Shyam Dhani Industries IPO

Shyam Dhani Industries Limited, established in 2010 and headquartered in Jaipur, Rajasthan, is an ISO-certified manufacturer, exporter, wholesaler, and supplier specializing in premium spices and allied grocery products. Operating under the "SHYAM" brand, the company produces and processes 164 varieties of spices, including ground spices, blend spices, whole spices, masala powders, herbal powders, and seasonings like peri peri, chilli flakes, and vegetable powders. It also trades essential grocery items such as black salt, rock salt, rice, poha, and dried fenugreek. Raw materials are sourced directly from Indian mandis and suppliers, with processing at its facility in Chomu, Jaipur. The company serves a growing domestic market while expanding exports, capitalizing on the shift toward branded, organized spice consumption.

Growth

Shyam Dhani has demonstrated robust financial expansion, with revenue surging 57% year-over-year to ₹68.1 crore for FY23, reflecting a compounded annual growth rate (CAGR) of 57% in the recent period. Profitability has accelerated even more impressively, rising 179.7% in FY23 amid inflationary pressures in the FMCG sector, which saw 8-9% value growth. This trajectory is fueled by increasing demand for branded spices and strategic initiatives like enhanced working capital, debt reduction, and capex for scaling operations. The upcoming IPO, aiming to raise ₹38.49 crore through a fresh issue of up to 57.84 lakh equity shares at ₹65-70 per share, will further support brand promotion (including celebrity endorsements) and distribution reach.

Key Strengths

• Diverse Product Portfolio: Offers over 164 spice varieties and complementary groceries, enabling cross-selling and catering to varied consumer preferences in the competitive FMCG space.
• Established Brand and Supply Chain: The "SHYAM" brand benefits from direct sourcing and in-house processing, ensuring quality control, cost efficiency, and reliable supply across India with emerging export channels.
• Operational Scale and Certifications: ISO certification underscores quality standards, while a workforce of 153 employees supports efficient production at its Jaipur facility, positioning it for pan-India growth.
• Strategic Market Positioning: Well-aligned with industry trends like organized retail and branded consumption, bolstered by plans for marketing investments to boost visibility and market share.