The Regaal Resources IPO is set to open for subscription on August 12, 2025, and will close on August 14, 2025. With a total issue size of ₹306 crore, the IPO is a mix of fresh issue and offer for sale. Investors are showing keen interest in this offering due to the company’s strong growth in revenue and profitability over the last few years. In this article, we provide a complete Regaal Resources IPO review and analysis, including its business model, competitive strengths, issue details, financials, objects of the issue, P/E valuation, reasons to invest, risk factors, grey market premium (GMP), and final verdict on whether you should subscribe or avoid.
About Regaal Resources Ltd.
Incorporated in 2012, Regaal Resources Limited is engaged in the manufacturing of maize specialty products with a crushing capacity of 750 tonnes per day. The company’s product portfolio includes:
- Maize starch and modified starch – plant-based starch used across industries.
- Co-products – gluten, germ, enriched fiber, and other by-products.
- Food grade starches – maize flour, icing sugar, custard powder, and baking powder.
The manufacturing facility is located in Kishanganj, Bihar, spread over 54 acres, with a zero liquid discharge process. Regaal Resources caters to industries such as food products, paper, animal feed, and adhesives, and exports to Nepal and Bangladesh.
Competitive Strengths
- Strategic manufacturing location near raw materials and key markets.
- Efficient procurement strategy with multiple sourcing avenues.
- Diversified product portfolio serving various industries.
- Established sales & distribution network in domestic and export markets.
- Experienced promoters and management with deep industry expertise.
Regaal Resources IPO Issue Details
| Particulars | Details |
|---|---|
| IPO Dates | August 12, 2025 to August 14, 2025 |
| Price Band | ₹96 to ₹102 per share |
| Lot Size | 144 shares |
| Total Issue Size | ₹306 crore |
| Fresh Issue | ₹210 crore |
| Offer for Sale | ₹96 crore |
| Face Value | ₹5 per share |
| Listing | BSE, NSE |
| Registrar | MUFG Intime India Pvt Ltd |
| Book Running Lead Manager | Pantomath Capital Advisors Pvt Ltd |
Financial Performance
(₹ in Crores)
| Year Ended | Mar 2023 | Mar 2024 | Mar 2025 |
|---|---|---|---|
| Total Income | 488.67 | 601.08 | 917.58 |
| EBITDA | 40.67 | 56.37 | 112.79 |
| PAT | 16.76 | 22.14 | 47.67 |
| Net Worth | 104.41 | 126.61 | 235.41 |
| Total Borrowings | 188.93 | 357.21 | 507.05 |
Revenue grew by 53%, while PAT increased by 115% in FY25 compared to FY24, showing strong business momentum.
Objects of the IPO
- Repayment/prepayment of certain borrowings – ₹159 crore.
- General corporate purposes – balance amount.
P/E Ratio and Valuation
At the upper price band of ₹102:
- EPS (FY25): ₹4.64 (post-issue)
- P/E Ratio: 21.98x
- Peer companies in the agro-processing space trade at 18x–25x, making the valuation reasonable given the growth trajectory.
Grey Market Premium (GMP)
As per market observers, the Regaal Resources IPO GMP is around ₹28–₹32 per share (as of the latest update), indicating healthy investor interest. This suggests a potential listing gain of 25–30% if market conditions remain stable.
Reasons to Invest
- Strong revenue and profit growth in recent years.
- Diversified and essential product portfolio.
- Strategic manufacturing location ensuring cost efficiency.
- Expanding domestic and export market presence.
- Reasonable valuation compared to peers.
Risk Factors
Based on the Regaal Resources IPO RHP filed on SEBI, here are the major risk factors. Investors should go through complete internal and external risk factors.
- Dependence on agricultural raw materials; price fluctuations can impact margins.
- High debt-equity ratio (2.08 as of FY25).
- Competitive industry with established players.
- Export revenue subject to foreign trade policies.
How to Apply for Regaal Resources IPO
Investors can apply via ASBA through their bank’s net banking or UPI-enabled apps like Zerodha, Groww, and Paytm Money. Minimum application is 1 lot (144 shares) costing ₹14,688.
Conclusion – Subscribe or Avoid?
The Regaal Resources IPO offers a combination of strong financial growth, expanding market reach, and reasonable valuations. While the company’s debt levels are high, the IPO proceeds will significantly reduce borrowings, improving balance sheet strength. Considering the GMP trend and business fundamentals, this IPO looks attractive for both listing gains and long-term investment.
✅ Subscribe for Medium to Long-Term Gains
FAQs
1. What is the Regaal Resources IPO price band?
The price band is ₹96 to ₹102 per share.
2. What is the lot size for Regaal Resources IPO?
The lot size is 144 shares, requiring a minimum investment of ₹14,688.
3. When will the Regaal Resources IPO allotment be finalized?
The allotment date is expected on August 18, 2025.
4. When will the Regaal Resources IPO list?
Tentative listing date is August 20, 2025, on BSE and NSE.
5. What is the Regaal Resources IPO GMP today?
GMP is around ₹28–₹32 per share as of the latest update.
6. Who is the registrar for the IPO?
MUFG Intime India Pvt Ltd is the registrar.
7. Should I invest in Regaal Resources IPO for listing gains?
Yes, based on current GMP and fundamentals, short-term listing gains are possible, but investors should also assess long-term potential.
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