Sheetal Universal Ltd IPO: Open/Close Date, Price, Lot Size, Allotment, Subscription

Q: What minimum lot size can retail investors subscribe to?

The lot size for the IPO is 2,000 shares .

IPO Details

Bidding Dates

03 Dec '23 - 05 Dec '23

Minimum Investment

₹140,000 / 1 Lots ( 2000 Shares )

Price Range

₹70

Maximum Investment

₹140,000 / 1 Lots ( 2000 Shares )

Retail Discount

Not Applicable

Issue Size

₹23.80 Cr

Investor category and sub category

Qualified Institutional Buyers | Retail Individual Investors | Non-institutional Investor |

IPO Dates

Important dates with respect to IPO allotment and listing

IPO Opening Date

Dec 3, 2023

IPO Closing Date

Dec 5, 2023

Basis of Allotment

Dec 6, 2023

Initiation of Refunds

Dec 7, 2023

Credit of Shares to Demat Account

Dec 7, 2023

IPO Listing Date

Dec 10, 2023

UPI Mandate Expiry Date

Dec 5, 2023

IPO Subscription Details

Date	NII	Retail	Total
Day 1Dec 3, 2023	3.56x	4.79x	4.69x
Day 2Dec 4, 2023	14.04x	22.77x	20.42x

IPO Subscription Live Status

Investor Category	Subscription (Times)
Non-Institutional Buyers	14.04
Retail Investors	22.77
Total	20.42

About Company

Sheetal Universal was incorporated with the object of sourcing, processing and supplying agricultural commodities like peanuts, sesame seeds, spices and grains to cater to the manufacturer of peanut butter, biscuits, cakes, chocolate and food products. The company also started building its own processing line for peanuts in FY 2017. The following year, they started processing sesame seeds and spices and added high-tech machinery for cleaning, destoning, gravity separator, and colour sorting. In addition to this, the company has 2 subsidiaries, which are processors and exporters of agricultural commodities like oil seed, grains, etc.

Over the years, the company has established a regular customer base in various countries such as the Russian Federation, Indonesia, Malaysia, Vietnam, UAE, Iran, Algeria, Israel, Turkey, Egypt, etc. Sheetal Universal is a member of the Agricultural and Processed Food Products Export Development Authority and the Indian Oil Seeds and Produce Export Promotion Council.

In the past 5 years, the Indian food processing industry has grown rapidly

with an average annual growth rate of 8.3% and it is expected to reach $535 billion by 2025-26. With a market size of $866 billion in 2022, the domestic food market is projected to grow at a rough CAGR of 8.01% between 2022 and 2027, reaching $1,274 billion. With both the food and food processing markets expected to grow significantly, Sheetal Universal can have an opportunity for sustained growth in the coming years.

Sheetal Universal Ltd IPO Details

Sheetal Universal Ltd IPO Date

The dates for bidding for the Sheetal Universal IPO are December 4, 2023, to December 6, 2023.

Sheetal Universal Ltd IPO Price Band

Sheetal Universal is a fixed price IPO. The exact price is ₹70 per share.

Sheetal Universal Ltd IPO Lot Size

The Sheetal Universal Ltd IPO lot size is 2,000 shares per lot.

Sheetal Universal Ltd IPO Objectives

The company proposes to use the net proceeds from the fresh issue towards:

Funding capital expenditures
Working capital requirements
General corporate purposes
To meet public issue expenses

Peer Details

The company does not have any listed peers.

How To Check the Allotment Status of the Sheetal Universal Ltd IPO?

A: Steps to check IPO allotment status on Angel One’s app:

Log in to the Angel One app.
Go to the IPO Section and then to IPO Orders.
Select the individual IPO that you had applied for and check the allotment status.
Angel One will notify you of your IPO allotment status via push notification and email.

Contact Details of Sheetal Universal Ltd

Registered office: Office No. 348, 2nd Floor, ISCON Mall, 150 Feet Ring Road, Rajkot - 360005, Gujarat, India.

Phone: +91 9099302638

E-mail: cs@sheetaluniversal.com

Company Financials

Particulars (₹ in lakh)	Year Ending on March 31, 2023	Year ending on March 31, 2022	Year ending on March 31, 2021
Total Income	13,165.68	3,983.67	3,883.53
Profit After Tax	198.85	28.31	25.41
Current Ratio	1.25	1.41	1.58
Return on Capital Employed	21.59%	6.99%	7.28%

Know before investing

Strengths

The company’s processing unit is located near Rajkot in Gujarat. Gujarat is a hub of peanuts, ground nuts, seeds, sesame, and chickpea production. It is also near the major ports of Mundra, Pipavav and Kandla. Therefore, the company has a locational advantage.
The promoters of the company have around 8 years of experience in this field and they have developed strong customer relationships over this period, including abroad.
In the near future, they are planning to set up a manufacturing facility to make defatted protein powder and extract cold press oil for the domestic market and export market. These new markets can be significant opportunities for growth in the future.

Risks

The company’s production costs depend on the price of agricultural commodities. These prices may fluctuate due to a wide variety of factors beyond their control, such as global supply and demand, supply of raw materials, weather, crop yields, and governmental regulation. This may affect the company’s profits and supply chain in the future.
Their top 10 suppliers contributed 31.28%, 43.75%, and 33.36% of their total purchases for the year ended on March 31, 2023, March 31, 2022 and March 31, 2021, respectively. This may indicate a significant degree of concentration of sources of raw material, which may pose a risk to the company’s supply chain.
The company does not have any long-term agreements with its customers. This may pose a risk to stable growth in the revenue of the company.