M.V.K. Agro Food Product Ltd IPO Timeline

M.V.K. Agro Food Product Ltd IPO opens on 29-Feb-2024, and closes on 04-Mar-2024. The M.V.K. Agro Food Product Ltd IPO bid date is from 29-Feb-2024 to 04-Mar-2024. The Cut-off time for UPI Mandate confirmation is 12 P.M. on the next day of issue closing day.

Event Date
M.V.K. Agro Food Product Ltd IPO Opening Date 29-Feb-2024
M.V.K. Agro Food Product Ltd IPO Closing Date 04-Mar-2024
Basis of Allotment 05-Mar-2024
Initiation of Refunds 06-Mar-2024
Credit of Shares to Demat 06-Mar-2024
M.V.K. Agro Food Product Ltd IPO Listing Date 07-Mar-2024

M.V.K. Agro Food Product Ltd IPO Lot Size

M.V.K. Agro Food Product Ltd IPO lot size is 1200 shares. A retail-individual investor can apply for up to 1 lots (1200 shares or 144000).

Application Lots Shares Amount
Minimum 1 1200 ₹144000
Maximum 1 1200 ₹144000

M.V.K. Agro Food Product Ltd IPO Details

M.V.K. Agro Food Product Ltd IPO Date 29-Feb-2024 to 04-Mar-2024
M.V.K. Agro Food Product Ltd IPO Face Value Shares of ₹10 per share
M.V.K. Agro Food Product Ltd IPO Price ₹120 per share
M.V.K. Agro Food Product Ltd IPO Lot Size 1200
Issue Size Shares of ₹10 (aggregating up to ₹65.88 Cr)
Fresh Issue Shares of ₹10 (aggregating up to ₹65.88 Cr)
Offer for Sale -
Issue Type Fixed Price - SME
Listing At NSE - SME
QIB Shares Offered -
Retail Shares Offered -
NII (HNI) Shares Offered -
Company Promoters Marotrao Vyankatrao Kawale, Ganeshrao Vyankatrao Kawale, Kishanrao Vyankatrao Kawale.

Objects of the Issue

The company proposes to utilise the Net Proceeds from the Fresh Issue towards funding the following objects:

  • 1 Setting up a greenfield unit in Nanded Maharashtra for Mfg Ethanol & Generation and Bottling of Bio CNG and Fertilizer
  • 2 General Corporate Purposes

Company Financials

M.V.K. Agro Food Product Ltd Financial Information (Restated)

