21st June 2023, Mumbai: Greenchef Appliances, a renowned kitchen solutions provider, has announced its plans to go public with an Initial Public Offering (IPO) scheduled to open on June 23 and conclude on June 27. The company, in a recent statement, revealed that its shares will be listed on the NSE Emerge, a prominent platform dedicated to small and medium enterprises.
As a leading player in the kitchen appliance industry, Greenchef Appliances specializes in manufacturing and marketing kitchen appliances across 20 different categories. With an extensive product range, the company has established itself as a trusted name in the industry, catering to the diverse needs of consumers.
For its IPO, Greenchef Appliances has set a price band of Rs 82-87 per share, aiming to raise Rs 53.62 crore through its initial share sale offer. This strategic move signifies the company’s intent to leverage the capital market and strengthen its financial position for future growth and expansion.
Hem Securities has been appointed as the book-running lead manager to oversee the IPO process, ensuring a seamless and successful offering. Investors and potential shareholders will have the opportunity to acquire shares in lots of 1600 shares each, providing flexibility and accessibility to a wide range of participants.
Greenchef Appliances has demonstrated impressive financial performance, reflecting its strong market presence and customer demand. In the first nine months of the financial year 2022-23, the company recorded revenue from operations amounting to Rs 254.82 crore, with a net profit of Rs 10.21 crore. These figures highlight the company’s ability to generate steady revenue and maintain profitability in a competitive market landscape.
With a robust manufacturing infrastructure, Greenchef Appliances operates four manufacturing units in Karnataka and one in Himachal Pradesh. This well-distributed setup allows the company to efficiently cater to its customer base and meet the demand for its diverse range of products. Currently, the company boasts an impressive portfolio of over 300 SKU’s (stock keeping units), providing customers with a wide array of options to choose from.
Greenchef Appliances has established a strong distribution network with 450 distributors across 22 states and union territories in India. The company’s wide reach and market penetration are particularly notable in states like Uttar Pradesh, Tamil Nadu, and Bihar, where it has 114, 61, and 43 distributors respectively. Additionally, the company has embraced e-commerce platforms to expand its sales channels, tapping into the growing online market and reaching a wider audience.
The product portfolio of Greenchef Appliances encompasses gas stoves, pressure cookers, mixer grinders, wet grinders, electric rice cookers, induction cooktops, non-stick cookware, gas cylinder trolleys, and many more. Among these offerings, the gas stove segment contributes the most to the company’s revenue, accounting for 37 percent, while pressure cookers contribute 18 percent, and mixer grinders contribute 10 percent. Furthermore, the South India region represents a significant market for Greenchef Appliances, contributing 50 percent of the overall revenue.
The upcoming IPO of Greenchef Appliances presents an exciting opportunity for investors to participate in the growth story of a reputable kitchen solutions provider. With its strong financial performance, diversified product portfolio, extensive distribution network, and emphasis on both offline and online sales channels, the company is well-positioned to capitalize on the growing demand for kitchen appliances in India.
As the IPO opens on June 23, investors and market participants will closely watch the subscription figures and overall response to gauge the market’s confidence in Greenchef Appliances. Should the IPO be successful, it will not only boost the company’s financial resources but also provide a platform for further expansion, product innovation, and market dominance in the kitchen solutions industry.