Yashhtej Industries (India) coming with IPO to raise Rs 88.88 crore

Yashhtej Industries (India)

• Yashhtej Industries (India) is coming out with an initial public offering (IPO) of 80,79,600 equity shares of face value of Rs 10 each for cash at a fixed price of Rs 110 per equity share.
• The issue will open on February 18, 2026 and will close on February 20, 2026.
• The shares will be listed on SME Platform of BSE.
• The share is priced at 11 times higher to its face value of Rs 10.
• Book running lead manager to the issue is Erudore Capital.
• Compliance Officer for the issue is Reshma Samir Pange.

Profile of the company

The company, based in Latur, Maharashtra, is primarily engaged in the business of manufacturing/processing of soybean crude oil from soybeans through the solvent extraction process and manufacturing of Soybean De-Oiled Cake (DOC). DOC or soya meal is the solid residue or by-product remaining after oil extraction from soybeans and is rich in proteins and minerals. Soybean Crude oil is required to be further refined to enable it to become edible oil and fit for consumption. Therefore, the company operates in a business to business (i.e. B2B) segment i.e. said crude oil is supplied to the customers who are engaged in undertaking the refining activity. The by-product, i.e. DOC is commonly used as animal feed in the poultry industry. The sales of DOC provide a secondary but significant revenue stream for the company.

In addition to manufacturing soybean crude oil and its by-product DOC, the company has also entered into the segment of the solar power generation and supply of the same. The company has been awarded ‘Letter of Award’ (LoA) to be a Solar Power Developer (SDP) for solar photovoltaic power generating stations of an aggregate capacity of 5 MW (AC) under the Mukhyamantri Saur Krushi Vahini Yojana 2.0 - a scheme launched for implementation of feeder level solarisation under Component C of PM - KUSUM scheme.

Proceed is being used for:

• Capital expenditures
• Working capital requirements
• General corporate purposes 

Industry Overview

Behind the rise of India’s plant-based economy are two quiet yet powerful contributors-crude Soybean Oil and de-oiled cake. While they emerge from the same oilseed, they serve vastly different but equally vital roles in the agricultural and industrial landscape. Extracted from soybean seeds, these two products power sectors ranging from food processing and renewable energy to animal nutrition and global trade. Crude Soybean Oil is the unrefined output of soybean crushing, rich in fatty acids, pigments, and volatile compounds. Though unsuitable for direct consumption, it is the essential input for producing refined edible Soybean Oil, one of the most widely used cooking mediums in India and globally. Through refining processes such as degumming, neutralization, bleaching, and deodorization, crude oil is transformed into a clear, stable, and consumer-ready edible oil.

The future outlook for the crude Soybean Oil and de-oiled cake industry is underpinned by rising domestic consumption, evolving dietary trends, and increasing emphasis on sustainable agricultural and nutritional practices. Crude Soybean Oil, though primarily refined for edible consumption, is also witnessing growing demand across industrial segments such as biodiesel manufacturing, oleochemicals, paints, inks, and lubricants. As the push for renewable fuels gains momentum, the role of crude Soybean Oil in biofuel blending and industrial applications is expected to strengthen further.

India’s solar power industry is witnessing robust growth, driven by an enabling policy environment, cost competitiveness, and increasing demand for clean and sustainable energy. With a national target of 292 GW of solar capacity by 2030, the industry is supported by central and state-level initiatives, including Production-Linked Incentive (PLI) schemes, infrastructure support, and regulatory reforms. The solar power industry in India is poised for robust growth, driven by strong policy backing, declining technology costs, and increasing investor interest in clean energy infrastructure. With a national focus on energy transition and climate commitments under the Paris Agreement, solar power is expected to remain a central pillar in India's renewable energy strategy. 

Pros and strengths

Automated manufacturing processes: Its manufacturing facility is designed with process-specific automation and control mechanisms at multiple stages. The system automatically slows down when any hindrance or irregularity is detected in the manufacturing process. This built-in responsiveness helps prevent damage to the equipment, reduces waste, and minimizes downtime by allowing operators to address issues in real time. By detecting real-time conditions, the system ensures smoother operation, enhances safety, and maintains consistent product quality. This smart feature reflects its commitment to innovation, efficiency, and operational reliability.

In-house laboratory for quality check: The company has earned the trust of its distributors/brokers and customers solely for its product quality through complete transparency. The company conduct in-house quality checks with respect to its finished products on regular intervals to meet the quality and food safety standards. The test report is made available to its customers on demand.

