The Regaal Resources IPO is generating significant buzz as it prepares to hit the primary market next week. This agri-processing company aims to raise ₹306 crore, combining fresh capital infusion with an exit opportunity for existing shareholders. With the Grey Market Premium (GMP) signaling strong investor interest, this comprehensive guide dives deep into every critical aspect – from financials and GMP trends to risk assessment and subscription advice – empowering you to make an informed investment decision.
Regaal Resources IPO Live GMP Today (August 10, 2025):
- Current GMP: ₹18 – ₹22 per share
- Estimated Listing Price: ₹114 – ₹124 per share (Based on upper price band of ₹102 + GMP)
- Expected Listing Gains: Approximately 12% – 22% (Subject to market conditions)
Note: GMP is volatile and changes daily based on market sentiment. Check reputable financial portals closer to the subscription date for updates.
1. About Regaal Resources IPO Details
Regaal Resources Limited’s IPO is a blend of capital raising and shareholder monetization, targeting growth and financial stability.
| Parameter | Details |
|---|---|
| IPO Opening Date | August 12, 2025 |
| IPO Closing Date | August 14, 2025 |
| Face Value | ₹5 per share |
| Price Band | ₹96 to ₹102 per share |
| Lot Size | 144 Shares |
| Issue Type | Book Built Issue |
| Listing Exchanges | BSE, NSE |
| Total Issue Size | ₹306.00 Crores (3,00,00,235 shares) |
| Fresh Issue | ₹210.00 Crores (2,05,88,235 shares) |
| Offer for Sale (OFS) | ₹96.00 Crores (94,12,000 shares by Promoters & Existing Shareholders) |
| Bid Lot Multiples | In multiples of 144 shares |
| Book Running Lead Manager (BRLM) | Pantomath Capital Advisors Pvt Ltd, Sumedha Fiscal Services Ltd |
| Registrar | MUFG Intime India Private Limited (Link Intime) |
Key Takeaway: This IPO offers investors entry into a specialized agri-processing player with a focus on debt reduction and growth.
2. About Regaal Resources Ltd.: Company Deep Dive
Founded in 2012 and headquartered in Kolkata, Regaal Resources is a prominent manufacturer of maize-based specialty products in India. Operating a state-of-the-art facility spread over 54.03 acres in Kishanganj, Bihar, the company boasts a crushing capacity of 750 tonnes per day (TPD). Their commitment to sustainability is evident through a zero liquid discharge (ZLD) plant.
Core Business & Products:
- Primary Products: Maize Starch, Modified Starch (Natural plant-based starches).
- Co-Products: Maize Gluten, Germ, Enriched Fiber, Fiber.
- Food Grade Starches: Maize Flour, Icing Sugar, Custard Powder, Baking Powder.
Market Reach & Clientele:
- Geographies: Strong domestic presence with exports to Nepal and Bangladesh.
- Industries Served: Food Products, Paper, Animal Feed, Adhesives.
- Customer Segments: End-product manufacturers, Intermediate product manufacturers, Distributors/Wholesalers.
- Key Clients: Emami Paper Mills, Century Pulp & Paper, Manioca Food Products, Kush Proteins, Shri Guru Oil Industries, Mayank Cattle Food, Aarnav Sales, Eco Tech Papers, Genus Paper Board, Krishna Tissues, Maruti Papers, M/s Vasu and Sons.
Competitive Strengths:
- Strategic Location: Plant situated near raw material sources (Bihar maize belt) and consumption hubs, reducing logistics costs.
- Diversified Portfolio: Wide product range catering to multiple high-demand industries, mitigating sector-specific risks.
- Established Network: Robust sales and distribution network across India and neighboring countries.
- Efficient Sourcing: Multi-channel raw material procurement ensuring supply stability and cost optimization.
- Experienced Leadership: Founders and management possess deep domain expertise in agro-processing.
- Sustainable Operations: ZLD facility demonstrates environmental responsibility, aligning with regulatory trends.
Workforce: As of May 31, 2025, the company employed 491 personnel.
3. Regaal Resources IPO GMP (Grey Market Premium) & Expected Listing Gain
The Grey Market Premium (GMP) is an unofficial indicator of investor sentiment and potential listing price.
- Live GMP (August 10, 2025): ₹18 – ₹22 per share.
- Interpretation: This indicates strong grey market demand, with shares trading at a significant premium over the upper price band.
- Estimated Listing Price: ₹102 (Upper Band) + ₹20 (Avg. GMP) = ₹122 per share.
