The initial public offering (IPO) of Mukka Proteins will open for bidding on Thursday, February 29. The company is offering its shares in the price band of Rs 26-28 apiece. Investors, who can subscribe to the issue till Monday, March 4, can bid for a minimum of 535 equity shares and its multiples thereafter. Mukka Proteins, Incorporated in March 2003, manufactures fish protein products. The company produces and supplies fish meal, fish oil and fish soluble paste, which are essential ingredients for the production of aqua feed for fish and shrimp, poultry feed for broilers and layers and pet food for dog and cat food. The company is looking to raise a total of Rs 224 crore via its primary stake sale, which entirely includes a fresh share sale of 8 crore equity shares. From the net proceeds, the company aims to expand its manufacturing capacity through its affiliate, Ento Proteins, which produces insect meal from food waste. Funds shall also be utilized towards working capital requirements and general corporate purposes.
Mukka Proteins, a leading player in India's fish protein sector, is consistently recognized by the MPEDA for its outstanding export performance. In FY 2023, it contributed 25-30 per cent of the Indian fish meal and fish oil industry's revenue, estimated at Rs 3,200-Rs 4,100 crore according to a CRISIL report. Mukka Proteins exports its products to over 10 countries, including Bahrain, Bangladesh, Chile, Indonesia, Malaysia, Myanmar, Philippines, China, Saudi Arabia, South Korea, Oman, Taiwan and Vietnam. The company employed 385 people from various departments, including technical and support staff, administration, management and operations, as of March 31, 2023. Mukka Proteins currently operates six production facilities, including four in India and two in Oman, which are held by its foreign subsidiary Ocean Aquatic Proteins LLC. The company operates three blending plants and five storage facilities, all of which are located in India. All of the company's facilities are strategically located near the coast. For the period ended on September 30, 2023, Mukka Proteins reported a net profit of Rs 32.98 crore, with a revenue of Rs 612.88 crore. The company clocked a net profit of Rs 47.53 crore with a revenue of Rs 1,183.80 crore for the financial year 2022-23. Mukka Proteins has reserved 50 per cent of the net offer for qualified institutional investors (QIBs), while non-institutional investors (NIIs) will have 15 per cent of shares reserved for them. Retail investors will have 35 per cent of the net issue reserved for them. Fedex Securities is the book running lead manager of the Mukka Proteins IPO, while Cameo Corporate Services is the registrar for the issue. Shares of the company are likely to be listed at the bourses on both BSE and NSE with March 7, Thursday as the tentative date of debut.
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