Papadmalji Agro Foods IPO

About Papadmalji Agro Foods IPO

Papadmalji Agro Foods Limited, an SME IPO, will open on 29 September 2026 and close on 1 October 2026. The listing of shares is scheduled for 7 October 2026. The equity shares offered through the IPO are proposed to be listed on the NSE SME platform. Papadmalji Agro Foods Limited's IPO price band is fixed at ₹69 to ₹72 per share. The lot size for an application is 1,600 equity shares. The minimum investment required for retail investors is above ₹230,000 (2 lots/3,200 shares).

The IPO comprises a fresh issue and an offer for sale. The fresh issue consists of 2,572,800 equity shares aggregating up to ₹18 crore. The offer for sale also comprises 2,30,400 equity shares aggregating up to ₹2 crore.

Papadmalji Agro Foods Limited is headquartered in Bikaner, Rajasthan, and is an ISO 22000:2018-certified food manufacturing company. Its product portfolio includes hand made papads, machine made papads, machine made ready to fry papads, rice papads or khichiya, vrat special papads and moongodi. Its products are marketed under the Zhakaas, Vishal, Rozana, Diamond and Papadmalji brands.

Objectives of Papadmalji Agro Foods IPO

• Funding the capital expenditure towards construction of building, mechanical and electrical works and procurement of plant and machinery and installation of 250 kW Rooftop Solar Power System for setting up a new manufacturing facility at Bachhasar, Bikaner.
  
• Repayment or prepayment, in full or in part, of borrowings availed by our company from banks
  
• General corporate purposes.
  

Industry Outlook

India’s food processing industry has emerged as a significant contributor to the country’s economic growth. The Indian food processing market reached ₹33.05 lakh crore (USD 382.24 billion) in FY25 and is expected to reach ₹65.83 lakh crore (USD 689.02 billion) by FY34.

Changing consumer lifestyles, increasing urbanisation and busy work schedules are supporting demand for ready-to-eat (RTE) and packaged foods. The RHP notes that India’s food processing industry reached USD 336.4 billion in 2023 and is expected to reach USD 735.5 billion by 2032, at a Compound Annual Growth Rate (CAGR) of 8.8%, according to International Market Analysis Research and Consulting Group (IMARC). Government initiatives are also supporting the development of food processing infrastructure and manufacturing capacity. As of FY26, 408 integrated cold chain projects had been approved under the Pradhan Mantri Kisan SAMPADA Yojana (PMKSY), of which 300 had been completed. The Production Linked Incentive Scheme for Food Processing Industry (PLISFPI) had 169 applications approved as of February 2026, while the Mega Food Park Scheme had 41 projects approved, of which 25 were operational as of FY2026.

About Papadmalji Agro Foods

The business traces its roots to 2012, when promoter Mr Jai Agarwal started Vishal Namkeen Bhandar, a sole proprietorship in Bikaner focused on manufacturing and selling hand-made papads. Papadmalji Agro Foods Private Limited was incorporated on 19 December 2017 and subsequently acquired the business of Vishal Namkeen Bhandar under a business transfer agreement (BTA) dated 17 February 2018.

The company currently operates two manufacturing units in Bikaner, Rajasthan, with its Garsisar Unit certified under ISO 22000:2018. Its products are marketed through a pan-India distribution network, while its Promoters bring more than a decade of experience in the papad industry. Since 2018, the company has also been supported by an equity investment firm, India Customer Insight Fund, a SEBI-registered Alternative Investment Fund.

The company operates a portfolio of brands comprising Zhakaas, Vishal, Rozana, Diamond and Papadmalji, serving different product categories and consumer segments. Its products are distributed through general trade, modern trade, quick-commerce platforms, distributors and wholesalers, as well as its direct-to-consumer (D2C) platform. It also supplies products to selected Middle Eastern markets through a merchant exporter. As of 31 March 2026, its products were sold across 21 states and 3 Union Territories in India.

Strengths of Papadmalji Agro Foods

• As of 31 March 2026, the company had 76 distributors and 30 wholesalers, collectively servicing 8,710 retail outlets through the General Trade channel across 12 states and 1 Union Territory.
• The company follows a purity- and hygiene-focused manufacturing approach, including the use of selected raw materials, RO-filtered water with activated charcoal, absence of additives and preservatives, and minimal use of edible oils.
• Handmade papad production is carried out through the Batara-Batari model, under which independent contractors supervise women involved in hand-rolling and sun-drying activities. Currently, 9 Bataras oversee these operations.

