Khyati Global Ventures Limited IPO

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The company operates as an exporter and re-packager of a diverse range of Fast-Moving Consumer Goods (FMCG) products. They specialize in various sub-categories, including food items, non-food FMCG products, household essentials, festive handicraft items, and pharmaceutical products. Their primary customer base consists of wholesalers and supermarket importers who manage a chain of supermarkets in foreign countries.

They position themselves as a one-stop vendor for their customers’ complete purchasing needs, offering a broad selection of essential goods at competitive prices. Their success can be attributed to their comprehensive market knowledge, effective product assortment, and efficient supply chain management. They mainly deal in basic consumer items that are a part of everyday, essential spending, rather than luxury or discretionary products.

Product Categories

They offer a wide range of products, including:
i. Food Stuffs: Flour, spices, grains, pulses, and other staple items used in day-to-day cooking.
ii. Non-Food FMCG Products: Essential non-food consumer products.
iii. Household Products: Items needed for maintaining households, including cleaning and utility products.
iv. Festive Handicraft Items: Festive and pooja-related items, including handicrafts.
v. Pharmaceutical Products: Essential medicines and healthcare items.

Business Approach and Operations

Their approach is based on offering quality products at competitive prices. Most of the products they sell are those that consumers need daily, forming the base of household spending. They primarily purchase goods directly from manufacturers to maintain quality and pricing control, and the remainder is acquired from reputable vendors in the market.

For their food products, such as flour, spices, grains, and pulses, they buy in bulk and repackage them in customized packaging. Most repackaging work is done by their manufacturers or vendors, to whom they provide the packaging materials and labels. Some repackaging is also carried out at their warehouse. Additionally, they offer private labeling services for their clients, helping them brand products to their specifications.

Conclusion

Their business approach is centered on providing everyday essential products at competitive prices through efficient supply chain and inventory management. Their asset-light model, combined with effective warehousing and distribution systems, helps them achieve economies of scale and maximize profitability. By catering to over 40 countries and ensuring their offerings align with their customers’ needs, they are well-positioned for continued growth in the FMCG export and repackaging sector.

Objects of the Khyati Global Ventures Limited IPO:

The Company proposes to utilize the Net Proceeds from the Issue towards funding the following objects: i. Funding Working capital requirements; and ii. General Corporate Purpose. Total number of share issue :- i. Fresh issue is 1,048,000 shares, ii. Offer for sale is 800,000 shares.

Khyati Global Ventures Limited IPO Details:

Open Date: Oct 04 2024
Close Date: Oct 08 2024
Total Shares: 1,848,000
Face Value: ₹ 10 Per Equity Share
Issue Size: 18.30 Cr.
Lot Size: 1200 Shares
Issue Price: ₹ 99 Per Equity Share
Listing At: BSE SME
Listing Date: Oct 11 2024

Promoters And Management:

Ramesh Rughani, 73, is a founding Promoter and Chairperson of the company's Board. A Commerce graduate and Chartered Accountant since 1979, he has over three decades of leadership experience in sectors like Food, FMCG, Pharma, and Confectionery. As Executive Director, he oversees the company’s operations and plays a key role in strategic decisions, driving the company’s growth since its inception. Hiren Raithatha, 41, has been on the Board since 2011 and is the Joint Managing Director of the company. A Commerce graduate from Mumbai University (2004) with a Post Graduate Diploma in Foreign Trade (2008), he has over a decade of experience in international trade. As a Promoter, he plays a key role in shaping and implementing company strategy and maintaining strong relationships. Aditi Raithatha, 41, has been on the Board since 2021 and is the Joint Managing Director of the company. She holds a Diploma in Foreign Trade from World Trade Centre, Mumbai (2008) and has over five years of experience in international trade. As a Promoter, she is an integral part of the company.

Financials of Khyati Global Ventures Limited IPO:

Particulars ( In Lakhs )
2022
2023
2024
3M-FY25
Revenue from Operations 9,190 9,389 10,346 2,679
Other Income 173 228 118 38
Total Revenue 9,363 9,617 10,464 2,717
Purchase of Stock-in-trade 7,261 7,827 9,456 2,132
Change in Inventories -41 -311 -662 88
Employees Benefit Expenses 195 310 268 59
Other Expenses 1,564 1,357 843 265
EBITDA 384 435 560 173
OPM (%) 4.10% 4.52% 5.35% 6.38%
Depreciation & Amortisation 30 33 30 6
EBIT 354 402 530 167
Finance Cost 160 127 178 42
PBT 195 275 352 125
Tax -45 -69 99 30
PAT 150 206 253 95
NPM (%) 1.60% 2.14% 2.42% 3.48%
No.of Shares 69.78 69.78 69.78 69.78
EPS 2.14 2.94 3.62 1.35

Comparison With Peers:

Note :- There are no listed companies in India that are engaged in a business similar to this company

Recommendation on Khyati Global Ventures Limited IPO:

Review and Recommendation of Khyati Global Ventures by team IZ is 5/10. https://investorzone.in/wp-content/uploads/Untitled-1.pdf

Lead Manager of Khyati Global Ventures Limited IPO:

  1. Aryaman Financial Services Limited

Registrar of Khyati Global Ventures Limited IPO:

  1. Bigshare Services Private Limited

Company Address:

Khyati Global Ventures Limited 54 Juhu, Supreme Shopping Centre, Gulmohar Cross Road no. 9, JVPD Scheme, Juhu, Mumbai- 400049 Phone: +91 22-26255959 Email: info@kgv.co.in Website: http://www.kgv.co.in/

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