Bikaji Foods International Limited is one of India’s largest fast-moving consumer goods (“FMCG”) brands. The company’s product range includes six principal categories: bhujia, namkeen, packaged sweets, papad, western snacks as well as other snacks which primarily include gift packs (assortment), frozen food, mathri range and cookies. In the six months that ended June 30, 2022, the company sold more than 300 products under the Bikaji brand.
The company was the largest manufacturer of Bikaneri bhujia with an annual production of 29,380 tonnes, and we were the second largest manufacturer of handmade papad with an annual production capacity of 9,000 tonnes in Fiscal 2022. The company has an international footprint, selling Indian snacks and sweets, and is among the fastest-growing companies in the Indian organised snacks market.
The company has over the years established market leadership in the core states of Rajasthan, Assam and Bihar with an extensive reach. It has gradually expanded its footprint across India, with operations across 23 states and three union territories as of June 30, 2022.
In the six months ended June 30, 2022, The company has exported the products to 21 international countries, including North America, Europe, the Middle East, Africa, and Asia Pacific, representing 3.20% of our sales of food products in such period.
Bikaji Foods International Limited has six operational manufacturing facilities that are operated by us, with four facilities located in Bikaner (Rajasthan), one in Guwahati (Assam), one facility in Tumakuru (Tumkur) (Karnataka) held through the subsidiary Petunt Food Processors Private Limited to cater to the southern markets in India.
Strenghts:
- Well-established brand with pan-India recognition.
- Diversified product portfolio focused on various consumer segments and markets.
- Strategically located, large-scale sophisticated manufacturing facilities with stringent quality standards.
- Extensive pan-India and global distribution network, arrangements with reputed retail chains and growing eCommerce and exports channel.
- Extensive distribution network in India.
- Strategic arrangements with retail chains in India and international markets.
- Growing e-commerce channel.
- Significant multi-product export sales.
Company Financials
| Period Ended | Total Assets(Crore) | Total Revenue(Crore) | Profit After Tax(Crore) | Net Worth(Crore) | Total Borrowing(Crore) |
|---|---|---|---|---|---|
| 31-Mar-19 | 630.9 | 910.65 | 50.93 | 469.77 | 72.31 |
| 31-Mar-20 | 676.64 | 1082.9 | 56.37 | 529.16 | 52.3 |
| 31-Mar-21 | 817.15 | 1322.21 | 90.34 | 604.1 | 86.15 |
| 30-Jun-21 | 871.96 | 337.08 | 12.41 | 618.45 | 101.13 |
| 31-Mar-22 | 1102.13 | 1621.45 | 76.03 | 819.26 | 141.23 |
| 30-Jun-22 | 1146.28 | 423.82 | 15.7 | 834.8 | 156.39 |
Objects of the Issue
The Selling Shareholders will be entitled to the entire proceeds of the Offer after deducting the Offer expenses and relevant taxes thereon. The Company will not receive any proceeds from the Offer.
Bikaji Foods IPO Details
| IPO Date | Nov 3, 2022 to Nov 7, 2022 |
| Listing Date | [.] |
| Face Value | ₹1 per share |
| Price | ₹285 to ₹300 per share |
| Lot Size | 50 Shares |
| Issue Size | 29,373,984 shares of ₹1 (aggregating up to ₹881.22 Cr) |
| Offer for Sale | 29,373,984 shares of ₹1 (aggregating up to ₹881.22 Cr) |
| Employee Discount | 15 |
| Issue Type | Book Built Issue IPO |
| Listing At | BSE, NSE |
| QIB Shares Offered | Not more than 50% of the Net Offer |
| NII (HNI) Shares Offered | Not less than 15% of the Net Offer |
| Retail Shares Offered | Not less than 35% of the Net Offer |
| Company Promoters | Shiv Ratan Agarwal, Deepak Agarwal, Shiv Ratan Agarwal (HUF) and Deepak Agarwal (HUF) are the company promoters. |
Bikaji Foods IPO Tentative Timetable
Bikaji Foods IPO opens on Nov 3, 2022, and closes on Nov 7, 2022. The Bikaji Foods IPO bid date is from Nov 3, 2022 10.00 A.M. to Nov 7, 2022 5.00 P.M. The Cut-off time for UPI Mandate confirmation is 5 PM on the issue closing day.
| Event | Tentative Date |
|---|---|
| Opening Date | Nov 3, 2022 |
| Closing Date | Nov 7, 2022 |
| Basis of Allotment | Nov 11, 2022 |
| Initiation of Refunds | Nov 14, 2022 |
| Credit of Shares to Demat | Nov 15, 2022 |
| Listing Date | Nov 16, 2022 |
Bikaji Foods IPO Lot Size
The Bikaji Foods IPO lot size is 50 shares. A retail-individual investor can apply for up to 13 lots (650 shares or ₹195,000).
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (Min) | 1 | 50 | ₹15,000 |
| Retail (Max) | 13 | 650 | ₹195,000 |
| S-HNI (Min) | 14 | 700 | ₹210,000 |
| B-HNI (Min) | 67 | 3,350 | ₹1,005,000 |
Bikaji Foods IPO Promoter Holding
| Pre Issue Share Holding | 77.97% |
| Post Issue Share Holding | 75.96% |
Bikaji Foods IPO Review
BFIL is one of the largest organized namkeen snacks and sweets manufacturing and marketing companies. It has posted declined margins for FY22 on higher sales in line with the general trends of the industry. Sustainability of such margins going forward amidst stiff competition raise concerns. Based on its FY23 annualized earnings, the issue is aggressively priced. Well-informed, cash surplus/risk seekers may consider parking funds in this issue.
Bikaji Foods IPO Subscription Status (Bidding Detail)
The Bikaji Foods IPO is subscribed 1.48 times on Nov 4, 2022 5:00:00 PM. The public issue subscribed 2.33 times in the retail category, 0.03 times in the QIB category, and 1.42 times in the NII category.
| Category | Subscription (times) |
|---|---|
| QIB | 0.03 |
| NII | 1.42 |
| bNII (bids above ₹10L) | 1.04 |
| sNII (bids below ₹10L) | 2.17 |
| Retail | 2.33 |
| Employee | 1.41 |
| Total | 1.48 |
Company Contact Information
Bikaji Foods International Limited
F 196-199,
F 178 & E 188 Bichhwal Industrial Area,
Bikaner – 334 006
Phone: +91 151 – 2250350
Email: cs@bikaji.com
Website: https://www.bikaji.com/
Bikaji Foods IPO Registrar
Link Intime India Private Ltd
Phone: +91-22-4918 6270
Email: bikaji.ipo@linkintime.co.in
Website: https://linkintime.co.in/