Stocks

Tirupati Agri Trade plans IPO in FY22

Shobha Roy Kolkata | Updated on April 04, 2021

Firm plans to hike turnaround to about ₹1,000 crore in next three-to-five years

Kolkata-based Tirupati Agri Trade, which started its journey as a rice trading company seven years ago, is planning to come out with an IPO in fiscal year 2022, according to the CEO of the firm, Suraj Agarwal.

“The quantum of fund raising will depend on the valuation which will be decided by the investment bankers, but we are looking to raise around ₹40-50 crore,” Agarwal told BusinessLine.

The company is also looking to make its mark as an FMCG company in the foods space with a diverse product basket across segments including beverages, pulses, spices, among others. Tirupati Agri Trade, which sells over 75 SKUs of rice including Basmati, Gobindo Bhog, etc, has launched a separate vertical for other products under the brand ‘Food Villa’.

The company, which has been witnessing over a 50 per cent growth in sales on a year-on-year basis, has a turnover of around ₹100-120 crore currently. The firm has plans to increase it to around ₹1,000 crore in the next three-to-five years.

Apart from Bengal, the company has a good demand for its rice in Odisha, parts of Karnataka,Maharashtra, among others.

Diversifying product basket

The company launched tea under its ‘Food Villa’ brand around seven months ago and has tied up with the Asian Tea Company for sourcing Assam tea. The company also launched unpolished pulses under the consumer segment two months ago. The segment currently has around eight variety of pulses, with the firm planning to to scale it up.

The firm will also be launching a range of spices under the ‘Food Villa’ brand next month. Tirupati Agri Trade has also signed an MoU with the Kolkata Port Trust for growing an organic variety of rice on their land on a PPP (public private partnership) basis.

The company has also opened retail chains called ‘The Villa’ for selling its products. They have opened two outlets at present and plan to set up around 70-80 such outlets across the State during the current fiscal.

Published on April 04, 2021

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