HyFun Foods plans IPO by 2028, aims Rs 1,500-cr revenue in FY26

New Delhi, Oct 5 (PTI) HyFun Foods, which manufactures frozen potato products such as French fries, expects around Rs 1,500 crore revenue this fiscal, and also has plans to come up with initial public offerings by 2028.

The company expects a "good uptake" in consumption of frozen food in the domestic market, helped by the reduction of GST on processed foods, contributing almost half of the revenue in the coming years, compared to 30 per cent at present, according to its MD and Group CEO Haresh Karamchandani and Executive Director Kamlesh Karamchandani.

Anticipating market growth, the company is focusing on expansion plans as it invests in large manufacturing facilities and expands product portfolio.

"There is a growing demand for our products in both international and domestic markets. Once we commence market supplies from the new facility, we will begin preparing for an IPO, aiming to tap the capital markets in 2028," Karamchandanis told PTI.

With the proceeds of the IPO, "subsequently, we plan to continue investing in further expansion to capitalise on the growth potential", they said.

HyFun Foods is setting up a large capacity frozen French fry line, a frozen potato speciality line, which will be one of the largest lines in Asia.

"We are almost investing around Rs 1,000 crore this year," they said.

Besides exports, HyFun Foods is present in most of the channels of sales such as food service, HoReCa (Hotel, Restaurant, and Café/Catering), consumer segment.

"So, overall, this year we will be doing around Rs 1,500 crores of sales," they said.

The company is focusing on South East Asia, the Middle East, Far East markets for exports.

"We primarily focus on South East Asia, the Middle East, Far East, and because these countries were, you know, earlier importing from Europe and US, now India is emerging as an alternative supplier," said Karamchandanis.

When asked about the export to the US market, where the Donald Trump administration has imposed a 50 per cent tariff on India recently, which includes food items as well, they said it would not have a major impact, as HyFun Foods has just entered the US market with only one product.

"So, this is the market where we focus on and one of our popular products, which is Hash Brown Patty; it is with this product that we had entered the US market," he said.

However, they also ruled out of having any plans to set up offshore manufacturing facilities for HyFun Foods.

According to Karamchandanis, convenience is a big factor driving the growth of frozen foods in the domestic market.

"We are not limiting ourselves to potato-based products but also a lot of other products because Indian consumers need a lot of variety. So, overall, we are looking at the opportunity, we want to tap the opportunity which India has to offer," they said.

HyFun Foods is also encouraging third-party suppliers to invest in setting up larger cold chain infrastructure and scale it up, which will ultimately lower the costs of frozen products. PTI KRH UJ HVA