Period Ended Total Assets Total Revenue Profit After Tax
03-2024 270.92 125.13 7.16
03-2023 154.72 93.94 3.77
03-2022 116.02 132.64 3.20
Amount in ₹ Crore
  • Wide range of products.
  • Integrated operations and economies of scale.
  • Strategic location of its manufacturing unit.
  • Cordial and strong relationships with sugarcane farmers.
  • Captive Power plant.
  • Existing client relationships.
  • Quality Assurance and Quality Control of our products.
  • Well experienced management team with proven project management and implementation skills.
  • The company cannot assure you that the manufacturing unit proposed to be set up by it will become operational as scheduled, or at all, or operate as efficiently as planned. If the company is unable to commission its new manufacturing unit in a timely manner or without cost overruns, it may adversely affect its business, results of operations and financial condition.
  • As on date the company has not obtained any of the approvals, clearances and permissions as may be required from the relevant authorities for the proposed manufacturing unit. In the event the company is unable to obtain such approvals and permits, its business, results of operations, cash flows and financial condition could be adversely affected.
  • The Company has limited experience of manufacturing Ethanol and Bio-CNG and Fertilizer. Hence, the company have limited exposure in manufacturing products outside of its existing product portfolio, which may make it difficult to evaluate its past performance and prospects with respect to the same.
  • The company cannot assure that its shall be able to utilize its proposed manufacturing unit to its full capacity or up to an optimum capacity, and non-utilisation of the same may lead to loss of profits or can result in losses, and may adversely affect its business, results of operations and financial condition.
  • There can be no assurance that the objects of the Issue will be achieved within the time frame anticipated or at all, or that the deployment of the Net Proceeds in the manner intended by it will result in any increase in the value of your investment. Further, the plan for deployment of the Net Proceeds has not been appraised by any bank or financial institution.
  • The Company is yet to place orders for 100% of the plant and machinery. Any delay in placing orders or procurement of such plant and machinery, may further delay the schedule of implementation and increase the cost of commissioning the manufacturing unit.
  • The company depends on its domestic brokers and export-oriented commodity traders for a significant portion of its revenue, and any decrease in revenues or sales from any one of its key intermediaries may adversely affect its business and results of operations.
  • Its business is subject to seasonal variations that could result in fluctuations in our results of operations.
  • Sugarcane is the principal raw material used for the production of sugar. Its business depends on the availability of sugarcane and any shortage of sugarcane may adversely affect its business and results of operations.
  • The improper handling, processing or storage of raw materials or products, or spoilage of and damage to such raw materials and products, or any real or perceived contamination in its products, could subject it to regulatory and legal action, damage its reputation and have an adverse effect on the company business, results of operations and financial condition.
  • The company derives a significant portion of its revenue from its sugar segment and any reduction in demand or in the production of this product could have an adverse effect on its business, results of operations and financial condition.
  • The company does not have long-term agreements with suppliers for its raw materials and an increase in the cost of, or a shortfall in the availability of such raw materials could have an adverse effect on its business and results of operations.
  • The Company's products lack adequate brand presence and awareness and also have geographical presence limited to the State of Maharashtra.
  • Inability to set / control the cost of sugarcane or the selling price of sugar may impact its profitability.
  • Its manufacturing unit, Registered Office and the proposed manufacturing unit for manufacturing Ethanol and generation of Bio-CNG and Fertilizer are concentrated only in 1 area in India i.e. Nanded, Maharashtra. Its results of operations could be materially and adversely affected if such facilities are disrupted.
  • The company constantly face a credit risk which may in turn affect its complete buying cycle adversely.
  • The company is dependent on third party transportation providers for the delivery of raw materials. Accordingly, continuing increases in transportation costs or unavailability of transportation services for its raw materials, as well the extent and reliability of Indian infrastructure may have an adverse effect on its business, financial condition, results of operations and prospects.
  • A slowdown or shutdown in its manufacturing operations or under-utilization of its manufacturing facilities could have an adverse effect on its business, results of operations and financial condition.
  • There have been instances of delays of certain forms which were required to be filed as per the reporting requirements under the Companies Act, 2013 to RoC.
  • A shortage or non-availability of electricity, fuel or water may adversely affect its manufacturing operations and have an adverse effect on its business, results of operations and financial condition.
  • Non-compliance with and changes in, safety, health and environmental laws and other applicable regulations, may adversely affect its business, results of operations and financial condition.
  • The company may face difficulties in implementing its strategies including its expansion and diversification plans of entering new geographical areas, development and commercialization of new products.
  • The company face significant competition in its business from Indian sugar manufacturers, which may adversely affect its profitability.
  • The company is susceptible to product liability claims that may not be covered by insurance and may subject it to substantial expenditure thereby adversely affecting its reputation and if the claim is successful, could require it to pay substantial amounts.
  • If the company is not able to obtain, renew or maintain its statutory and regulatory licenses, registrations and approvals required to operate its business, it may have a material adverse effect on its business, results of operations and financial condition.
  • Any failure in its quality control processes may adversely affect the company business, results of operations and financial condition. Its may face product liability claims and legal proceedings if the quality of its products does not meet the company customers' expectations.
  • Its inability to effectively manage or expand the company distribution network may have an adverse effect on its business, results of operations and financial condition.
  • The Company requires significant amount of working capital for a continuing growth. Its inability to meet its working capital requirements may adversely affect its results of operations.
  • The company is dependent on information technology systems in carrying out its business activities and it forms an integral part of its business. Further, if the company is unable to adapt to technological changes and successfully implement new technologies or if its face failure of the company information technology systems, its may not be able to compete effectively which may result in higher costs and would adversely affect its business and results of operations.
  • The Company has availed certain unsecured loans which may be recalled at any time.
  • If the Company is unable to protect its intellectual property, or if the Company infringes on the intellectual property rights of others, its business may be adversely affected.
