Shri Ahimsa Naturals shares to debut today. Here's what GMP indicates

After a strong subscription for the IPO, Shri Ahimsa Naturals will debut on the NSE SME platform today. The GMP is currently at 16% over the issue price of Rs 119 apiece.The company offered 62 lakh shares to investors, which included a fresh equity sale of 42.

03 lakh shares and an offer for sale (OFS) of 19.99 lakh shares. The issue was booked nearly 63 times as non-institutional investors piled on bids 182 times more than that are reserved for them.



Shri Ahimsa started operations in 1990 and is involved in extracting and manufacturing Caffeine Anhydrous Natural, Green Coffee Bean Extracts (GCE), and Crude Caffeine. It also trades in other herbal extracts.These products are used in the food and beverage, nutraceutical, cosmetics, and pharmaceutical industries due to their health benefits.

The company primarily sources crude caffeine from decaffeination plants in Vietnam, Mexico, and other countries. Crude caffeine, a by-product of these plants, is further processed to produce Green Coffee Bean Extracts (GCE) and Caffeine Anhydrous Natural. Initially, the company focused only on Caffeine Anhydrous Natural.

Sebi grants extension to NSDL to launch its Rs 3,000-crore IPO by July However, after research and development, it discovered GCE in crude caffeine from certain suppliers. To take advantage of this, a process was developed to extract GCE, and the product was added to the portfolio in 2018.In 2021, the company expanded further by adding other herbal extracts to meet growing customer demand.

Since 2022, it has also started producing Crude Caffeine from tea and coffee waste, selling it in the open market and using it for internal production.As an export-oriented unit, the company primarily supplies products to over 14 countries, including the USA, Germany, South Korea, the UK, and Thailand. Exports made up 86.

72% of revenue for the period ending September 30, 2024, and over 95% in previous years.The company sells directly to large consumers and works with resellers to reach smaller buyers in export markets. Its products are well-accepted in international markets, as shown by repeat orders from many customers.

As of September 30, 2024, about 32% of customers had been doing business with the company for three or more years, contributing nearly 57% of total revenue..