NFP Sampoorna Foods coming with IPO to raise Rs 24.53 crore

NFP Sampoorna Foods

• NFP Sampoorna Foods is coming out with an initial public offering (IPO) of 44,60,000 shares in a price band of Rs 52-55 per equity share.
• The issue will open on January 27, 2026 and will close on January 30, 2026.
• The shares will be listed on SME Platform of NSE.
• The face value of the share is Rs 10 and is priced 5.2 times of its face value on the lower side and 5.5 times on the higher side.
• Book running lead manager to the issue is 3Dimension Capital Services.
• Compliance Officer for the issue is Babli.

Profile of the company

NFP Sampoorna Foods is a food processing and trading company engaged in the procurement, import, processing, grading, packaging, marketing, and distribution of dry fruits. The company’s product portfolio includes cashew nuts (raw and processed), makhana (fox nuts), almonds and Walnut, catering to domestic and regional markets through B2B, B2C and institutional channels. It sources its Raw Cashew Nuts (RCN) directly from selected farms in African countries as well as from registered domestic importers, ensuring access to raw materials at competitive prices. These nuts are then processed in-house to produce cashew kernels in a variety of grades, delivering the crispiest and crunchiest cashews to wholesalers and households across India.

To address the growing demand for health-oriented foods, the company diversified its offerings. In August 2024, makhana was introduced, followed by almonds in March 2025 and Walnut in September 2025 (available exclusively through the B2C channel), almonds and makhana available exclusively through the B2C channel to align with consumer preference for convenient and nutritious products. Furthermore, cashew nuts continue to be distributed through both Business-to-Business (B2B) and B2C channels, enabling the company to effectively cater to a wide range of customer segments and maximize market reach.

The company procures makhana directly from smallholder farmers and aggregators in Bihar, the primary region for makhana cultivation in India. Almonds are sourced through importers, mandi traders, and bulk suppliers, primarily located in the Delhi NCR region and Walnuts are procured from the wholesalers present in Delhi market. This diversified and strategic sourcing approach ensures consistent access to raw materials at competitive prices, supporting the Company’s commitment to quality and reliability.

Proceed is being used for:

• Meeting working capital requirements of the company.
• Prepayment or repayment of a portion of certain outstanding borrowings availed by the Company. 
• General corporate purposes.

Industry Overview

India is the fifth largest economy in the world and expected to be the fastest-growing economy among major G20 countries, with GDP growth estimated to be around 8% in FY24. The food processing sector has become a key contributor to India's economy over the past few years. The sector has performed exceptionally well with an impressive average annual growth rate of 7.3% from 2015 to 2022. It has significantly contributed to Gross Domestic Product (GDP), employment, and investment. 

India is one of the largest populated countries in the world and is expected to continue having one of youngest populations in the world till 2030. The growing consumption of food is expected to reach $1.2 trillion by 2025-26, owing to urbanization and changing consumption patterns. India's food processing sector's market size is estimated to more than double to Rs 60,40,300 crore ($700 billion) in 2030 from Rs 26,49,103 crore ($307 billion) in 2023, driven by growing demand for processed products, according to industry body PHD Chamber of Commerce and Industry (PHDCCI).

The Indian food processing sector offers a promising growth journey ahead and presents several opportunities with the sector being recognised as a key priority industry under the ‘Make in India’ initiative. The MoFPI has undertaken several initiatives aimed at enhancing infrastructure and fostering food processing industries to stimulate investment in this domain. The Indian Government has sought to involve multiple stakeholders to improve interactions between farmers, processors, distributors, and retailers to establish strong supply chains linking farmers to processing and marketing to empower them with nearby grading and storage facilities which will enhance the value of their products.

Pros and strengths

Direct procurement network from Africa, Bihar & Licensed importers: Its Direct Procurement Network spans key sourcing regions-Africa and registered domestic importers for Cashews, Bihar for Foxnuts, and licensed importers in the mandi markets of Delhi NCR for Almonds-leveraging regional diversity, local expertise, and strategic market access. By directly sourcing cashews and foxnuts from producers, it eliminates multiple layers of intermediaries, thereby ensuring fair pricing, greater traceability, and quality control. 

Consistent year-round demand driven by long shelf life: It leverages the natural advantage of dry fruits’ consistent demand throughout the year, largely due to the long shelf life of dry fruits. Unlike many fresh agricultural products that are highly seasonal and perishable, dry fruits can be stored for extended periods without significant loss of quality or nutritional value. This durability allows processors, distributors, and retailers to maintain steady inventory levels and supply across diverse markets and seasons. Consequently, dry fruits are less affected by seasonal fluctuations, enabling stable production planning and sales forecasting.