  • Its Promoter, Directors, Key Managerial Personnel and Senior Management have interests in the Company other than reimbursement of expenses incurred or normal remuneration or benefits.
  • Its Promoter and members of the Promoter Group have significant control over the Company and have the ability to direct its business and affairs; their interests may conflict with your interests as a shareholder.
  • The average cost of acquisition of Equity Shares held by its Promoter could be lower than the Issue Price.
  • Its future fund requirements, in the form of further issue of capital or securities and/or loans taken by its, may be prejudicial to the interest of the Shareholders depending upon the terms on which they are eventually raised.
  • The company has in past entered into related party transactions and its may continue to do so in the future.
  • Its Promoter, members of the company Promoter Group and its Group Companies have extended personal guarantees with respect to various loan facilities availed by the Company and its Subsidiary. Revocation of any or all of these personal guarantees may adversely affect its business operations and financial condition.
  • Its Subsidiary has extended corporate guarantee with respect to loan facilities availed by its Group Company, Dr Shankarrao Chavan Jaggery and Agro Product Private Limited. Any defaults committed by its Group Company or invocation of the guarantee extended by its Subsidiary may adversely affect its business operations and financial condition.
  • The agreements executed by the Company and its Subsidiary with lenders for financial arrangements contain restrictive covenants for certain activities and if the company is or its Subsidiary are unable to get their approval, it might restrict its scope of activities and impede its growth plans.
  • In addition to the existing indebtedness the Company or its Subsidiary, may incur further indebtedness during the course of business. The company cannot assure that the Company or its Subsidiary would be able to service the existing and/ or additional indebtedness.
  • The Company is highly dependent on skilled and unskilled labour for manufacturing of its products. Its manufacturing processes are labour intensive, therefore its operations could be adversely affected by strikes, work stoppages or increased wage demands by its employees or any other kind of disputes with the company employees. If the company is unable to continue to hire skilled and unskilled labour, in sufficient numbers and the quality and quantity of its products being manufactured in its units can get affected.
  • Its operations can be adversely affected in case of industrial accidents at its manufacturing unit. Any fire or mishap or accidents of such nature at the Company's facilities could lead to accident claims and damage and loss of property, inventory, raw materials, etc. Its inability to procure and/or maintain adequate insurance cover in connection with its business may adversely affect its operations and profitability.
  • Stringent food safety, consumer goods, health and safety laws and regulations may result in increased liabilities and increased capital expenditures.
  • The company has not made any alternate arrangements for meeting its capital requirements for the Objects of the Issue. Further, the company has not identified any alternate source of financing the 'objects of the Issue'. Any shortfall in raising / meeting the same could adversely affect its growth plans, operations and financial performance.
  • Its success largely depends upon the knowledge and experience of its Promoter, Directors, the company Key Managerial Personnel and its Senior Management. Loss of any of its Directors and key managerial personnel or the company ability to attract and retain them could adversely affect its business, operations and financial condition.
  • There are outstanding litigations involving the Company, Directors, Promoter, Subsidiary and Group Companies which, if determined adversely, may affect its business and financial condition.
  • The company has certain contingent liabilities and its financial condition and profitability may be adversely affected if any of these contingent liabilities materialize.
  • The Company has experienced negative cash flow in the past and may continue to do so in the future, which could have a material adverse effect on its business, prospects, financial condition, cash flows and results of operations.
  • Its lenders have charge over the company movable and immovable properties including the property where the Company proposes to set up its new manufacturing unit in respect of finance availed by it.
  • The deployment of funds raised through this Issue shall not be subject to any Monitoring Agency and shall be purely dependent on the discretion of the management of the Company.
  • Any variation in the utilisation of the Net Proceeds or in the terms of any contract as disclosed in the Draft Prospectus would be subject to certain compliance requirements, including prior shareholders' approval.
  • Relevant copies of documents in relation to the experience of its Promoter, Directors, Key Managerial Personnel and Senior Management are not traceable.
  • Increased losses due to fraud, employee negligence, theft or similar incidents may have an adverse impact on it.
  • Increased losses due to fraud, employee negligence, theft or similar incidents may have an adverse impact on it.
  • Its inability to procure and/or maintain adequate insurance cover in connection with the company's business may adversely affect its operations and profitability.
  • Its ability to pay dividends in the future may be affected by any material adverse effect on its future earnings, financial condition or cash flows.
  • Increased losses due to fraud, employee negligence, theft or similar incidents may have an adverse impact on it.
  • The company has not independently verified certain data in this Draft Prospectus.
  • The requirements of being a listed company may strain its resources.
  • The Equity Shares have never been publicly traded and the Issue may not result in an active or liquid market for the Equity Shares.
  • There is no guarantee that the Equity Shares issued pursuant to the Issue will be listed on the SME Platform of National Stock Exchange of India Limited in a timely manner or at all.
  • There is no existing market for our Equity Shares, and the company does not know if one will develop to provide you with adequate liquidity. Further, an active trading market for the Equity Shares may not develop and the price of the Equity Shares may be volatile.
  • The price of the Equity Shares may be highly volatile after the Issue.
  • You will not be able to sell immediately on the Stock Exchanges any of the Equity Shares you purchase in the Issue.
  • There are restrictions on daily movements in the trading price of the Equity Shares, which may adversely affect a shareholder's ability to sell Equity Shares or the price at which Equity Shares can be sold at a particular point in time.
  • The price of the Equity Shares may be volatile, which could result in substantial losses for investors acquiring the Equity Shares in the Issue.
  • Any future issuance of Equity Shares, or convertible securities or other equity-linked securities by the Company may dilute your shareholding and any sale of Equity Shares by its Promoter or members of its Promoter Group may adversely affect the trading price of the Equity Shares.
  • Sale of Equity Shares by its Promoter or other significant shareholder(s) may adversely affect the trading price of the Equity Shares.
  • Rights of shareholders under Indian laws may be more limited than under the laws of other jurisdictions.
  • Setting up of a greenfield unit for manufacturing Ethanol and Bio-CNG and Fertilizer.
  • Increasing operational efficiency.
  • Investing in exportable capacity.
  • Strengthen its brand value and create awareness for its new products.
  • Strengthen its marketing network.
  • Value proposition for consumers.

