Zappfresh sets price band at Rs 96-101/share; issue to open on Sep 26

New Delhi: DSM Fresh Food Ltd, which operates meat delivery startup Zappfresh, on Tuesday said it has fixed a price band of Rs 96 to Rs 101 per share for its SME initial public offering (IPO), which will open for subscription on September 26.

The IPO is scheduled to close on September 30, and bidding for the anchor portion will open on September 25, the company said in a statement.

The company's maiden public offering comprises 59.06 lakh equity shares worth Rs 59.65 crore at the upper end.

Proceeds of the IPO to the tune of Rs 25 crore will be deployed for working capital requirements, Rs 15 crore for marketing expenditure, Rs 11 crore for capital expenditure requirements and Rs 3 crore towards inorganic growth opportunities through acquisitions and other strategic initiatives, as well as for general corporate purposes.

Founded in 2015, DSM Fresh Food is one of the leading omnichannel retailers of fresh meat and ready-to-cook/eat products -- chicken, mutton and seafood. Over the last two years, Zappfresh has accelerated its growth through acquisitions, including Bonsaro (Majestic Aliments India Pvt Ltd) in Mumbai and Dr. Meat (Sukos Foods Pvt Ltd) in Bengaluru.

Zappfresh competes with the likes of Licious, FreshToHome, TenderCuts and Meatigo.

Narnolia Financial Services is the book-running lead manager to the offer. The equity shares are proposed to be listed on the SME platform of BSE.