In a flavorful entry into the public markets, Leo Dry Fruits and Spices Trading Limited, the force behind popular brands "VANDU" and "FRYD", is spicing up the investment landscape with its ₹25.12 crore IPO. This fresh issue of 48.30 lakh shares marks an exciting opportunity for investors to participate in India's growing premium food segment. The company's imminent debut on the BSE SME platform, scheduled for January 8, 2025, follows a brief but intense subscription window from January 1-3, 2025.
With equity shares carrying a face value of ₹10 and priced attractively between ₹51-52, Leo Dry Fruits has structured its offering to appeal to both retail and high-net-worth investors. The entry ticket is set at ₹104,000 for retail investors (2,000 shares per lot), while HNIs can start their investment journey at ₹208,000 (2 lots). As India's appetite for premium dry fruits and spices continues to grow, don't miss this opportunity to add a dash of flavor to your investment portfolio.
Leo Dry Fruits and Spices Trading Limited IPO is a fundraise worth ₹25.12 crores comprising purely of a fresh issue with 246,000 shares reserved for the market maker Rikhav Securities Limited. Qualified Institutional Buyers are being offered not more than 50% of the net issue, retail investors are being offered not less than 35% of the net issue and Non-Institutional Investors (NIIs) / High Net-worth Individuals (HNIs) are being offered not less than 15% of the net issue. The IPO will be available for subscription from January 1, 2025, to January 3, 2025, providing an opportunity for investors looking to gain a stake in the lucrative dry fruits and spices trading segment.
| Leo Dry Fruits and Spices Trading IPO Date | January 1, 2025 - January 3, 2025 |
| Price Band | ₹51 to ₹52 per share |
| Face Value | ₹10 per share |
| Lot Size | 2000 shares |
| Issue Type | Book Built Issue IPO |
| Fresh Issue Size | 48,30,000 shares worth ₹25.12 crores |
| Total Issue Size | 48,30,000 shares worth ₹25.12 crores |
| Listing at | BSE SME |
| Market Maker Portion | 246,000 - Rikhav Securities Ltd |
| Share Holding Post Issue | 1,78,91,440 |
| Share Holding Pre Issue | 1,30,61,440 |
The Leo Dry Fruits and Spices Trading Limited IPO opens for subscription on January 1, 2025, and closes on January 3, 2025, with allotment scheduled for January 6, 2025.
| IPO Open Date | January 1, 2025 (Wednesday) |
| IPO Close Date | January 3, 2025 (Friday) |
| Basis of Allotment | January 6, 2025 (Monday) |
| Initiation of Refunds | January 7, 2025 (Tuesday) |
| Credit of Shares to Demat Account | January 7, 2025 (Tuesday) |
| Listing Date on BSE SME | January 8, 2025 (Wednesday) |
| Cut-off Time for UPI Mandate Confirmation | 5 PM on January 3, 2025 (Friday) |
Leo Dryfruits & Spices Trading Limited, established in November 2019, manufactures and trades spices and dry fruits under the “VANDU” brand, along with frozen and semi-fried products under “FRYD”. The company's product range includes whole and blended spices, roasted and flavoured dry fruits, ghee, seasonings, and various grocery items. With its manufacturing unit located in Thane, Maharashtra, the company operates through two main verticals: Trading of Products and Manufacturing and Processing of Spices.
The company serves multiple market segments through three distinct channels: B2B wholesale of bulk spices and dry fruits to traders, B2C sales of “VANDU” branded products through distributors and e-commerce platforms, and D2C sales directly to customers via their website and online partners like Amazon and Flipkart. As of September 2024, the company maintains a workforce of approximately 46 permanent employees.
The company plans to use the net proceeds from the IPO for three main purposes: to fund its working capital requirements, invest in branding, advertising and marketing activities, and address general corporate needs.
The Leo Dry Fruits and Spices Trading Limited IPO has caught the eyes of investors as the company reportedly saw an annual rise of 71% in its revenue and 83% yearly increase in the Profit After Tax (PAT), during the financial year ended March 31, 2024.