Risks Of Papadmalji Agro Foods

• A significant portion of the company’s revenue is derived from a limited number of customers. In FY2026, FY2025 and FY2024, the top 10 customers contributed 45.94%, 69.25% and 69.65%, respectively, of revenue from operations.
• The company sources key raw materials such as pulses, flours, edible oils, spices and other inputs from third-party suppliers, primarily without long-term supply agreements.
• Its revenue is predominantly derived from papad products, making its performance dependent on continued consumer demand for papads. Changes in consumer tastes, dietary trends, health preferences or increased demand for substitute packaged snacks could affect sales volumes and margins.
• The company's manufacturing units and maintenance store operate from rented premises, including premises owned by its promoter. Non-renewal, discontinuation or changes in the terms of these arrangements could disrupt manufacturing activities and require alternative arrangements at additional cost.

Peer Comparison

Papadmalji Agro Foods Limited operates in a niche segment involving the manufacturing and sale of papad and related traditional food products. As of the date of the RHP, there are no listed companies in India of comparable size exclusively operating in the company’s business segment or having a comparable scale and business model.

Registrar Details
MAS Services Limited
E-mail: ipo@masserv.com
Phone: 011 2638 7281-83, 011 4132 0335

Book Running Lead Manager
Kreo Capital Private Limited

Papadmalji Agro Foods Limited Contact Details
Opp. Manav Bharti School, Garsisar, Bikaner, Rajasthan, India - 334001
Email: cs@papadmalji.com
Phone: +91 7300071153

Papadmalji Agro Foods Business Model

Papadmalji Agro Foods follows an integrated manufacturing and distribution-led business model, combining in-house production with white-label manufacturing and trading activities. The company operates two manufacturing units in Bikaner, Rajasthan, with FSSAI licences, while the Gharsisar Unit is also certified under ISO 22000:2018. The company sells through general trade supported by distributors and wholesalers, modern trade, quick commerce, its direct-to-consumer website and as a merchant exporter. Transactions with modern trade, quick commerce and the merchant exporter are conducted against purchase orders.

Papadmalji Agro Foods Growth Trajectory

Papadmalji Agro Foods Limited recorded revenue from operations of ₹33.53 crore in FY2026, compared with ₹31.75 crore in FY2025 and ₹26.27 crore in FY2024, representing year-on-year (YoY) growth of 5.62% in FY2026 and 20.85% in FY2025.

The company’s operating earnings before interest, tax, depreciation, and amortisation (EBITDA) stood at ₹8.44 crore in FY2026, compared with ₹5.98 crore in FY2025 and ₹3.31 crore in FY2024. Operating EBITDA margin increased from 12.58% in FY2024 to 18.84% in FY2025 and 25.16% in FY2026.

Profit after tax (PAT) increased from ₹2.11 crore in FY2024 to ₹4.72 crore in FY2025 and ₹5.21 crore in FY2026.

Papadmalji Agro Foods Market Position

As of 31 March 2026, Papadmalji Agro Foods Limited’s products were sold across 21 states and 3 Union Territories in India, with products also reaching selected Middle Eastern markets through a merchant exporter.

The company’s general trade network comprised 76 distributors and 30 wholesalers, servicing 8,710 retail outlets across 12 states and 1 Union Territory as of 31 March 2026. Its distribution network also includes modern trade, quick commerce and its direct-to-consumer platform.

In FY2026, general trade contributed ₹19.42 crore, or 57.91% of revenue from operations, while modern trade contributed ₹13.66 crore, or 40.74%. The contribution from modern trade increased from 26.09% in FY2024 to 40.74% in FY2026.

How to Apply for Papadmalji Agro Foods IPO?

• Step 1: Log in to your Kotak Neo Demat account to access IPO investments. Next, select the current IPO section.
• Step 2: Specify IPO details. Enter the number of lots and the price you wish to apply for.
• Step 3: Enter UPI ID. After entering your UPI ID, click Submit. This will place your bid with the exchange.
• Step 4: Mandate Notification. Your UPI app will receive a mandate notification to block funds.
• Step 5: Approve Request. Your funds will be blocked once you approve the mandate request on your UPI.