Pushp Masale IPO Filing: A Comprehensive Overview

Pushp Masale, under Pushp Brand (India) Pvt Ltd, has submitted its Draft Red Herring Prospectus (DRHP) to the Securities and Exchange Board of India (SEBI) concerning its initial public offering (IPO). This IPO is set up as an offer for sale (OFS) that encompasses 7.44 million shares, without any fresh issue aspect involved.

Details of the Offer for Sale

In the OFS section, prominent investors A91 Partners and Sixth Sense Ventures plan to sell 4.22 million and 1.54 million shares, respectively. Additionally, the promoters, Mahendra Kumar Surana and Surendra Kumar Surana, will each sell 8.4 lakh shares. The anticipated size of the issue is approximately Rs 1,000 crore.

Merchant bankers for this initiative include ICICI Securities, IIFL Capital, and Systematix Group, with KFin Technologies serving as the registrar.

About Pushp Masale

Established in 1974, Pushp Masale produces and markets a vast array of spices and food products under the ‘Pushp’ label. The company offers various items, including whole spices, blended spices, hing, and essential cooking ingredients, available through retail outlets, wholesalers, and online platforms throughout India. Its portfolio boasts 312 SKUs, which comprise 129 SKUs in pure spices and 173 SKUs in blended spices, signifying a consistent effort in portfolio extension.

Investor Engagement and Funding

The Indore-based company has successfully garnered around $28 million (Rs 225 crore) through two funding rounds from A91 Partners and Sixth Sense Ventures. A91 invested approximately Rs 125 crore in 2020 and holds a 20.14% stake at the time of the DRHP submission, whereas Sixth Sense, which invested close to Rs 101 crore in 2023, owns 7.81%. Both entities are strategically reducing their stakes through the OFS.

Financial Performance

The spice manufacturer reported a significant 19% year-on-year increase in operating revenue, reaching Rs 482 crore in FY26, while its profit surged over 28% to Rs 59 crore. The company faces competition from well-known packaged spices brands such as Everest Food Products, Mahashian Di Hatti, Orkla India, Aachi Masala Foods, and Sakthi Masala, among others.