As of March 31, 2024, the key performance indicators reflect the company's financial health with a Return on Equity (RoE) of 34.12%, Return on Capital Employed (ROCE) of 33.52% and a Debt-to-Equity ratio of 0.27. The Return on Net-Worth (RoNW) stands at 19.58%, and the PAT Margin was 10.68%. The Price to Book Value was 1.95. The company’s market capitalisation is ₹93.04 crores.
| Period Ended | September 30, 2024 | March 31, 2024 | March 31, 2023 | March 31, 2022 |
| Revenue | 1,788.24 | 6,226,51 | 3,646.83 | 526.54 |
| Assets | 6,988.78 | 5,234.95 | 2,664.01 | 1,198.64 |
| Net Worth | 3,577.44 | 3,390.26 | 499.91 | 136.45 |
| Profit After Tax | 187.18 | 663.69 | 363.46 | 7.9 |
| Reserves & Surplus | 2,271.29 | 2,084.12 | 370.41 | 6.95 |
| Total Borrowing | 1,670.06 | 914.64 | 1,537.13 | 601.00 |
The pre-IPO EPS is at ₹5.08 while the post-IPO EPS will be ₹3.71. Similarly, the pre-IPO Price to Earnings ratio is 10.23 and will become 14.02 post-IPO.
Leo Dryfruits & Spices Trading Limited benefits from experienced promoters and a skilled management team that brings deep industry expertise to the table. The company has built a diverse product portfolio spanning spices, dry fruits, ghee, and frozen items under its VANDU and FRYD brands, serving various customer segments through B2B, B2C, and D2C channels. Their in-house manufacturing and processing capabilities in Thane ensure quality control and operational efficiency.
The company has successfully developed brand equity over the years and established a widespread customer base across different segments. Their multi-channel approach through distributors, super stockists, and e-commerce platforms like Amazon and Flipkart provides multiple revenue streams and market penetration opportunities. The combination of own manufacturing capabilities and trading operations allows them to maintain both quality control and market flexibility.
The company faces several significant challenges, primarily its heavy reliance on key personnel and promoters for business success. They operate in a highly competitive and fragmented market, with limited geographical reach as their operations are heavily concentrated in Maharashtra. The company's dependence on third-party suppliers for certain products like ghee and flavored dry fruits exposes them to supply chain risks, while fluctuating raw material prices can impact profit margins.
Furthermore, as a relatively new player in the market with their first public issue, they face market variability and liquidity risks. The company has experienced negative cash flows in the recent past, and their compliance requirements with stringent food and consumer goods regulations pose ongoing operational challenges. Their modest workforce of approximately 46 permanent employees may limit large-scale expansion opportunities, and their heavy reliance on e-commerce platforms for direct customer engagement makes them vulnerable to changes in digital marketplace dynamics.
Investing early in Leo Dry Fruits and Spices Trading Limited's IPO could let you benefit from the company's potential growth in the dry fruits and spices sector. Before investing, you should carefully evaluate the company's past performance and operational history, their current financial position and stability, market conditions and industry trends in the dry fruits and spices trade, and their plans for expansion and future strategy. Take time to read through the IPO offer document and consider consulting a financial advisor to determine if this investment aligns with your financial goals and risk tolerance.
What is the Leo Dry Fruits and Spices Trading IPO?
The Leo Dry Fruits and Spices Trading Limited IPO is an BSE SME offering consisting of 48.30 lakh equity shares with a face value of ₹10, aiming to raise to ₹25.12 crore. The price band has been set between ₹51 to ₹52 per share, with a minimum order quantity of 2,000 shares. This IPO will be open for subscription from January 1, 2025, to January 3, 2025. Shreni Shares Limited is the book-running lead manager, Bigshare Services Private Limited is the registrar while Rikhav Securities Limited is the market maker.
When will the Leo Dry Fruits and Spices Trading IPO open?
The Leo Dry Fruits and Spices Trading Limited IPO will open for subscription on January 1, 2025, and will close on January 3, 2025.
When is the Leo Dry Fruits and Spices Trading IPO listing date?
The tentative listing date for the Leo Dry Fruits and Spices Trading Limited IPO is Wednesday, January 8, 2025.
For android only