Regaal Resources IPO

About Regaal Resources IPO

The IPO consists of a Fresh Issue of equity shares with a face value of ₹5 each, aggregating up to ₹210 crores. Additionally, there is an Offer for Sale of up to 9,000,000 equity shares with a face value of ₹5 each, aggregating up to ₹96 cr. The total offer size includes both the Fresh Issue and the Offer for Sale, aggregating up to 3,00,00,235 shares aggregating up to ₹306 crores.

Objectives of Regaal Resources IPO

• For repayment and / or pre-payment of debt, in full or part, of the company’s borrowings
• General corporate purposes

Industry Outlook

India's agriculture sector demonstrated robust growth in FY2023, with total crop production increasing by 10.5% year-on-year, driven by favorable climatic conditions, improved irrigation infrastructure, and government initiatives like Krishi Nivesh and Pradhan Mantri Gram Sinchai Yojana. Maize production, in particular, surged by 32% at current prices, reflecting strong demand for maize grains. Globally, maize consumption is projected to grow at an annual rate of 1.2% from 2024 to 2033, fueled by rising demand for animal feed and food use in regions like Sub-Saharan Africa. In fact, rising domestic demand for industrial usage and poultry feed may outstrip the domestic maize cultivation in the near future.

Key growth drivers include India's expanding urbanisation and nuclear family trends, which are boosting demand for processed foods containing maize flour. The food processing sector is forecasted to grow from $866 billion in 2022 to $1,274 billion in 2027, supported by government programs like PMKSY and PLISFPI. Additionally, the organised dairy sector is increasing its reliance on maize-based feed concentrates, further driving demand.

Regaal Resources Company Information

Regaal Resources Limited is one of India’s largest manufacturers of maize-based specialty products, with a crushing capacity of 750 tonnes per day. It produces native and modified maize starch, co-products like gluten and fiber, and value-added products such as maize flour, icing sugar, and baking powder. Headquartered in Kolkata, its manufacturing facility in Kishanganj, Bihar, spans 47.92 acres and operates with zero liquid discharge (ZLD). Strategically located in a prime maize cultivation area, it ensures a steady supply of raw materials. The company serves domestic and international markets, including Nepal and Bangladesh, catering to industries like food, paper, animal feed, and adhesives.

Strengths of Regaal Resources IPO

• Strategic location advantage: The company’s manufacturing facility is located in Kishanganj, Bihar, a prime maize-growing region, ensuring proximity to raw material sources and reducing logistics costs.

• Multifaceted procurement strategy with maize being procured from multiple avenues, including traders, farmers through aggregators, and FMCG/agri-distribution companies

• Among the top 10 manufacturers of maize-based specialty products in India, with a diversified portfolio that includes native and modified starches, co-products like gluten and fiber, and value-added products such as maize flour and baking powder.

• Sustainability driven Manufacturing Facility with high levels of utilization

• Established and widespread sales and distribution network

• Demonstrated track record of financial performance and growth

Risks of Regaal Resources IPO

• Ongoing Legal Proceedings: One of their Promoters, Anil Kishorepuria, is a party to a legal proceeding for alleged violation of Indian Penal Code and the Prevention of Corruption Act, 1988. Any adverse order in this proceeding could have a material impact on our reputation and business operations.

• Dependency on key customers: The company relies heavily on its top 10 customers, who contribute a significant portion of its sales. Any loss or reduction in purchases by these customers could have a material adverse impact on its business operations, financial results, and overall condition.

• Reliance on key vendors for maize procurement: More than 83% of the company's maize purchases come from its top 10 vendors, with no long-term contracts in place. Any disruption in supply, price increases, or loss of these vendors could negatively affect the company's operations and profitability.

• Dependence on a single manufacturing facility: The company operates from one manufacturing facility situated at Kishanganj, Bihar. The loss, shutdown or slowdown of operations at our Company’s facility could have a material adverse effect on our Company’s results of operations and financial condition.

• Seasonal nature of raw material supply: Maize, the primary raw material, is seasonal and subject to fluctuations in availability due to weather conditions and post-harvest losses. Delays or interruptions in supply, along with price volatility, could impact the company's production costs and ability to meet customer demand.