Established client relationship: It is built strong relationships with its clients by consistently delivering quality dry fruits. Its team focuses on understanding each client's needs through regular communication. It listens to their requirements, ensure timely deliveries, and offer support to help them with their procurement needs. This approach has led to many clients returning to the company for repeat orders, which shows the trust they've placed in its products and services. It is discovered that its focus on quality and reliability has not only allowed it to meet immediate needs but also build long-term trust and confidence among its clients.

Risks and concerns

Revenue dependence on cashew products: The company is significantly dependent on the sale of products, namely cashews. Any adverse change in the market, supply, or regulatory environment relating to cashews may materially affect its business, financial condition, cash flows, and reputation. The company derives a substantial portion of its revenue from the sale of cashews and cashew products, which accounted for around 97.82% of revenue for the period ended November 30, 2025 and 97.49% for the period ended March 31, 2025, 99.99% for the period ended from December 21, 2023 to March 31, 2024, 96.22% for the period ended from April 1, 2023 to December 20, 2023 and 100% for the period ended March 31, 2023. The company is substantially dependent on the sale of cashew products, and any adverse changes in market conditions, supply, or regulations may materially affect its business, financial condition, cash flows, and reputation.

No long-term contracts with suppliers: The raw materials it uses in its processing process are primarily sourced from Africa, including countries such as Ghana, Ivory Coast, Benin, Togo, and Conakry and third-party suppliers in India which import from west African region. In addition, it usually does not enter into long-term supply contracts/ agreements with any of its raw material suppliers and typically source raw materials from the open market. The absence of long-term contracts/agreements at fixed prices exposes us to volatility in the prices of raw materials that it requires and it may be unable to pass these costs onto its customers, which may reduce its profit margins. 

Dependence on major customers: The company has a limited number of customers generating significant portion of revenue from sales. For the period ended November 30, 2025, and the financial years ended March 31, 2025, 2024, and 2023, revenue from operations generated from its top 10 customers accounted for 41.88%, 68.58%, 78.38%, and 86.71% of its total revenue from operations, respectively. The loss of a key customer in a financial period could significantly reduce its revenue and could have a material adverse effect on its business, future prospects, results of operations and financial condition.

Outlook

NFP Sampoorna Foods is a diversified and growing food processing and trading company engaged in the procurement, import, processing, grading, packaging, marketing, and distribution of dry fruits. The company’s core product portfolio includes cashew nuts (raw and processed), makhana (fox nuts), almonds and walnut, catering to domestic and regional markets through B2B, B2C and institutional channels. On the concern side, it has limited Geographical Presence in the market. The company derives a substantial portion of its revenue from a limited number of regions, specifically Delhi NCR, Haryana, and Gujarat. This geographic concentration makes it vulnerable to region-specific risks such as changes in local regulations, economic downturns, infrastructure disruptions, labor shortages, adverse weather events, political instability, or other natural or man-made calamities. Any such development could disrupt its operations in these key markets and materially impact its revenue and profitability.

The company is coming out with a maiden IPO of 44,60,000 equity shares of face value of Rs 10 each. The issue has been offered in a price band of Rs 52-55 per equity share. The aggregate size of the offer is around Rs 23.19 crore to Rs 24.53 crore based on lower and upper price band respectively. On performance front, its total income recorded a robust growth of 53.41%, increasing from Rs 2,330.91 lakh in the financial year ended March 31, 2024, to Rs 3,575.74 lakh in the financial year ended March 31, 2025. Moreover, the company’s profit after tax increased significantly by 162.94%, from Rs 101.70 lakh in FY 2023–24 to Rs 267.41 lakh in FY 2024–25, driven by strong revenue growth and improved operational efficiency.

The company intends to strengthen its position in the healthy snacking segment by expanding its product offerings and enhancing processing capabilities. A key area of focus is the makhana (fox nut) category, which the company views as a high-potential growth vertical. To support this, the company intends to introduce value-added variants such as roasted, flavored, and vacuum-packed makhana targeted at health-conscious urban consumers seeking convenient and nutritious snack options. This strategic focus is expected to enhance the company’s market positioning by enabling it to tap into the rapidly growing demand for healthy, ready-to-eat snacks. Expanding the makhana portfolio with value-added products will allow the company to improve its gross margins, deepen brand engagement, and increase its share in the market.