Mukka Proteins Refiles Draft Papers with Sebi to Mop-up Funds Via IPO – News18

Mukka Proteins Ltd, which manufactures fish meal, fish oil and fish soluble paste, has filed fresh preliminary papers with capital markets regulator Sebi to mobilise funds through an initial public offering (IPO). The Mangaluru-based firm had earlier filed its draft papers with the regulator in March 2022. However, the company shelved its IPO plans that time and withdrew its draft papers.

Going by the fresh draft red herring prospectus (DRHP), the IPO is entirely a fresh issue of up to 8 crore equity shares.

According to market sources, the IPO size could be anywhere between Rs 175 crore and Rs 200 crore.

Proceeds to the tune of Rs 120 crore will be used towards working capital requirements, up to Rs 10 crore for investment in its associate, Ento Proteins, for funding its working capital requirements, besides, general corporate purposes.

Mukka Proteins is one of the key players of the fish protein industry.

It has six manufacturing facilities, of which two are held through its foreign subsidiary, Ocean Aquatic Proteins LLC, which is based in Oman and four are located in India. Additionally, the company runs 5 storage facilities and three blending facilities in India.

The company manufactures fish oil which is used in the production of soap, leather tanneries, and the paint industry.

Apart from selling domestically, the company exports its products to more than 10 countries, including Bahrain, Bangladesh, Chile, China, Indonesia, Malaysia, Myanmar, Philippines, Saudi Arabia, South Korea, Oman, Taiwan, and Vietnam.

Mukka Proteins’ revenue from operations rose 27.60 per cent to Rs 770.50 crore in fiscal 2022 from Rs 603.83 crore in fiscal 2021 and profit after tax (PAT) surged 134.50 per cent to Rs 25.82 crore in the period under review from Rs 11.01 crore in the preceding fiscal.

For the nine months ended December 31, 2022, revenue from operations stood at Rs 756.41 crore and PAT was at Rs 25.60 crore.

Fedex Securities is the sole book-running lead manager. The equity shares are proposed to be listed on the BSE and NSE.

(This story has not been edited by News18 staff and is published from a syndicated news agency feed – PTI)