• Negative cash flows: The company has incurred negative net cash flows from operating activities in the past. Negative net cash flows in operating activities in the future could have an adverse impact on our growth prospectus.

• They have leased and, or availed on license, the use of certain properties including their Registered Office from which they operate our business. They cannot assure that the lease, and, or license agreements will be renewed upon termination or that we will be able to obtain other premises on lease on the same or similar commercial terms.

• They cater to diverse set of customers, however, our top 10 customers contribute to a significant portion of their sales, and the loss of such customers or a substantial reduction in purchases by such customers will have a material adverse impact on our business, results of operations and financial condition.

Anchor Investor Bidding Date: TBA

IPO Registrar and Book Running Lead Manager

• Registrar: Link Intime India Private Limited
• Book Running Lead Managers: Pantomath Capital Advisors

Private Limited, Sumedha Fiscal Services Limited

Regaal Resources Company Business Model

The company operates a business-to-business (B2B) model as one of India’s largest manufacturers of maize-based specialty products. It sources raw maize primarily from traders, farmers, and agri-distribution companies, leveraging its strategic location in a key maize-growing region. The company processes maize into a diverse range of products, including native and modified starches, gluten, fiber, and value-added items like maize flour and baking powder. These products cater to various industries such as food and beverages, paper, textiles, animal feed, and adhesives. By focusing on both domestic and export markets (e.g., Nepal and Bangladesh), the company ensures a broad customer base and mutltiple revenue streams.

Regaal Resources Company Growth Trajectory

The company commenced their operations in 2018 with an installed capacity of 180 TPD. They have, over the years, augmented their operations and undertaken multiple capacity expansions. In Fiscal 2025, they increased their capacity further with the installation of a starch dryer. As on May 31, 2025, their installed crushing capacity was 750 TPD.

The company has demonstrated strong growth in its revenue from operations, increasing from ₹379.85 crores in FY22 to ₹487.95 crores in FY23, and further to ₹600.02 crores in FY24, reflecting a compound annual growth rate (CAGR) of approximately 25.68%. Its EBITDA also showed robust growth, rising from ₹46.19 crores in FY22 to ₹40.67 crores in FY23 and reaching ₹56.36 crores in FY24.

How to Apply for Regaal Resources Limited IPO?

• Step 1: Log in to your Kotak Securities Demat account - Log in to your Demat account to access IPO investments. Next, select the current IPO section.
• Step 2: Specify IPO details - Enter the number of lots and the price you wish to apply for.
• Step 3: Enter UPI ID - After entering your UPI ID, click submit. This will place your bid with the exchange.
• Step 4: Mandate Notification - Your UPI app will receive a mandate notification to block funds.
• Step 5: Approve Request - Your funds will be blocked once you approve the mandate request on your UPI.

How to Check Allotment Status of Regaal Resources IPO?

1. Visit the Registrar's Website

To check the IPO allotment status for Regaal Resources Limited IPO, visit the official website of Link Intime India Private Limited, the registrar for this IPO. On their IPO allotment status page, enter your Permanent Account Number (PAN), application number, or Demat account ID. Then, click the 'Submit' button to view your allotment status. Ensure you have the necessary details ready for a quick and accurate check.

2. Check on the Bombay Stock Exchange Website

The Bombay Stock Exchange (BSE) also has an IPO allotment status page. Go to www.bseindia.com and find the 'Investors' tab. Under 'Investors', click on 'IPO'. This will take you to the IPO allotment status page.

On the BSE IPO page, follow these steps:

• Select 'Equity' from the dropdown menu
• Choose 'Regaal Resources Limited' in the next dropdown
• Enter your application number
• Enter your PAN
• Click 'Search'

Your Regaal Resources IPO allotment status will be displayed.

3. Verify on the National Stock Exchange Website

The National Stock Exchange (NSE) has an IPO Bid Verification module. Use this to check Regaal Resources IPO allotment status.

Go to www.nseindia.com and find the 'Invest' tab. Click on 'Verify IPO Bids' under 'Resources & Tools'. On the NSE IPO Bid Verification page, enter:

• Application number
• PAN

Then click 'Submit'. Your Regaal Resources IPO bid and allotment details will be displayed.