- Expected Listing Gain: (₹122 – ₹102) / ₹102 * 100 ≈ 19.6% (Range: 12% – 22% based on GMP volatility).
- Important Caveats: GMP is highly speculative, driven by short-term sentiment, liquidity, and rumors. It can change dramatically before listing and is not a guaranteed indicator of actual listing performance. Market conditions on listing day play a crucial role.
Note: GMP fluctuates daily. Check our IPO GMP Tracker for real-time updates.
4. Regaal Resources Ltd. Financial Performance (Restated Consolidated)
Regaal has demonstrated impressive growth, particularly in FY25. Here’s a detailed snapshot:
| Financial Metric (₹ Crores) | FY 2025 | FY 2024 | FY 2023 | CAGR (FY23-FY25) |
|---|---|---|---|---|
| Total Revenue / Income | 917.58 | 601.08 | 488.67 | 37.0% |
| Profit After Tax (PAT) | 47.67 | 22.14 | 16.76 | 68.7% |
| EBITDA | 112.79 | 56.37 | 40.67 | 66.5% |
| Total Assets | 860.27 | 585.97 | 371.52 | 52.0% |
| Net Worth | 235.41 | 126.61 | 104.41 | 50.2% |
| Total Borrowings | 507.05 | 357.21 | 188.93 | 63.9% |
| Reserves & Surplus | 202.44 | 125.12 | 102.92 | 40.2% |
| EBITDA Margin (%) | 12.29% | 9.38% | 8.32% | – |
| PAT Margin (%) | 5.19% | 3.68% | 3.43% | – |
Financial Analysis:
- Strong Revenue & Profit Growth: Exceptional growth in Revenue (53% YoY in FY25), PAT (115% YoY in FY25), and EBITDA (100% YoY in FY25) highlights operational scaling and efficiency.
- Margin Expansion: Both EBITDA and PAT margins have improved significantly in FY25, indicating better pricing power, cost control, or economies of scale.
- Increased Leverage: Total borrowings have risen substantially (42% YoY in FY25) to fund expansion, reflected in the higher Debt/Equity ratio (see KPIs below). Reducing this debt is a key IPO objective.
- Asset Base Growth: Significant investment in assets supports the increased production capacity and revenue.
5. Regaal Resources IPO Application & Lot Size Details
Applying involves bidding within the price band in specific lot sizes.
| Investor Category | Minimum Lots | Minimum Shares | Minimum Investment (₹) | Maximum Investment (₹) for Category |
|---|---|---|---|---|
| Retail Investor | 1 | 144 | 14,688 (₹102) | 1,90,944 (13 Lots / 1,872 Shares) |
| S-HNI (Small HNI) | 14 | 2,016 | 2,05,632 | 9,98,784 (68 Lots / 9,792 Shares) |
| B-HNI (Big HNI) | 69 | 9,936 | 10,13,472 | No Upper Limit |
- Application Process: Apply via your bank’s ASBA facility (net banking/mobile banking) or through your stockbroker’s trading platform using UPI. Ensure UPI mandate confirmation by 5:00 PM on August 14, 2025.
6. IPO Reservation Quota (% of Net Offer)
The issue reserves shares for different investor categories as per SEBI guidelines:
| Investor Category | Percentage of Offer |
|---|---|
| Qualified Institutional Buyers (QIB) | Not more than 50% |
| Non-Institutional Investors (NII) / HNI | Not more than 15% |
| Retail Individual Investors (RII) | Not less than 35% |
| Employees | Up to 0.29 Crores (Reserved but within RII/NII/QIB limits) |
7. Regaal Resources IPO Promoter Holding Details
The promoters are heavily invested pre-IPO and will dilute partially via the OFS.
| Holding Status | Pre-IPO (%) | Post-IPO (%) | Change |
|---|---|---|---|
| Promoter & Promoter Group | 99.56% | ~78.5% (Estimated)* | -21.06% |
*Promoters (Anil Kishorepuria, Shruti Kishorepuria, Karan Kishorepuria, BFL Private Limited) are selling part of their stake (OFS component), leading to dilution. The post-IPO holding is estimated based on the OFS size and total post-issue capital. Despite dilution, promoters retain significant skin in the game, aligning interests with public shareholders.
8. Objective of the Issue (Use of Proceeds)
The net proceeds from the Fresh Issue (₹210 Crores) will be utilized as follows:
- Repayment/Pre-payment of Borrowings:₹159 Crores will be used to reduce the company’s outstanding debt. This is crucial for:
- Lowering interest costs and boosting future profitability (PAT).
