply constraints
• Geographic diversification: Existing Visakhapatnam + new Vizianagaram facility
• Strengthening position in fast-growing cashew processing industry
• Capitalizing on growing demand from institutional clients (Reliance, Haldiram, Bikanervala)
• Expanding “Royal Mewa” B2C brand penetration

Note: 100% fresh issue indicates genuine growth capital requirement, no investor/promoter exits. Positive indicator of expansion intent and promoter confidence.

Lead Managers & Registrar

Book Running Lead Manager (BRLM):

• Smart Horizon Capital Advisors Private Limited
  • Address: B/908, Western Edge II, Kanakia Space, Behind Metro Mall, off Western Express Highway, Magathane, Borivali East, Mumbai – 400066, Maharashtra
  • Phone: 022-28706822
  • Email: [email protected]
  • Website: www.shcapl.com

Registrar:

• Bigshare Services Private Limited
  • Phone: +91-22-6263 8200
  • Website: https://ipo.bigshareonline.com

Market Maker:

• Giriraj Stock Broking Private Limited

Promoters & Management

Key Promoters (3 Promoters – Family Business):

1. Aayush Jain – Chairman, Managing Director & Promoter
   • Founder and visionary leader of Pajson Agro India Limited
   • Strategic acquisition of Olam Agro India’s cashew processing plant in 2021 (₹18.25 cr for 295,990 sq.ft facility)
   • Scaled processing capacity from 7,000 MT (acquisition) → 12,000 MT (FY25) → 18,000 MT (current)
   • Launched “Royal Mewa” B2C dry fruits brand in 2024
   • Pan-India network expansion: 71 distributors across 18 states, 3 UTs
   • Statement: “Our journey began with a simple belief to deliver high-quality, ethically sourced cashew products that set benchmarks in consistency, taste and trust”
2. Anjali Jain – Promoter
   • Co-promoter and key stakeholder
   • Strategic partner in business operations
3. Pulkit Jain – Promoter
   • Co-promoter and key stakeholder
   • Involved in business development

Company History:

• Incorporated: September 17, 2021 (4 years of operations)
• Converted to Public Limited: February 8, 2025 (name changed from Pajson Agro India Private Limited to Pajson Agro India Limited)
• CIN: U01100DL2021PLC386740
• Key Milestone: 2021 – Acquired cashew processing plant from Olam Agro India in Anakapalli, Andhra Pradesh for ₹18.25 crore
  • Plant specifications: 295,990 sq.ft facility with advanced machinery
  • Initial capacity: 7,000 MT
  • Scaled to 12,000 MT (FY25), currently 18,000 MT
• Brand Launch: 2024 – Launched “Royal Mewa” premium B2C dry fruits brand
• Growth Trajectory: From regional processor to pan-India brand with 71 distributors, institutional clients (Reliance, Haldiram, Bikanervala), and UAE exports

Company Contact:

• Registered Office: 510, 5th Floor, Pearl Omaxe Tower, Netaji Subhash Place, Pitampura, Shakur Pur I Block, North West Delhi, Delhi – 110034, India
• Processing Unit: 11/1, 11/2, 13/1, 13/2, Janakiramapuram, Rolugunta, Visakhapatnam, Andhra Pradesh – 531114
  • Facility Size: 295,990.20 sq.ft
  • Processing Capacity: 18,000 MT annually
• Phone: +011-43026646
• Email: [email protected]
• Website: www.pajsonagro.com
• Contact Person: Roopal Saxena (Company Secretary & Compliance Officer)

Workforce:

• 465 Permanent Employees (as of July 31, 2025)
• 91.18% Women Employees – significant gender diversity
• 228 Contractual Workers
• Skilled workforce in cashew processing, grading, quality control, packaging

COMPANY OVERVIEW

Establishment & Background:

• Founded: September 17, 2021 (4 years of corporate operations)
• Industry: Cashew Processing & Agri-Processing – Raw Cashew Nut (RCN) to Cashew Kernel Processing, Dry Fruits Trading
• Headquarters: Delhi (registered office); Visakhapatnam, Andhra Pradesh (processing unit)
• Positioning: Integrated cashew processor serving wholesale, institutional, export, and B2C segments under “Royal Mewa” brand

Business Model:

Product Portfolio – Cashew Kernels & Dry Fruits:

1. Cashew Kernels (Primary Business Line)

• Processed from Raw Cashew Nuts (RCN) sourced globally
• Various grades: W180, W210, W240, W320, W450, SW, LWP, Broken grades
• Bulk packaging for B2B (wholesale, institutional, exports)
• Retail packaging under “Royal Mewa” brand for B2C

