Quanto Agroworld Ltd IPO
Chemicals
Price Band
₹67 – ₹67
Lot Size
2000
Minimum Bid Quantity
4000
Minimum Investment
₹268000
Issue Size
₹31.02Cr
Opens
2026-09-15
Closes
2026-09-17
Listing
22-09-2026
Subscription Status
Qualified Institutional Buyers
0 x
Non-Institutional Investor
1.58 x
Retail Individual Investor
0.74 x
Total
1.34 x
IPO Details
Issue Type
EQUITY
Face Value
₹10
Tick Size
1
ISIN
INE0OAB01019
Pre-Apply Available
No
Daily Bidding Time
10:00:00 - 17:00:00
About the Company
Quanto Agroworld is engaged in the cultivation, processing, and supply of medicinal and aromatic plants (MAPs) in India, with lemongrass as its primary crop. The company undertakes activities including land preparation, plantation, crop management, harvesting, steam distillation, packaging, and dispatch. Its products include lemongrass biomass, lemongrass tea-cut, and lemongrass essential oil, which are supplied primarily to institutional and B2B customers across India. The company’s cultivation operations are undertaken on government-leased agricultural land and privately leased farmland. It has approximately 424 acres of developed MSFCL land under cultivation, 312.57 acres under development, and 165.33 acres of privately leased agricultural land managed through its subsidiary, Quanto Agritech Private Limited. Its processing facility located at Ravalgaon, Maharashtra, is spread across approximately 0.50 acres. The facility has steam distillation units, storage infrastructure, and related utilities, with a certified installed essential oil processing capacity of approximately 11.25 metric tonnes per annum (MTPA). Use of proceeds: This is a fresh issue of shares. Therefore, the net proceeds from the fresh issue will go to the company. They will be utilised for the following purposes: Capital expenditure for distillation plant at Ravalgaon, Maharashtra – Rs 3.79 crore Capital expenditure for expansion and development of farms – Rs 15.23 crore Prepayment or repayment of all or a portion of certain outstanding borrowings availed by the company – Rs 3.63 crore General corporate purposes – Rs 4.65 crore
Pros
- • The company claims to operate across key stages of the MAP value chain, including cultivation, harvesting, post-harvest handling, steam distillation, and dispatch. This reduces its reliance on third-party intermediaries for cultivation and primary processing, it claims.
- • The company claims to have access to agricultural land through multi-year leases with MSFCL and private land leasing arrangements through its subsidiary. This is claimed to provide visibility over land availability and tenure, supporting advance crop planning, phased development, and expansion of cultivation capacity.
- • The company claims to undertake cultivation and processing in-house, with distillation facilities located close to cultivation areas. This helps reduce transportation requirements, handling losses, and processing turnaround time.
Cons
- • The company has made a significant portion of its purchases from Quanto Agritech Private Limited, its subsidiary. Purchases amounted to Rs 2.28 crore (23.31% of total expenses) in FY24 and Rs 2.47 crore (24.81%) in FY23. This exposes the company to vendor concentration, supply disruption, pricing and related-party risks.
- • The company’s agricultural operations are exposed to adverse weather conditions, including irregular monsoons, excessive rainfall, floods, droughts, heatwaves, and cyclones. Such factors could reduce crop yields, affect raw material availability, and increase input and logistics costs. Climate-related regulations concerning water, energy, and environmental standards could also increase compliance and operating expenditure.
- • The company operates across two business verticals, namely essential oil and lemongrass. Managing these verticals increases operational complexity and requires adequate managerial expertise, internal controls, accounting systems, and employee capabilities. Any inability to effectively manage and coordinate these operations may adversely affect its business, operating results, and financial condition.
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