Mumbai (Maharashtra) [India], December 16: Krishival Foods Limited, a burgeoning player in the Indian Fast-Moving Consumer Goods (FMCG) sector, today announced the launch of a significant Rights Issue, aiming to raise up to ₹10,000 lakhs (₹100 crore). This strategic financial move, following approvals from its Board of Directors and Rights Issue Committee, and receiving in-principle nod from both BSE Limited and the National Stock Exchange of India Limited, is poised to bolster the company’s capital structure and provide the necessary impetus for its ambitious growth strategies. The Rights Issue is being conducted in strict adherence to SEBI (ICDR) Regulations, 2018, ensuring robust governance and investor protection.
Under the terms of this Rights Issue, Krishival Foods will offer an aggregate of up to 3,333,160 partly paid-up equity shares, each with a face value of ₹10, at an issue price of ₹300 per share, which includes a premium of ₹290. The entitlement ratio for eligible shareholders is set at 45 Rights Equity Shares for every 301 fully paid-up equity shares held as of the record date, December 17, 2025. The subscription period for this crucial funding round will commence on December 26, 2025, and conclude on January 5, 2026. The company has also facilitated the on-market and off-market renunciation of rights entitlements, offering flexibility to its investors. A substantial portion, ₹105 per share (35% of the issue price), will be payable at the time of application, with the remaining ₹195 per share to be called upon by the company in one or more tranches within a year of the allotment date. Upon successful full subscription, Krishival Foods anticipates its outstanding equity share count to rise from 22.29 million to approximately 25.63 million shares. To ensure a smooth and efficient process, the company has made comprehensive arrangements with both NSDL and CDSL for the seamless credit and subsequent trading of rights entitlements and equity shares.
This proactive capital infusion comes on the heels of a remarkably strong performance in the second quarter of the fiscal year 2026 (Q2 FY’26). Krishival Foods has demonstrated robust growth, primarily driven by its strategic focus on two high-potential consumer segments: premium nuts and dry fruits under its “Krishival Nuts” brand, and real milk ice cream with its “Melt N Mellow” brand. The company’s revenue for Q2 FY’26 reached ₹66.67 crore, a commendable 50 per cent year-on-year surge. Management attributes this impressive trajectory to favorable industry tailwinds, including projections of India’s FMCG market tripling and the ice cream market quadrupling by 2032. Krishival’s innovative dual-brand strategy is designed to mitigate business risks by effectively catering to both the health-conscious nutritional segment and the indulgence-driven ice cream market. By leveraging shared infrastructure and operational efficiencies, coupled with strategic cross-promotions, Krishival Foods is adeptly positioning itself for scalable, sustainable, and profitable growth. Krishival Foods Limited is a rapidly evolving Indian FMCG enterprise dedicated to offering superior quality, sustainable food products to both domestic and international consumers. Its diversified product portfolio, encompassing dry fruits, snacks, and ice cream, places it advantageously within the discretionary consumption market. Through its sophisticated procurement model, Krishival Foods Ltd. is strategically charting its course to become a formidable entity in the competitive food and beverage industry.
Disclaimer: This article is for informational purposes only and does not constitute financial advice.
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