2. “Royal Mewa” B2C Dry Fruits Brand (Launched 2024)

• Premium cashews in retail packs
• Almonds, pistachios, raisins, and other dry fruits
• Distributed via e-commerce (Amazon, JioMart, Meesho) and offline retail
• Target: Health-conscious consumers, gifting segment, festive demand

3. By-Products Utilization – Value Extraction

• Cashew husk and shells sold for agricultural use (compost, mulch)
• Industrial applications (fuel, cashew nut shell liquid – CNSL)
• Generates additional revenue and reduces waste

Raw Material Sourcing – Global Procurement:

• India: Domestic RCN from cashew-growing states (Kerala, Karnataka, Andhra Pradesh, Odisha, Maharashtra)
• Africa: Côte d’Ivoire (Ivory Coast), Ghana, Nigeria, Benin, Togo, Guinea-Bissau – major sourcing markets
• Direct Procurement: Eliminates middlemen, ensures quality, better pricing

Processing Infrastructure:

• Visakhapatnam Facility: 295,990.20 sq.ft plant with advanced machinery
  • Acquired from Olam Agro India in 2021 for ₹18.25 crore
  • Current Capacity: 18,000 MT annually
  • Processes: Roasting, shelling, peeling, grading, packaging
  • Dedicated packaging unit for retail and bulk packs
• Second Facility (IPO-Funded): Vizianagaram, Andhra Pradesh
  • Capacity expansion and geographic diversification
  • Target: Doubling processing capacity over medium term

Four Revenue Verticals:

1. Wholesale Mandis (Traditional Markets)
   • Bulk cashew kernel sales to traders, wholesalers
   • Presence in major dry fruit mandis across India
   • Cash-and-carry model
2. Institutional Sales (B2B)
   • Supply to retail chains: Reliance Retail, More Retail
   • Food brands: Haldiram, Bikanervala
   • Packaged dry fruit brands: Nutraj, Farmley
   • Hotels, restaurants, catering businesses
   • Contract-based sales with volume commitments
3. Exports
   • International markets: UAE (exported in FY25)
   • Potential: Middle East, Europe, USA, East Asia
   • High-value cashew grades for export markets
   • Forex earnings diversification
4. B2C “Royal Mewa” Brand
   • E-commerce: Amazon, JioMart, Meesho
   • Offline: Retail stores via 71 distributors network
   • Direct-to-consumer model with higher margins

Distribution Network:

• 71 Distributors across 18 states and 3 Union Territories
• Pan-India presence from metros to tier-II/III cities
• Omnichannel approach: Traditional mandis + modern retail + e-commerce

Value Proposition:

• Quality & Consistency: Ethically sourced, standardized processing
• Integrated Value Chain: RCN sourcing → Processing → Distribution → By-product utilization
• Trusted Partnerships: Long-standing relationships with Reliance, Haldiram, Bikanervala
• Affordable Premium: Competitive pricing for quality cashews
• Sustainability: By-product utilization for agricultural/industrial applications

Market Position:

• Emerging Player: 4 years of operations, scaled rapidly to ₹187 cr revenue (FY25)
• Strategic Asset: Acquired modern Olam Agro India facility providing infrastructure advantage
• 18,000 MT Capacity: Among significant processors in Andhra Pradesh (India’s major cashew processing hub)
• Pan-India Distribution: 71 distributors across 18 states, 3 UTs
• Institutional Credibility: Supply partnerships with Reliance, Haldiram, Bikanervala validate quality

Operations:

Processing Operations:

• Step 1: RCN procurement from India, Africa (Ivory Coast, Ghana, Nigeria, Benin, Togo, Guinea-Bissau)
• Step 2: Drying of RCN to optimal moisture levels
• Step 3: Roasting in steam or oil for shell removal
• Step 4: Shelling (breaking outer shell) – semi-automated + manual
• Step 5: Peeling (removing testa/skin) – primarily manual labor
• Step 6: Grading (W180, W210, W240, W320, W450, SW, Broken) based on size, shape, color
• Step 7: Quality control (defect removal, sorting)
• Step 8: Packaging (bulk bags for B2B, retail packs for B2C “Royal Mewa”)
• Step 9: Warehousing and distribution

Financial Performance Highlights:

• FY25: ₹187.28 cr total income (+95% YoY from ₹96.04 cr), ₹20.42 cr PAT (+509% YoY from ₹3.35 cr)
• FY24: ₹96.04 cr revenue, ₹3.35 cr PAT
• PAT Margin (FY25): 10.90% – healthy profitability for agri-processing
• EBITDA Margin (FY25): 16.16% – strong operational efficiency
• Return Ratios (July 31, 2025): ROE 60.05%, ROCE 48.21%, RoNW 46.18% – exceptional capital productivity
• Debt-to-Equity: 0.33 – conservative leverage
• Pre-IPO EPS: ₹11.67; Post-IPO EPS: ₹11.92
• P/E Range: 9.9X – 10.11X (at issue price band) – attractive valuation

Company Strengths

1. Explosive Financial Performance – 95% Revenue, 509% PAT Growth (FY24-25):

• Revenue surged from ₹96.04 cr (FY24) to ₹187.28 cr (FY25) – 95% YoY growth (nearly doubled)
• Profit After Tax exploded from ₹3.35 cr (FY24) to ₹20.42 cr (FY25) – 509% YoY growth (6X increase)
• PAT margin expanded from 3.49% (FY24) to 10.90% (FY25) – demonstrating operational leverage and margin accretion
• EBITDA margin of 16.16% (FY25) – strong operational efficiency for agri-processing sector
• Return on Equity (ROE) of 60.05% (July 2025) – exceptional shareholder value creation
• Return on Capital Employed (ROCE) of 48.21% – outstanding capital productivity
• Return on Net Worth (RoNW) of 46.18% – consistent with high ROE
• Growth trajectory validates business model scalability and market demand

2. Strategic Acquisition of Modern Olam Agro India Facility – Infrastructure Advantage:

• 2021 Acquisition: Purchased Olam Agro India’s cashew processing plant in Anakapalli, Andhra Pradesh for ₹18.25 crore
• Facility Specifications: 295,990 sq.ft (27,500 sq.m) with advanced machinery, dedicated packaging unit
• Capacity Progression: Initial 7,000 MT → Scaled to 12,000 MT (FY25) → Current 18,000 MT capacity
• Olam Legacy: Acquired from global agri-business leader Olam International – validated quality infrastructure
• Location Advantage: Andhra Pradesh is India’s largest cashew processing state – proximity to skilled labor, supplier ecosystem
• Operational Efficiency: Existing modern facility vs greenfield setup – faster ramp-up, lower capex risk
• Capacity Utilization: Room for growth; second Vizianagaram facility will double capacity

3. Diversified Global Sourcing – India + 6 African Countries, Supply Security:

• India: Domestic RCN from Kerala, Karnataka, Andhra Pradesh, Odisha, Maharashtra
• Africa (6 Countries): Côte d’Ivoire (Ivory Coast), Ghana, Nigeria, Benin, Togo, Guinea-Bissau
• Risk Mitigation: Multi-country sourcing reduces dependency on single origin; crop failures in one region offset by others
• Quality Advantage: Africa produces high-quality, large-size cashews (W180, W210) commanding premium prices
• Cost Optimization: Direct procurement from origin countries eliminates middlemen, better pricing power
• Supply Continuity: Staggered harvesting seasons across geographies ensure year-round RCN availability
• 18 International Suppliers: Per trade data, diverse supplier base reducing single-supplier risk

4. Strong Institutional Client Base – Reliance, Haldiram, Bikanervala, More, Nutraj, Farmley:

• Reliance Retail: India’s largest retailer providing high-volume, stable demand
• Haldiram & Bikanervala: Leading Indian snack and sweets brands – cashew intensive products
• More Retail: Modern retail chain enabling consumer reach
• Nutraj & Farmley: Premium packaged dry fruit brands – quality-conscious partners
• Validation: Partnerships with reputed brands validate Pajson’s quality standards and reliability
• Sticky Relationships: Food brands require consistent quality; switching costs high once approved vendor
• Volume Assurance: Institutional contracts provide revenue visibility and capacity utilization
• UAE Exports: International credibility; FY25 exports to UAE signal export competency

5. Omnichannel Distribution – Wholesale, Institutional, Exports, B2C “Royal Mewa”:

• Four Revenue Verticals: Wholesale mandis, institutional B2B, exports, B2C brand – diversified income streams
• 71 Distributors: Pan-India network across 18 states, 3 Union Territories
• E-commerce Presence: Amazon, JioMart, Meesho – tapping online consumer demand
• Offline Retail: Traditional mandis and modern retail via distributor network
• B2C Brand “Royal Mewa” (2024 Launch): Premiumization strategy capturing higher margins (retail packs command 2-3X margins vs bulk)
• Risk Mitigation: No single channel dependency; wholesale slowdown offset by institutional or B2C growth
• Cross-Selling: Same distributors handling both bulk cashews and “Royal Mewa” brand