M.V.K. Agro Food Product Ltd IPO Promoter Holding

Pre Issue Share Holding 95.96%
Post Issue Share Holding 61.96%

M.V.K. Agro Food Product Ltd IPO Subscription Status (Bidding Detail)

The M.V.K. Agro Food Product Ltd IPO is subscribed 8.1386 times on Mar 04, 2024 05:00:00 PM. The public issue subscribed - times in the retail category, - times in the QIB category, and - times in the NII category. Check Day by Day Subscription Details (Live Status)

Category QIB NII Retail Employee Total
Subscription (times) - - - - 8.1386

M.V.K. Agro Food Product Ltd IPO Prospectus

M.V.K. Agro Food Product Ltd IPO Listing Date

Listing Date 07 Mar 24
BSE Script 92696
NSE Symbol MVKAGRO
Listing In NSE - SME
ISIN INE0SGC01015
IPO Price ₹120
Face Value ₹10

M.V.K. Agro Food Product Ltd IPO Registrar

Mas Services Limited

Phone: +91 112 6387281/83, 1141320335
Email: ipo@masserv.com
Website: www.masserv.com

M.V.K. Agro Food Product Ltd IPO Lead Manager(s)

  1. Horizon Management Pvt Ltd

FAQs on M.V.K. Agro Food Product Ltd IPO

M.V.K. Agro Food Product Ltd IPO, which opens for subscription from 29-Feb-2024 to 04-Mar-2024 has an issue size of ₹65.88 crore. The issue type is book building issue.

In case of pre-apply, your IPO order will be placed on the Exchange as soon as the official bidding for M.V.K. Agro Food Product Ltd IPO begins. You will receive a UPI request within 24 hours after the bidding period opens.

M.V.K. Agro Food Product Ltd IPO Opens for subscription from 29-Feb-2024 to 04-Mar-2024.

The lot size of M.V.K. Agro Food Product Ltd is 1200 shares. Retail investors can subscribe to minimum 1 lot and maximum 1 lots. The minimum and maximum application value is ₹144000 and ₹144000 respectively.

Allotment date for M.V.K. Agro Food Product Ltd is 05-Mar-2024 and refund of application amount (in case allotment is not received) will begin from 06-Mar-2024. If your allotment goes through, then shares will be credited in your Demat account by 06-Mar-2024.

The registrar for M.V.K. Agro Food Product Ltd IPO is Mas Services Limited. You can check your IPO allotment status on the registrar's website.

The shares of M.V.K. Agro Food Product Ltd are proposed to be listed on Bombay Stock Exchange (BSE) and National Stock Exchange (NSE).

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