- Improving financial health (lower Debt/Equity ratio).
- Enhancing borrowing capacity for future needs.
- General Corporate Purposes: The remaining ₹51 Crores will be used for general operational expenses and working capital requirements.
The OFS proceeds (₹96 Crores) go directly to the selling shareholders, not the company.
9. Regaal Resources IPO Timeline (Tentative)
Mark these critical dates on your calendar:
| Event | Tentative Date | Day |
|---|---|---|
| IPO Open Date | August 12, 2025 | Tuesday |
| IPO Close Date | August 14, 2025 | Thursday |
| Cut-off for UPI Mandate | 5:00 PM, Aug 14, 2025 | Thursday |
| Basis of Allotment Finalization | August 18, 2025 | Monday |
| Initiation of Refunds | August 19, 2025 | Tuesday |
| Credit of Shares to Demat | August 19, 2025 | Tuesday |
| Listing Date | August 20, 2025 | Wednesday |
10. Retail, HNI, and QIB Investment Limits
- Retail Investors (RII): Maximum application amount capped at ₹2,00,000. Can bid for up to 13 lots (1,872 shares / ₹1,90,944 at upper band).
- Non-Institutional Investors (NII/HNI): No upper limit. Includes corporates, trusts, and individuals investing over ₹2 lakhs. Sub-categories: Small HNI (₹2 lakhs – ₹10 lakhs investment) and Big HNI (>₹10 lakhs).
- Qualified Institutional Buyers (QIB): No upper limit. Includes FIIs, DIIs (Mutual Funds, Insurance Companies), Banks, VCs, etc.
11. IPO Investor Category Reservations
Reservations are applied within the overall QIB (50%), NII (15%), and RII (35%) quotas. There’s also a small Employee Reservation (₹0.29 Crores worth of shares), but employee applications are processed within the RII/NII/QIB categories they fall under based on application size.
12. IPO Anchor Investor Details
- Status: As of August 10, 2025, the Anchor Investor portion for the Regaal Resources IPO has not yet been finalized or announced.
- Expectation: Typically announced 1-2 days before the IPO opens (around Aug 10-11, 2025). Anchor investment often signals institutional confidence.
- Where to Check: Monitor NSE/BSE websites and financial news portals for the anchor book details once released.
13. Key Performance Indicators (KPIs) & Valuation
These ratios help assess profitability, efficiency, leverage, and valuation:
| KPI | Pre-IPO (FY25) | Post-IPO (FY25 Est.) | Remarks |
|---|---|---|---|
| Return on Equity (RoE) | 20.25% | ~16.5-17.5%* | High & healthy, dilution post-IPO will reduce it |
| Return on Capital Employed (RoCE) | 14.17% | ~12-13%* | Good efficiency, impacted by debt repayment |
| Return on Net Worth (RoNW) | 20.25% | ~16.5-17.5%* | Synonymous with RoE Pre-IPO |
| PAT Margin | 5.19% | Likely Improves | Debt repayment reduces interest cost |
| EBITDA Margin | 12.29% | Stable/Improves Slightly | Operational efficiency focus |
| Debt to Equity (D/E) | 2.08 | ~0.9-1.1* | Major Improvement post debt repayment |
| Earnings Per Share (EPS) (₹) | 5.80 | 4.64 | Dilution from fresh issue reduces EPS |
| Price to Earnings (P/E) (x) | 17.58 (Pre) | 21.98 (Post) | Valuation expands post-listing (based on issue price) |
| Price to Book Value (P/BV) (x) | 6.18 | ~5.0-5.5* | Dilution and increased net worth lower P/BV |
| Market Cap (₹ Cr.) | – | 1,047.79 | Based on Post-IPO Equity & Upper Price Band |
Post-IPO estimates are directional, assuming successful debt repayment and utilization of GCP. Debt/Equity reduction is the most significant positive change.
Verdict: Post-IPO P/E of 22x appears slightly rich compared to some agro-processing peers but could be justified by high growth rates and improved balance sheet post-debt reduction. P/BV is more reasonable.
14. Regaal Resources IPO Risk Factors
Investing involves risks. Key risks specific to Regaal Resources:
- Business & Operational:
- Raw Material Price Volatility: Maize prices significantly impact costs and margins.
- Production & Capacity Utilization: Dependence on single plant; disruptions or under-utilization hurt performance.
- Customer Concentration: Loss of key clients could impact revenue (though client list is diversified).
- Working Capital Intensity: Requires significant inventory and receivable management.