6. 100% Fresh Issue – Strong Promoter Confidence, No Exit Signal:

• No OFS: Entire ₹74.45 crore is fresh capital for company growth (zero promoter/investor exits)
• Promoter Commitment: Aayush Jain, Anjali Jain, Pulkit Jain not selling any stake – demonstrates belief in future growth potential
• Clean Capital Structure: No investor exits or dilution concerns
• Productive Allocation: All IPO proceeds benefit company (second facility at Vizianagaram, general corporate) vs going to promoters
• Alignment: Promoters retaining control post-IPO – interests aligned with minority shareholders for long-term value creation
• Growth Intent: Fresh issue validates aggressive expansion story

7. Industry Tailwinds – Growing Cashew & Dry Fruits Market, Health Consciousness:

• India Cashew Market: Expected to grow at 8-10% CAGR driven by rising disposable incomes, health awareness, snacking trends
• Dry Fruits Demand: Growing consumption in sweets, snacks, bakery, confectionery, direct consumption
• Health & Wellness: Cashews recognized for nutritional benefits (protein, healthy fats, vitamins, minerals) – health-conscious consumers
• Festive & Gifting: Dry fruits integral to Indian festivals, weddings, corporate gifting – seasonal demand spikes
• Export Potential: Global cashew market growing; India is world’s largest cashew processor and exporter
• By-Product Valorization: CNSL (Cashew Nut Shell Liquid) used in resins, paints, friction linings – industrial demand
• Make in India: Government support for agri-processing, export incentives (APEDA schemes)

Key Risks & Challenges

1. Very Limited Operating History – Incorporated 2021, Only 4 Years Operations:

• Incorporated September 2021: Pajson Agro India has operated only 4 years as corporate entity
• Track Record: Limited multi-year financial data to evaluate consistency, sustainability, management execution
• Scalability Unproven: FY25’s explosive 95% revenue, 509% PAT growth exceptional but needs validation over longer period
• Promoter Experience: While promoters claim industry knowledge, public disclosure of prior experience limited
• Risk: Young companies face higher failure rates; scalability, management depth, systems untested at larger scale
• Investor Caution: Limited history makes forecasting future performance challenging; past 4 years may not predict next 5-10 years

2. High Raw Material Price Volatility – RCN Prices Subject to Global Commodity Cycles:

• RCN Price Fluctuations: Raw Cashew Nut prices volatile based on crop yields, weather, global demand-supply, geopolitics
• Africa Dependency: 6 African countries account for significant RCN sourcing; political instability (coups, conflicts) disrupt supply
• Crop Failures: Droughts, floods, pests in cashew-growing regions (India, Africa) cause supply shocks and price spikes
• India Competition: India imports 60-70% of RCN needs; domestic processors compete for limited supply, bidding up prices
• Forex Risk: Africa RCN imports denominated in USD; INR-USD volatility impacts landed costs
• Limited Pricing Power: Cashew kernel prices relatively fixed by market; cannot fully pass RCN cost increases to buyers
• Margin Compression: Input cost inflation reduces gross margins if unable to raise prices; FY25 margins may not sustain if RCN costs spike

3. Intense Competition from Large Processors & Organized Players:

Large Organized Competitors:

• Olam Agro India (Olam International): Global agri-business giant, $45+ billion revenue, integrated cashew value chain, multiple facilities across India/Africa/Vietnam
• Agromonts Limited: Established cashew processor with export focus
• Cashew Ventures India: Large-scale processor serving domestic and export markets
• Kerala State Cashew Development Corporation (KSCDC): Government entity with processing units, brand presence (Kera)
• Ess Vee Cashew Company: Tamil Nadu-based processor with decades of legacy
• Malabar Cashews, Achal Industries: Regional players with established market share

Unorganized Sector:

• Thousands of small cashew processing units in Kerala, Karnataka, Andhra Pradesh
• Low overhead, cheaper pricing, manual labor-intensive operations

Competitive Pressures:

• Pajson’s ₹187 cr revenue vs Olam’s $45+ billion global operations – 2500X+ size gap
• Large players have global sourcing networks, multiple facilities, R&D capabilities, financial strength
• Olam ironically is Pajson’s source of acquired facility – competing against former owner with far greater resources
• Cashew processing commoditized at scale; limited differentiation beyond quality and pricing
• Institutional buyers (Reliance, Haldiram) have multiple approved vendors; switching costs moderate

