Aligarh-based Shivashrit Foods, a fast-growing potato flakes manufacturer, made its market debut on NSE Emerge today after raising ₹70.03 crore through its initial public offering. Market watchers are already betting on the company’s long-term potential, calling it a “rare SME multibagger in the making.”
The IPO comprised a ₹61.29 crore fresh issue and an ₹8.75 crore offer for sale. The proceeds will be deployed across capacity expansion, working capital, and general corporate purposes. Roughly ₹26.3 crore has been earmarked for a new production line and utilities such as solar-powered generators, while ₹19 crore will support working capital requirements.
Backed by marquee B2B clients including Haldiram’s, ITC, Balaji Wafers and Bikanervala, Shivashrit reported revenues of ₹105.85 crore in FY25, up 36% year-on-year. Profit after tax rose to ₹12.06 crore, reflecting strong demand momentum and operational efficiency. The company has also entered the consumer retail space with its Shree Aahar brand in December 2024, opening a fresh avenue for growth.
“Shivashrit’s fundamentals are rock solid. With capacity utilisation already at over 90% and a calibrated expansion plan underway, we see visibility of earnings growth for the next 3–5 years. For retail investors, this is a stock worth accumulating gradually,” said a Head of Research at a leading Securities firm.
Industry tailwinds are also in play. India’s potato flakes market, valued at $610 million in 2022, is projected to grow to over $1 billion by 2032 at a CAGR of 6.9%. Demand from quick-service restaurants, frozen foods, and bakery chains is rising steadily, while export opportunities have opened up due to supply disruptions in Europe.
“Few organised players operate at scale in this niche, which creates high entry barriers and strong pricing power. Shivashrit’s certifications—ISO 22000, FSSAI, BRCGS, USFDA—further enhance its global export play. It has all the makings of a compounding story,” noted an independent SME IPO market analyst
The company’s strategic location near potato-growing regions, its robust supply chain, and state-of-the-art manufacturing plant imported from Europe give it a competitive edge. Analysts believe these strengths, coupled with its retail foray, could unlock significant shareholder value.
“SME IPOs are often speculative, but Shivashrit is an exception. This is a business with scale, visibility, and sector tailwinds. Investors with patience could be sitting on the next big wealth creator,” said a veteran market advisor.
With expansion in place and a clear roadmap, Shivashrit Foods is positioning itself as not just another SME listing, but a potential multibagger for investors willing to hold long term.