- Competition: Intense competition in the agro-processing sector.
- Industry & Regulatory:
- Government Policies: Changes in agricultural subsidies, MSP, export/import duties, food safety regulations (FSSAI).
- Environmental Compliance: Stricter environmental norms could increase compliance costs (mitigated by ZLD plant).
- Financial:
- Leverage: High pre-IPO debt levels (though IPO addresses this substantially). Post-IPO D/E remains moderate.
- Margin Sustainability: Maintaining recent high growth and margin levels might be challenging.
- Economic Downturn: Reduced demand in end-user industries (paper, FMCG, feed).
15. Regaal Resources Ltd. Contact Details
Registered & Corporate Office:
Regaal Resources Ltd.
6th Floor, D2/2,
Block-EP & GP, Sector-V,
Kolkata, West Bengal – 700091, India
Phone: +91 33 3522 2405
Email: cs@regaal.in
Website: https://www.regaalresources.com/
16. Regaal Resources IPO Registrar Details
Registrar to the Issue:
MUFG Intime India Private Limited (Link Intime)
C-101, 1st Floor, 247 Park
L.B.S. Marg, Vikhroli (West)
Mumbai – 400 083, Maharashtra, India
IPO Helpline Phone: +91-22-4918 6270
IPO Specific Email: regaalresources.ipo@in.mpms.mufg.com
Website: https://linkintime.co.in
Link for IPO Status/Allotment: https://linkintime.co.in/IPO/public-issues.html (Select “Regaal Resources Ltd” once active)
17. Regaal Resources IPO Recommendation: Subscribe or Not?
Analysis:
- Strengths (Pros):
- Strong revenue and profit growth momentum (especially FY25).
- Strategic location near raw materials and markets.
- Diversified product portfolio and client base.
- Significant reduction in debt (D/E expected to halve) post-IPO, boosting financial health.
- Experienced promoters with high post-IPO skin in the game (~78.5%).
- Positive Grey Market Premium (GMP ~₹20) indicating strong short-term demand.
- Sustainable operations (ZLD plant).
- Weaknesses/Concerns (Cons):
- Post-IPO P/E valuation (22x) is relatively high for the sector.
- Dependence on a single manufacturing location.
- Vulnerability to volatile raw material (maize) prices.
- Moderately high post-IPO debt (D/E ~1.0).
- Intense industry competition.
Recommendation: SUBSCRIBE (with a Medium-Term View)
- Why? The company operates in a stable sector with growth potential. Its impressive recent financial performance, strategic advantages, and the primary use of funds for debt reduction are significant positives. The expected improvement in the balance sheet (lower D/E, reduced interest costs) should enhance profitability and stability. The GMP suggests a strong listing pop is likely.
- Caveats: The valuation is not cheap. Investors should be aware of the inherent sector risks (commodity prices, competition). This IPO is suitable for investors with a medium-risk appetite looking for exposure to the agri-processing space and willing to hold beyond potential listing gains to benefit from the deleveraged company’s growth.
18. IPO Allotment and Refunds Process
- Allotment Basis: Proportional basis within each investor category (RII, NII, QIB) for oversubscribed portions. Retail investors often get at least 1 lot if oversubscribed is moderate. Lottery system used if oversubscription is very high in Retail.
- Refund Timeline: Initiated on August 19, 2025. Processed electronically:
- ASBA/Blocked Amount: Funds blocked in your bank account will be released if not allotted, or only the allotted amount will be deducted. Unblocking happens on Aug 19.
- UPI Mandate: If you applied via UPI, the mandate will expire automatically if not confirmed by the bid, or funds for unallotted portions won’t be debited. Refunds aren’t typically needed; the block is simply removed.
- Payment Methods: Only UPI or ASBA (bank account blocking) are permitted for IPO applications. No direct debit.
- Actions After Allotment:
- Credit: Allotted shares credited directly to your Demat account by August 19, 2025.
- Listing Day (Aug 20, 2025): Shares become tradable on BSE & NSE.
- Hold or Sell?
- Listing Gains: If listing gains meet your target (e.g., 15-20%) and you have concerns about valuation/sector, consider partial/full profit booking.
- Long-Term Hold: If you believe in the company’s fundamentals post-debt reduction and growth prospects, hold for potential medium-term gains. Monitor quarterly results closely.
19. RHP/DRHP: The Bible for Investors
- What is RHP/DRHP? The Red Herring Prospectus (RHP – filed post-SEBI approval) and Draft Red Herring Prospectus (DRHP – filed initially) are the official documents containing all details about the company, IPO, risks, financials, objectives, promoters, and legal matters.
