Rs 408.80 crore issue size: FMCG stock-Ganesh Consumer Products Ltd get listed on BSE & NSE below issue price!
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The QIB portion saw the highest subscription at 4.03 times, followed by retail investors at 1.17 times and Non-Institutional Buyers (NIIs) at 4.41 times.
✨ Key Takeaways
On Monday, shares of Ganesh Consumer Products Ltd marked their debut on stock exchanges, that is BSE and NSE. On BSE, the stock is listed at Rs 308.90 per share and on NSE, the stock is listed at Rs 308.70 per share. The IPO was oversubscribed 2.68 times overall. The QIB portion saw the highest subscription at 4.03 times, followed by retail investors at 1.17 times and Non-Institutional Buyers (NIIs) at 4.41 times.
The issue, which includes a Rs 130 crore fresh issue and a Rs 278.80 crore Offer for Sale (OFS), aims to raise a total of Rs 408.80 crore. The proceeds from the fresh issue will primarily be allocated towards repaying Rs 60 crore of borrowings, setting up a gram/roasted gram facility (Rs 45 crore), and for general corporate purposes.
Ganesh Consumer Products Ltd is an eastern-India-focused packaged foods company manufacturing and marketing staples like wheat-based products (atta, maida), cereal products (poha, daliya), and spices across West Bengal, Bihar, Jharkhand, Odisha, and Assam. The company has demonstrated strong revenue growth, posting an ∼18 per cent CAGR over FY23–FY25 to reach Rs 850.46 crore in FY25, with Net Profit rising to Rs 35.43 crore. This growth is underpinned by the expected rapid expansion of India's packaged foods market, which is projected to grow at a 10–12 per cent CAGR by FY30, driven by the shift from loose to branded products—a key Opportunity for Ganesh.
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Despite its strong regional brand and superior profitability metrics (FY25 ROE of 15.8 per cent and ROCE of 19 per cent) compared to peers, the company faces Weaknesses like EBITDA margins remaining below 6 per cent and exposure to raw-material price volatility. At the upper price band of Rs 322, the stock is valued at 36.7x its FY25 EPS, appearing relatively stretched when compared to Adani Wilmar (27.1x P/E) but lower than Patanjali Foods (50.1x P/E).
Disclaimer: The article is for informational purposes only and not investment advice.