Kaneri Agro Industries IPO Review, Allotment, Subscription, GMP & DRHP
Last Updated Date: Nov 17, 2022Kaneri Agro Industries Limited is engaged in the business of cleaning and grading of wheat i.e. processing raw wheat, rice paddy and raw rice. The Company is also involved in trading of grains majorly rice paddy.
Let’s have a detailed review of the company and analytics of the Kaneri Agro Industries IPO release date, IPO offer price, subscription, Kaneri Agro Industries IPO allotment, grey market price and other details like the company’s background, its financial positions, its promoters and other related things.
Kaneri Agro Industries IPO Review & Ratings
| IPO Ratings & Review | |
| Criteria | Ratings |
| Industry Sentiments | 7.6/10 |
| Industry Ranking | 7.8/10 |
| Company Background | 7.9/10 |
| Company Reputation | 7.9/10 |
| Competitive Edge | 7.7/10 |
| Financial Statements | 7.8/10 |
| Popularity Index | 7.4/10 |
| Promoters Reputation | 7.7/10 |
| Retail Appetite | 7.9/10 |
| Top Brokers Review | 7.6/10 |
| Overall Ratings | 7.7/10 |
| Star Ratings | ★★★★☆ |
Summary of Kaneri Agro Industries IPO
Kaneri Agro Industries Limited is engaged in the business of cleaning and grading of wheat ie; processing raw wheat, rice paddy and raw rice. The Final products, i.e. Wheat and Rice are sold directly to whole sellers and to flour millers. The Company is also involved in trading of grains majorly rice paddy. The Public Issue of 2700000 Equity Shares of Rs. 10/- each at Rs. 30/- per Equity Share including share premium of Rs. 20/- per Equity Share aggregating to Rs. 810.00 Lakh.
From FY 2015-16 to FY 2017-2018, as per the Restated Financial Statements,
- The total income for the period April 01, 2018 to September 10, 2018 and September 11, 2018 to December 31, 2018 is Rs. 4,556.25 Lakhs and Rs. 3,205.86 Lakhs respectively which includes revenue from operations i.e. revenue from cleaning and sorting of wheat and rice and trading of paddy, amounting to Rs. 4,553.53 and Rs. 3,203.91 and other income Rs. 0.72 Lakhs and Rs. 1.94 Lakh for the period April 01, 2018 to September 10, 2018 and September 11, 2018 to December 31, 2018 respectively.
- The net asset value per Equity Share was Rs. 10 42 and Rs. 11.63 as of Dec 30, 2018 and March 31, 2018, respectively, as per the Restated Financial Statements.
- The net worth of the Company was Rs. 760.69 lakhs and Rs. 848.68 lakhs as of Dec 30, 2018 and March 31, 2018, respectively, as per the Restated Financial Statements.
- Profit after Tax was Rs. 25.22 Lakhs and Rs. 40.98 Lakhs for period April 01, 2018 to September 10, 2018 and September 11, 2018 to December 31, 2018 respectively. The Company recorded Profit after Tax margin of 0.55% and 1.26% of total revenue of the Company during said periods.
The Promoters of this company are Mr. Ritesh Kaushikbhai Patel, Mr. Nileshkumar Kaushikbhai Patel and Mrs. Palak Ritesh Patel. The lead manager of the issue is Beeline Broking Limited and the Registrar to this issue is Link Intime India Private Limited.
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Kaneri Agro Industries IPO Date
The opening and the closing date of Kaneri Agro Industries IPO is not known yet.
Kaneri Agro Industries IPO Subscription
| Day / Date | QIB | NII | RII | Total Subscription |
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| Shares Offered or Net Issue |
The shares subscribed by the public will be updated herein on a daily basis, once the IPO is open for subscription.
Kaneri Agro Industries IPO Allotment Status
Here, you can find the Allotment Status of this IPO.
Kaneri Agro Industries IPO Price Band
The price at which the Equity Shares are being issued by the Company through this Draft Prospectus, being Rs. 30/-.
Kaneri Agro Industries IPO Equity Share Offering
The Public Issue of 2700000 Equity Shares of Rs. 10/- each at Rs. 30/- per Equity Share including share premium of Rs. 20/- per Equity Share aggregating to Rs. 810.00 Lakh.
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Kaneri Agro Industries Limited – Company Overview
It was originally formed as Partnership firm in the name and style of “Ameedhara Industries” through partnership deed dated January 31, 2003 under Partnership Act, 1932 at Ahmedabad. Consequently, the Partnership Firm was converted into Public Limited Company – “Kaneri Agro Industries Limited” on September 11,2018.
Kaneri Agro Industries Business
It is in the business of cleaning and grading of wheat ie; processing raw wheat, rice paddy and raw rice. The Final products, i.e. Wheat and Rice are sold directly to whole sellers and to flour millers. The Company is also involved in trading of grains majorly rice paddy.
