Ashish Kacholia-backed-Ganesh Consumer Products IPO kicks-off: Should you subscribe to it?

Ganesh Consumer Products shall launch its initial public offering (IPO) on Monday, September 22 and the issue will close for subscription on Wednesday, September 24. The FMCG player will be selling its shares in the range of Rs 306-322 apiece, for which investors can apply for a minimum of 46 equity shares and its multiples thereafter.

Ganesh Consumer Products is looking to raise a total of Rs 408.80 crore via IPO, which includes a fresh share sale of Rs 130 crore and an offer-for-sale (OFS) of up to Rs 278.80 crore. The net proceeds from the IPO shall be utilized towards repayment of debt, setting up a roaster gram flow manufacturing unit in Darjeeling, West Bengal and general corporate purposes.

Incorporated in 2000, Kolkata-based Ganesh Consumer Products is a FMCG company, a brand of wheat-based derivatives (maida, sooji, dalia) in East India. It offers a range of consumer staples, including whole wheat flour, value-added flour products (maida, sooji, besan), packaged instant food mixes, spices, ethnic snacks, and ethnic flours like singhara and bajri flour.

Ganesh Consumer Products raised a total of Rs 122.33 crore from anchor investors as it allocated 37.99 lakh shares at Rs 322 apiece. Anchor book included names like Ashish Kacholia-backed Bengal Financial, Samsung India, Singularity Equity Funds, Sanshi Fund, Saint Capital, BNP Paribas Financial Markets, Shine Star Build Cap, Rajasthan Global Securities and more.

Ganesh Consumer Products reported a net profit of Rs 35.43 crore with a revenue of Rs 855.16 crore for the year ended on March 31, 2025. The company clocked a bottomline of Rs 26.99 crore with a revenue of Rs 765.26 crore for the year ended 2023-24. The company currently commands a market capitalization slightly above Rs 1,300 crore.

The company has reserved 50 per cent of the net offer for qualified institutional bidders (QIBs), while non-institutional investors (NIIs) will get 35 per cent in the IPO. Retail investors have an allocation of 35 per cent for the investors. Last heard, the company is commanding a grey market premium of Rs 10-12 apiece, suggesting upside potential of 3-4 per cent for the investors.

DAM Capital Advisors, IIFL Capital Services and Motilal Oswal Investment Advisors are the book running lead managers for the IPO of Ganesh Consumer Products, while MUFG Intime India is the registrar of the issue. Shares of the company shall be listed on both BSE and NSE on Monday, September 29. Here’s what a host of brokerage firms say about the IPO of Ganesh Consumer:
 

Anand Rathi Shares & Stock Brokers
Rating: Subscribe for long-term
Ganesh Consumer Products operates seven manufacturing facilities strategically located in West Bengal, Uttar Pradesh, and Telangana, enabling efficient production and supply. Its omni-channel distribution network covers general trade through C&F agents, super stockists, and distributors, along with modern trade and ecommerce platforms, said Anand Rathi Shares & Stock Brokers.

The issue is valued at 36.7 times FY25 P/E. Its strategy centers on strengthening B2C operations, expanding reach in existing markets, and driving growth in new regions, with the current core focus on West Bengal, Jharkhand, Bihar, Odisha, and Assam. It also aims to enhance brand visibility across urban, semi-urban, and rural East India through intensified marketing and advertising initiatives, it added with a ’subscribe for long-term’ tag.
 

SBI Securities
Rating: Subscribe
Ganesh Consumer Products has a market-leading share in East India led by its strong brand and extensive distribution network which is expected to drive consistent financial performance going ahead. It has delivered revenue, Ebitda and PAT CAGR of 18 per cent, 16.5 per cent and 14.3 per cent, respectively over FY23-25, said SBI Securities.

“The company rides on value-added products and is also building its portfolio on value-added spices, ethnic snacks and ethnic flour. The company is valued at post-issue capital FY25 PE of 36.7 times. We recommend investors to ‘subscribe’ to the issue at the cut-off price for the long-term,” it added.
 

Ventura Securities
Rating: Subscribe
Ganesh Consumer’s strength lies in its strong brand presence, particularly in East India, and its established distribution network, both offline and online. It is recognized for its commitment to quality with a wide variety of products catering to diverse consumer needs. It also benefits from strategic plant locations, which aid in cost efficiency and quality control, said Ventura with a ‘subscribe’ rating.
 

BP Wealth
Rating: Subscribe
Ganesh Consumer Products is well-positioned to deliver sustainable revenue growth and margin expansion over the long term, said BP Wealth. “The company is valued at a P/E multiple of 33 times earnings. We recommend a ‘subscribe’ rating for this issue,” it added.
 

SMIFS
Rating: Subscribe
"We recommend subscribing to the issue, backed by the company’s strong leadership in Eastern India, expanding B2C presence, diversified product portfolio catering to evolving consumer preferences, and upcoming capex for a roasted gram flour and gram flour unit in Darjeeling, together offering a good long term growth opportunity," said SMIFS