4. Labor-Intensive Operations – 91.18% Women Workforce, Peeling/Grading Manual:

• 91.18% Women Employees (424 out of 465): Cashew peeling and grading primarily manual, female-dominated workforce
• Labor Availability: Coastal Andhra Pradesh has skilled cashew labor, but labor shortages during peak seasons possible
• Wage Inflation: Minimum wage increases in Andhra Pradesh directly impact operating costs
• Attrition: Manual labor sees high turnover; continuous training, recruitment costs
• Mechanization Limited: Cashew peeling technology not fully automated; maintaining quality requires human touch
• Scale Challenges: Doubling capacity (second facility) requires proportional workforce expansion – 900+ employees needed
• Compliance: Labor laws (Factories Act, minimum wages, ESI, PF) create regulatory burden

5. Client Concentration Risk – Reliance, Haldiram, Bikanervala Likely Major Revenue Contributors:

• Institutional Sales Vertical: Large clients like Reliance Retail, Haldiram, Bikanervala likely contribute 30-50% revenue (exact data in RHP)
• Loss of Major Client: If Reliance or Haldiram switches to another processor, material revenue impact
• Contract Nature: Institutional contracts typically annual renewals; no disclosed long-term agreements
• Pricing Pressure: Large buyers negotiate aggressively; margins compressed for volume
• Payment Terms: Institutional buyers demand 60-90 day credit; working capital strain
• Dependence Risks: While prestigious clients, concentration creates vulnerability

6. Geographic Concentration – Andhra Pradesh Operations, Single Facility Risk:

• Single Facility: Entire processing operations at Visakhapatnam, Andhra Pradesh (until second facility commissioned)
• Single Point of Failure: Fire, natural disaster, labor unrest, regulatory issues at Visakhapatnam halt all production
• Regional Risk: Andhra Pradesh-specific economic slowdown, political instability, policy changes impact operations
• Second Facility (Vizianagaram): Also in Andhra Pradesh – geographic diversification limited
• Pan-India Distribution but Regional Processing: While selling nationwide via 71 distributors, manufacturing concentrated in single state

7. SME Listing Challenges – Limited Liquidity, Lower Disclosure Standards:

• BSE SME Platform: Lower trading volumes than mainboard – liquidity constraints, difficulty exiting positions
• Institutional Disinterest: Large mutual funds, FPIs avoid SME stocks due to liquidity and regulatory constraints
• Price Discovery: Low volumes lead to high bid-ask spreads, valuation volatility
• Migration Timeline: Need ₹25 cr paid-up capital and profitability track record for mainboard migration – 3-5 year timeline post-IPO
• Disclosure Standards: SME quarterly reporting less stringent than mainboard – investors have limited visibility into performance
• Market Maker Dependency: Liquidity dependent on market maker (Giriraj Stock Broking) activity – if inactive, stock illiquid
• Exit Risk: Challenging to sell holdings during market downturns or company-specific issues

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Disclaimer

This information is based on publicly available sources including SEBI DRHP/RHP filings, company disclosures, news reports, and industry research. Investors should conduct their own research and consult with financial advisors before making investment decisions.

Past performance is not indicative of future results. The company reported exceptional financial performance (FY25: 95% revenue growth to ₹187.28 crore, 509% PAT growth to ₹20.42 crore, ROE 60.05%, ROCE 48.21%, PAT margin 10.90%), acquired modern Olam Agro India facility (₹18.25 crore, 295,990 sq.ft, 18,000 MT capacity), but faces significant risks including very limited operating history (incorporated 2021, only 4 years of operations), high raw material price volatility (RCN prices subject to global commodity cycles, forex risk), intense competition from larger processors (Olam, Agromonts, KSCDC with 2500X+ larger scale), labor-intensive operations (91.18% women workforce, manual peeling/grading), client concentration risk (Reliance, Haldiram, Bikanervala likely major contributors), geographic concentration (single facility in Andhra Pradesh until second Vizianagaram plant commissioned), and SME listing liquidity challenges. 100% fresh issue with no OFS indicates promoter confidence. Attractive valuation at P/E 9.9-10.11X. Investors must review detailed client concentration, RCN sourcing mix, working capital cycles, and scalability plans in RHP before applying. SME IPO investments carry higher risks including limited liquidity, lower disclosure standards, and price volatility. Grey Market Premium (GMP) not yet active / not reported.