Unit I, the firm had an installed capacity of cleaning and grading of wheat upto 72 Tonne per day. Sortex machine was installed with an installed capacity of 72 Tonne per day of colour wise sorting of cleaned graded wheat into two categories i.e.:
i) Acceptable – Brown and Golden colour wheat
ii) Non Acceptable – Green, Black, Red, White colour wheat.
Unit II was commenced by installing new sortex machine with an installed capacity of cleaning and sorting of wheat upto 108 Tonne per day. The aggregate capacity of cleaning, grading and sorting of wheat reached upto 180 Tonne per day.
Their business model is B2B (Business to Business Basis). The company possesses quality certification of ISO 9001:2005, their strength lies in maintaining quality of products, understanding the requirement of the customers and the execution capabilities.
Competitive Strengths of Kaneri Agro Industries Limited:
- Strategic Location of their processing unit ensures timely and speedy availability of raw material
- Installed Capacity, Cost effective production and timely fulfillment of orders
- Leveraging the experience of their Promoters
Business strategies of Kaneri Agro Industries Limited:
- Geographical expansion of their presence in the Indian market
- Quality of the products
- To build-up a professional organization
- Continue to maintain strong relationships with their Customers
Kaneri Agro Industries Limited – Financial Statements
A quick look into the past financial performance of the company to understand its performance of business and evaluate the growth prospectus:
Financial Summary:
On the basis of statement:-
| Amount (in INR & lakhs) | |||||
| 31-Dec-18 | 30-Aug-18 | 31-Mar-18 | 31-Mar-17 | 31-Mar-16 | |
| Total Assets | 5,071.05 | 4,922.77 | 4,127.82 | 3,679.21 | 3,431.46 |
| Total Revenue | 3,205.86 | 4,556.25 | 10,541.09 | 9,400.07 | 8,268.10 |
| Total Expense | 3,147.38 | 4,519.80 | 10,465.88 | 9,358.37 | 8,254.85 |
| Profit After Tax | 40.50 | 25.22 | 51.85 | 27.86 | 20.39 |
Earnings per Equity Share (in lakhs)
| 31-Aug-18 | 31-Dec-18 | 31-Mar-18 | 31-Mar-17 | 31-Mar-16 | |
| Basic & Diluted | 0.55 | 0.35 | 0.71 | 0.38 | 0.28 |
From the above statements, one could find that the Kaneri Agro Industries Limited may perform well.
Kaneri Agro Industries IPO – Promoters
The Promoters of this company are:
- Ritesh Kaushikbhai Patel
- Nileshkumar Kaushikbhai Patel,
- Palak Ritesh Patel
List of Related Parties (Key Managerial Personnel)
- Ms. Asha Rameshwarlal Jain – Company Secretary & Compliance Officer
- Mrs. Nidhi Nileshkumar Patel – Chief Finance Officer
Interest in promotion of the Company
Company is currently promoted by the Promoters in order to carry on its present business. Promoters are interested in the Company to the extent of their shareholding and directorship of the Individual Promoter in the Company and the dividend declared, if any, by the Company. The Promoters are interested in the transactions entered into the Company and the Promoter Group.
Property Interest
The promoters along with the promoter group will continue to hold collectively some percentage of the equity share capital of the company. As a result of the same, they will be able to exercise significant influence over the control of the outcome of the matter that requires approval of the majority shareholders vote.
Interest in Intellectual Rights of the Company
Promoters has not shown any interest in acquiring the intellectual rights of the company.
Kaneri Agro Industries IPO Offer Details or Issue Details
| Particulars | No. Of Equity Shares |
| Equity Shares Offered | 2700000 Equity Shares of Rs. 10/- each at an Issue Price of Rs. 30/- each aggregating to Rs. 810.00 Lakh |
| Of which: | |
| Reserved for Market Makers | 140000 Equity Shares of Rs. 10/- each at an Issue Price of Rs. 30/- each aggregating to Rs. 42.00 Lakh |
| Net Issue to the Public | 2560000 Equity Shares of Rs. 10/- each at an Issue Price of Rs. 30/- each aggregating to Rs. 768.00 Lakh |
| Of which: | |
| Retail Investors Portion | 1280000 Equity Shares of Rs. 10/- each at an Issue Price of Rs. 30/- each aggregating to Rs.384.00 Lakh |
| Non-Retail Investors Portion | 1280000 Equity Shares of Rs. 10/- each at an Issue Price of Rs. 30/- each aggregating to Rs. 384.00 Lakh |
| Equity Shares outstanding prior to the Issue | 7300000 Equity Shares |
| Equity Shares outstanding after the Issue | Upto 10000000 Equity Shares of face value of Rs. 10 each |
Kaneri Agro Industries IPO Issue Object
These are the IPO Issue Objects of the company
- Funding the Working Capital requirements of the Company:
- Repayment/ pre-payment of certain unsecured loans availed from banks and financial institutions by the company; and
- General Corporate Purposes
Kaneri Agro Industries IPO – Basis of the Offer Price
The issue price is determined by the company in consultation with the Lead manager on the basis of the following qualitative and quantitative factors.