- Why Read it? Essential for thorough due diligence beyond summaries. It’s the primary source of verified information.
- Where to Find:
- SEBI Website: Download Regaal Resources IPO DRHP
- Regaal Resources RHP Link: (Available on above sites once finalized) Search for “Regaal Resources RHP” closer to the opening date.
20. Regaal Resources IPO Review: Balanced Perspective
Pros:
- Exceptional Growth: Remarkable revenue and profit surge in FY25.
- Debt Reduction Focus: Primary use of proceeds addresses the key financial weakness (high leverage).
- Strategic Positioning: Plant location offers sourcing and distribution advantages.
- Product & Client Diversification: Reduces reliance on any single market.
- Experienced Promoters: High post-IPO holding aligns interests.
- Positive Market Sentiment: Strong GMP indicates likely listing gains.
- Sustainable Practice: ZLD plant addresses environmental concerns.
Cons:
- Rich Valuation: Post-IPO P/E of ~22x demands sustained high growth.
- Commodity Price Risk: Profitability vulnerable to maize price fluctuations.
- Single Plant Risk: Operational hiccups could significantly impact performance.
- Competitive Landscape: Operating in a crowded agro-processing market.
- Moderate Post-IPO Debt: D/E of ~1.0 still requires careful management.
Overall: Regaal Resources presents a compelling case driven by strong growth and a transformative debt reduction plan. While the valuation is demanding and sector risks exist, the positives, especially the balance sheet improvement and current market sentiment (GMP), tilt the scales favorably for a subscription, particularly for investors seeking medium-term opportunities.
21. Regaal Resources IPO FAQs (Frequently Asked Questions)
- Q: What is the Regaal Resources IPO GMP today?
A: As of August 10, 2025, the Regaal Resources IPO GMP is ₹18 – ₹22. This suggests an estimated listing price of around ₹114 – ₹124 per share. - Q: What are the Regaal Resources IPO dates?
A: The IPO opens on August 12, 2025, and closes on August 14, 2025. - Q: What is the lot size and minimum investment?
A: The lot size is 144 shares. The minimum investment (1 lot) at the upper price band (₹102) is ₹14,688. - Q: How can I apply for the Regaal Resources IPO?
A: Apply via your bank’s ASBA section (Net Banking/ Mobile Banking) or through your stockbroker’s trading app/platform using UPI. Ensure UPI mandate confirmation by 5 PM on August 14, 2025. - Q: When will I know if I got shares (allotment date)?
A: The tentative date for finalizing the basis of allotment is August 18, 2025. Check the registrar’s (Link Intime) website or your broker/bank portal that day evening or the next morning. - Q: When is the Regaal Resources IPO listing date?
A: Shares are tentatively scheduled to list on Wednesday, August 20, 2025, on both BSE and NSE. - Q: What is the main objective of the Regaal Resources IPO?
A: The primary objective is debt reduction (₹159 Crores from the fresh issue proceeds). The remaining ₹51 Crores is for General Corporate Purposes (GCP). - Q: Who are the promoters of Regaal Resources?
A: The promoters are Anil Kishorepuria, Shruti Kishorepuria, Karan Kishorepuria, and BFL Private Limited. They currently hold 99.56% pre-IPO, which will reduce to ~78.5% post-IPO. - Q: Is Regaal Resources IPO good for listing gains?
A: Based on the current GMP (₹18-22), listing gains of ~12-22% are expected. However, GMP is speculative and can change. Listing day market sentiment is crucial. - Q: Should I subscribe to the Regaal Resources IPO for the long term?
A: The recommendation leans towards “SUBSCRIBE”. The company shows strong recent growth, and the focus on debt reduction significantly improves its financial health. While the valuation is slightly high, the prospects post-debt repayment are promising for medium-term investors. Consider your risk appetite and sector outlook.
Conclusion
The Regaal Resources IPO arrives at a time when the company is demonstrating robust financial performance and seeking to fortify its balance sheet through significant debt reduction. The strong Grey Market Premium reflects investor optimism, potentially offering attractive listing gains. While the post-issue valuation demands confidence in sustained growth, the company’s strategic positioning, diversified operations, and deleveraging story present a compelling case. Investors with a medium-term horizon and moderate risk tolerance should consider applying, keeping a close eye on the final anchor investor details and overall market conditions leading up to the subscription window. Thoroughly reviewing the RHP remains essential before making any final investment decision.
