Magson Retail And Distribution IPO Date, Price, GMP, Allotment Everything!

Magson Retail and Private Distribution Limited plan to raise Rs 13.74 crore through a fresh issue of 21,14,000 shares, with an issue price of Rs 65 per share. The Initial Public Offer (IPO) subscription will commence on June 23 and conclude on June 27. Here is the Magson Retail And Distribution IPO date, gmp price and allotment everything. If you are looking for the complete details, so it is available here.

Magson Retail And Distribution IPO Date, Price, GMP, Allotment Status!

Magson Retail is primarily involved in the retail and distribution of frozen, gourmet, and specialty foods. They recently introduced their premium product line called Rf Gourmet, which includes items like French Fries, Chilli Garlic Potato Shots, Delhi Aloo Tikki, Veggie Burger Tikki, Chicken Seekh Kababs, and more. Additionally, Magson operates in the e-commerce space, offering online ordering and delivery services for their products. They also own a separate store called ‘My Chocolate World’. Presently, Magson operates 26 stores across Maharashtra, Rajasthan, and Gujarat, with a warehouse located in Ahmedabad for inventory management.

For the fiscal year 2022-2023, Magson reported a 13% year-on-year increase in revenue from operations, amounting to Rs 62.81 crore. The company’s net profit also grew by 12% to Rs 2.51 crore during the same period.

Although Magson does not have direct listed peers for comparison, the company faces competition from organized retail supermarket chains like D-Mart, Big Bazaar, Reliance Retail, and Star Bazaar. Furthermore, it competes with e-tailing companies such as Big Basket, Amazon Pantry, Blinkit, Jio Mart, and Swiggy Instamart due to their online sales and promotional schemes.

One potential risk highlighted by Magson is the significant amount of raw materials they hold in comparison to their sales. If sales performance falters, this could pose challenges for the company. Magson does not have alternative arrangements in place to meet capital requirements, which may impact their operations if they are unable to secure additional debt funding.

The funds raised from the IPO will be allocated towards opening new stores, establishing storage facilities, and integrating backward processes such as food processing and packaging under the “MagSon” brand. The remaining proceeds will be utilized for working capital requirements and general corporate purposes.