Italian Edibles Limited IPO

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Background and Incorporation: Italian Edibles Limited, originally known as Italian Edibles Private Limited, was established on December 16, 2009, under the Companies Act of 1956. The company underwent a transformation from a private to a public limited company in 2023, aligning with the Companies Act of 2013. This transition was marked by a change in the company’s name and the acquisition of a new certificate of incorporation. The company’s corporate identity number (CIN) is U15141MP2009PLC022797.

Core Business – Confectionery: Italian Edibles Limited specializes in the confectionery sector, focusing on creating a wide variety of sweet treats including candies, chocolates, processed cocoa, milk-based products, and traditional Indian sweets. The company’s ethos, “Sharing is Everything” and “Delightful Creation and Boundless Joy,” reflects its commitment to producing high-quality, mouthwatering confectionery products, a journey it has been on for over 14 years.

Product Range and Branding: The company’s products, sold under a distinct brand name, encompass a diverse range of confectionery items. This includes Rabdi (a traditional Indian sweet), Milk Paste, Chocolate Paste, Lollipops, Candies, Jelly Candies, Multi-Grain Puff Rolls, and Fruit-Based Products. Given India’s rich tapestry of cultures, festivals, and occasions, confectioneries from Italian Edibles have become a significant part of these celebrations.

Market Reach and Distribution: Italian Edibles boasts a Pan-India presence, especially in rural and semi-urban areas across multiple states. The company also has a significant export market, with products reaching countries like Nigeria, Yemen, Senegal, and Sudan. As of August 31, 2023, the company has a robust network of approximately 450 suppliers and distributors across 22 Indian states and works with 5 merchant exporters for its international sales.

Top Customers and Products: Italian Edibles’ notable clients include Chocolate World, Yuvraj Agency, Bakewell Biscuits Private Limited, and several others. The Jelly Candies, in particular, are a significant product sold to the Dharpal Premchand Ltd (BABA) group.

Manufacturing Units and Certifications: The company operates two manufacturing units in Indore, Madhya Pradesh, strategically located for efficient logistics. These units are accredited with FSAAI, ISO 22000:2018, and FIEO certifications, ensuring high-quality production standards. The facilities employ a mix of modern, fully-automated, and semi-automated machinery, enabling effective control over the manufacturing process and consistent product quality.

Product Packaging: Italian Edibles’ products are available in various packaging formats, including Pet Jars, polypacks, and cardboard boxes, catering to both retail and wholesale markets.

Brand and Market Positioning: Having been in the market for 14 years, Italian Edibles has solidified its brand presence in India and internationally. This success is attributed to a deep understanding of market dynamics, consumer preferences, product innovation, and an effective business model, which includes stringent quality control, an extensive distribution network, and impactful marketing strategies.

Competitive Edge: Italian Edibles Limited’s competitive edge lies in the experience of its management, product quality, profitability, and improved margins. This has not only established the brand in the confectionery market but also positioned it for continued growth and success.

Objects of the Italian Edibles Limited IPO:

The Net Proceeds from the Issue are proposed to be utilized by the company for the following objects: i. Setting up of the proposed manufacturing unit; ii. Repayment of certain Borrowings; iii. To meet incremental working capital requirements; and iv. General Corporate Expenses.

Italian Edibles Limited IPO Details:

Open Date: Feb 02 2024
Close Date: Feb 07 2024
Total Shares: 3,920,000
Face Value: ₹ 10 Per Equity Share
Issue Size: 26.66 Cr.
Lot Size: 2000 Shares
Issue Price: ₹ 68 Per Equity Share
Listing At: NSE Emerge
Listing Date: Feb 12 2024

Promoters And Management:

Mr. Ajay Makhija, aged 58 years, is Promoter and Managing Director of the Company. He has completed Higher Secondary education. Before entering the Confectionery industry, he was successfully running a plastic shoe manufacturing unit for more than 20 years in Indore. After that, he started his own confectionery business in 2009 under the name of Italian Edibles Private Limited. Since 2009 till date i.e. 14 years he has been associated with the company and has been looking after all the business affairs, business strategy & policy of the Company. Mr. Akshay Makhija, 34 years, is Promoter Executive, Director and Chief Executive Officer of the Company. He holds Bachelor’s degree in Business Administration from Devi Ahilya Vishwavidyalaya, Indore and Master’s degree in the field of Management from Punjab Technical University, Jalandhar. He has more than 14 years of experience in Confectionery industry. He looks after the overall management of the company operations. He specifically looks after the exports of products and implementation of diverse company operations in India and Overseas. Mrs. Sneha Chinmay Khandelwal, aged 34 years, is Non – Executive Director of the Company. She is a Graduate in Commerce from Indore University. She has over 3 years of experience in the field of finance, accounting, auditing. Currently, she is working for a Chartered Accountant firm. She was appointed on the Board on January 01, 2024 as the Independent Director of the Company.

Financials of Italian Edibles Limited IPO:

Particulars ( In Lakhs )
Revenue from Operations 4,890 7,541 6,321 3,052
Other Income 9 4 9 0.5
Total Revenue 4,899 7,545 6,330 3,052
Cost of Materials Consumed 2,617 4,947 3,889 1,877
Purchase of Stock-in-trade 1,234 1,019 1,002 317
Changes in inventories -4 -4 -125 33
Employees Benefit Expenses 417 640 522 240
Other Expenses 267 502 343 186
EBITDA 369 441 700 400
Depreciation & Amortisation 98 135 178 50
Finance cost 158 169 185 68
EBIT 271 307 522 350
OPM (%) 7.52% 5.85% 11.05% 13.10%
PBT 113 138 337 282
Tax 26 58 73 72
PAT 87 80 264 210
NPM (%) 1.77% 1.06% 4.17% 6.87%
No.of Shares 147.77 147.77 147.77 147.77
EPS 0.58 0.54 1.78 1.41

Comparison With Peers:

Name of the Company Revenue (In Crore) PAT (In Crore) EPS ( in Rs) P/E CMP Mcap (In Crore)
Italian Edibles Limited 63 3 1.78 38.0 68 100
Lotus Chocolate Company Limited 63 -7 -5.42 N/A 330 424
Tapi Fruit Processing Limited 21 -0.2 -0.49 265.0 159 66
* All the data is as per FY23.

Recommendation on Italian Edibles Limited IPO:

To be updated shortly.

Lead Manager of Italian Edibles Limited IPO:

  1. First Overseas Capital Limited

Registrar of Italian Edibles Limited IPO:

  1. Bigshare Services Private Limited

Company Address:

Italian Edibles Limited 309/1/1/8 Block No.03, Mangal Udhyog Nagar, Gram Palda, Indore - 452020 Phone: +91 9826298268 Email: Website:

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