Qualitative factors are:
- Strategic Location of the processing unit ensures timely and speedy availability of raw material
- Installed Capacity, Cost effective production and timely fulfillment of orders
- Leveraging the experience of the Promoters
The relevant quantitative factors are:
On the basis of standalone statement:-
| Basic & Diluted EPS | RONW in % | NAV (Rs.) | |
| 31-Mar-16 | 0.28 | 3.55 | – |
| 31-Mar-17 | 0.38 | 3.45 | – |
| 31-Mar-18 | 0.71 | 6.11 |
11.63 |
- Price to Earnings (P/E) ratio in relation to Issue Price of Rs. 30:
| Particulars | P/E ratio |
| Based on EPS of Financial Year ended March 31, 2018 | 42.24 |
| For the period September 11, 2018 to December 31, 2018* | 54.07 |
| For the period April 01, 2018 to September 10, 2018 * | 86.84 |
- Competitive Peers:
| Sr. No. | Particulars | Face Value (in Rs.) | Basic EPS (In Rs.) | P/E Ratio | RONW (%) | NAV (In Rs.) |
| 1 | Kaneri Agro Industries Limited | 10 | 0.71 | 42.24 | 6.11 | 11.63 |
| 2 | AKG Exim Limited^ | 10 | 2.11 | 15.88 | 8.39 | 25.15 |
| 3 | Sarveshwar Foods Limited^ | 10 | 5.74 | 5.25 | 9.91 | 43.34 |
| 4 | Mishtann Foods Limited^ | 10 | 1.81 | 25.70 | 14.76 | 12.26 |
Kaneri Agro Industries IPO Lead Managers
| Lead Managers |
| BEELINE BROKING LIMITED SEBI Registration Number: INM000012546 Address: Office No. 1 To 3,Vishwa Complex, First Floor, Opp. Jain Derasar, Navrangpura, Ahmedabad – 380 009 Telephone Number: +91 79 6817 4040 Email Id: mb@beelinebroking.com Investors Grievance Id: ig@beelinebroking.com Website: www.beelinebroking.com Contact Person: Mrs. Khushbu Shah, Director CIN: U51900GJ2014PLC080598 |
Kaneri Agro Industries IPO Registrar to offer
| Registrar to the Offer |
| LINK INTIME INDIA PRIVATE LIMITED SEBI Registration Number: INR000004058 Address: C-101, 1st Floor, 247 Park, Lal Bahadur Shastri Marg, Vikhroli (West), Mumbai – 400 083, Maharashtra Tel. Number: +91 22 4918 6200; Fax Number: +91 22 4918 6195 Email Id: kaneri.ipo@linkintime.co.in Investors Grievance Id: kaneri.ipo@linkintime.co.in Website: www.linkintime.co.in Contact Person: Ms. Shanti Goapalkrishnan CIN: U67190MH1999PTC118368 |
Other Details:
- Statutory Auditor – M/s. Mukeshkumar Jain & Co., Ahmedabad.
- Peer Review Auditor – M/s. Mistry & Shah, Chartered Accountants.
- Bankers to the Company – N.A.
Kaneri Agro Industries IPO Review by Top 10 Stock Brokers
| Top Stock Brokers Review | Company Reputation | Competitive Edge | Financial Statement | Popularity Index | Promoters Reputation |
| Angel Broking | 7.5/10 | 7.4/10 | 8.5/10 | 8.1/10 | 7.1/10 |
| Sharekhan | 7.2/10 | 7.1/10 | 8.6/10 | 8.1/10 | 7.2/10 |
| Kotak Securities | 7.3/10 | 7.5/10 | 8.4/10 | 8.1/10 | 7.3/10 |
| ICICI Direct | 7.3/10 | 7.3/10 | 8.7/10 | 8.1/10 | 7.1/10 |
| IIFL | 7.5/10 | 7.2/10 | 8.8/10 | 8.0/10 | 7.1/10 |
| Edelweiss | 7.5/10 | 7.4/10 | 8.4/10 | 8.3/10 | 7.2/10 |
| Zerodha | 7.4/10 | 7.1/10 | 8.5/10 | 8.1/10 | 7.0/10 |
| 5Paisa | 7.1/10 | 7.1/10 | 8.4/10 | 8.1/10 | 7.1/10 |
| Karvy | 7.4/10 | 7.3/10 | 8.2/10 | 8.1/10 | 7.1/10 |
| Motilal Oswal | 7.1/10 | 7.1/10 | 8.6/10 | 8.3/10 | 7.2/10 |
Kaneri Agro Industries IPO Grey Market Premium
The Kaneri Agro Industries IPO Grey Market Premium price is Rs X, the Kostak rate is Rs X and the Subject to Sauda is X.
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Kaneri Agro Industries IPO News
News 1 – IPO ISSUE OPENS SOON [Download Prospectus]
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