Forward integration into Edible Soybean Oil Segment: The company sells Soybean Crude Oil to refineries which further process the crude oil into edible oil. Now, the company is taking a step towards forward integration by setting up Refining and Bottling Plant for entering the segment of producing edible Soybean Oil leveraging its presence in Soybean Oil market.

Risks and concerns

Dependence on crude soybean oil and soybean de-oiled cake sales: The company is significantly dependent on the sale of its products namely, ‘Crude Soybean Oil’ and ‘Soybean De-Oiled Cake’. Its aggregate revenue from sale of Crude Soybean Oil and Soybean De-Oiled Cake accounted for approximately 100% of its revenue from operations in the stub period as on September 30, 2025 and in FY 2025 & FY 2024. Further, during FY 2023, 100% of the revenue from operations was from trading of Soybean. Inability to anticipate and adapt to evolving consumer preferences and demand for products or ensure product quality may adversely impact the demand for its products and customer loyalty and consequently impact its business, results of operations, financial condition and cash flows.

Dependence on key customers for crude soybean oil and DOC sales: The sales of its products are majorly concentrated in the few customers. With respect to Crude Soybean Oil, for the stub period ending on September 30, 2025 and during FY 2025 & FY 2024, its revenue from operations from its top 10 customers contributes to 89.80%, 63.95% and 99.98% respectively of percentage of total sale of Crude Oil and with respect to DOC, for the stub period ending on September 30, 2025 and during Financial year ended FY 2025 & FY 2024, its revenue from operations from its top 10 customers contributes to 62.27%, 58.91% and 53.40% respectively of percentage of total sale of DOC. Its revenues have been significantly dependent on few customers and its inability to maintain such business may have an adverse effect on its results of operations.

Risk related to price volatility and unavailability of soybean: The primary raw materials i.e., Soybean, is subject to price volatility and unavailability caused by external conditions, such as commodity price fluctuations within India and globally, weather conditions, supply and demand dynamics, logistics, its bargaining power with the suppliers, inflation and governmental regulations and policies. During the stub period as on September 30, 2025 and during the Financial Years 2025, 2024 and 2023, its Purchase of Raw material i.e., Soybean accounted to accounted for 89.17%, 92.58%%, 118.69% & 97.75%, of its revenue from operations, respectively. Inadequate or interrupted supply and price fluctuation of its raw materials could adversely affect its business, results of operations, cash flow and financial condition.

Outlook

Yashhtej Industries (India) is primarily engaged in the business of manufacturing/processing of soybean crude oil from soybeans through the solvent extraction process and manufacturing of Soybean De-Oiled Cake. DOC or soya meal is the solid residue or by-product remaining after oil extraction from soybeans and is rich in proteins and minerals. On the concern side, its Purchase of Raw Material i.e., Soybean have been significantly dependent on few suppliers and its dependence on all or few suppliers may have an adverse effect on its results of operations. For the stub period ending on September 30, 2025 and during the FY 2025, FY 2024 & FY 2023, the purchase of its raw material from its top 10 suppliers contributes to 65.17%, 46.87%, 60.53% & 45.00% respectively of percentage of total purchase of raw material. The primary raw materials i.e., Soybean, and concentration/ dependence of purchase of the said raw material from few suppliers may have adverse effect on its business, results of operations, financial condition and cash flows.

The company is coming out with an IPO of 80,79,600 equity shares of face value of Rs 10 each for cash at a fixed price of Rs 110 per equity share to mobilize Rs 88.88 crore. On performance front, its revenue from operations increased by 448.16% to Rs 32,475.64 lakh for FY 2025 from Rs 5,924.49 lakh for FY2024. Profit after tax has increased by 924.62% from Rs 112.89 lakh for FY 2024 to Rs 1,156.69 lakh for FY 2025.

Going forward, the company places strong emphasis on maintaining high standards of quality throughout the manufacturing process. From sourcing of raw soybeans to oil extraction and by-product handling, strict quality control measures are implemented to ensure product safety, purity, and compliance with applicable standards. With the proposed Refining Plant and Bottling Plant, it plans to introduce appropriate quality assurance protocols to deliver consistent, edible oil to its customers. The company is committed to enhancing its operational efficiency through the adoption of advanced technology and sustainable production methods. In this light, its manufacturing facility is designed with process-specific automation and control mechanisms at multiple stages. The system automatically slows down when any hindrance or irregularity is detected in the manufacturing process.