Sresta Natural Bioproducts Limited, which owns the largest brand in the packaged organic food segment, ’24 Mantra’, has filed draft red herring prospectus (DRHP) with capital markets regulator, SEBI to raise funds through an initial public offering (IPO).
The Initial Public Offering of the Hyderabad-based organic food company comprises fresh issue of equity shares aggregating up to ₹50 crore and an offer sale of up to 70.3 lakh equity shares by the selling shareholders.
The company proposes to utilise the net proceeds from the fresh issue towards Funding the working capital requirements of the Company; Repayment or pre-payment in full or part, of certain outstanding unsecured / secured borrowings availed by the Company; and General Corporate purposes.
Incorporated in 2004 by one of its promoters and MD, Rajashekar Reddy Seelam, Sresta Natural Bioproducts is engaged in the business of procuring, processing, manufacturing, marketing and research and development of organic food products. As of September 30, 2021, company has a presence in a total of 34 countries.
According to a Technopak report, Sresta is also one of the leading Indian organic food brands in the USA with presence in 39 states across Indian Ethnic Stores and Mainstream Stores.
The Book Running Lead Managers to the offer are JM Financial Limited and Axis Capital Limited.
The equity shares are proposed to be listed on BSE and NSE.