About the Company: Patel Retail Ltd.
Patel Retail Ltd. is a growing retail supermarket and food processing company based in Maharashtra, India. Established in 2008, the company runs over 40 stores mainly in suburban Mumbai, Thane, and Raigad districts, targeting tier-III cities and semi-urban areas under its “Patel’s R Mart” brand. Patel Retail also processes and sells food items such as spices, pulses, and mango pulp, and offers private label brands like Patel Fresh, Indian Chaska, Blue Nation (men’s wear), and Patel Essentials. The company has a supply chain hub in Ambernath, Maharashtra, and exports its products to more than 25 countries.
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Patel Retail -IPO Details
| Detail | Information |
|---|---|
| Issue Price Range | ₹237 – ₹255 per share |
| Face Value | ₹10 per share |
| Minimum Lot (Retail) | 58 shares (₹13,746–₹14,790 approx) |
| Maximum Lot (Retail) | 13 lots (754 shares, approx ₹1,92,270) |
| Minimum Lot (HNI) | 14 lots (812 shares, approx ₹2,07,060) |
| Issue Type | Book Built (Fresh Issue + Offer For Sale) |
| Total Issue Size | ₹242.76 crore |
| Fresh Issue | ₹217.21 crore |
| Offer for Sale (OFS) | ₹25.55 crore |
| Listing | NSE, BSE |
| Registrar | Bigshare Services Pvt. Ltd.CLICK HERE |
IPO Timeline (Important Dates)
| Event | Date |
|---|---|
| IPO Opens | 19th August 2025 |
| IPO Closes | 21st August 2025 |
| Allotment Final | 22nd August 2025 |
| Refunds Start | 25th August 2025 |
| Shares in Demat | 25th August 2025 |
| Listing Date | 26th August 2025 |
What’s the Money Used For?
- Expanding and opening more stores.
- Repaying some company loans to reduce debt.
- Funding general company needs and working capital.
Key Financial Metrics (in Simple Language)
| Metric | FY 2023 (₹ Cr.) | FY 2024 (₹ Cr.) | FY 2025 (₹ Cr.) |
|---|---|---|---|
| Revenue | 1,018.55 | 814.19 | 820.69 |
| Profit After Tax (PAT) | 16.38 | 22.53 | 25.28 |
| EBITDA | 43.24 | 55.84 | 62.43 |
| EBITDA Margin (%) | 4.25% | 6.86% | 7.61% |
| PAT Margin (%) | 1.61% | 2.77% | 3.08% |
| EPS (₹) | 6.72 | 9.24 | 10.16 |
| Net Worth | 71.87 | 94.40 | 134.57 |
| Debt/Equity Ratio | 2.54 | 1.97 | 1.34 |
| Return on Equity (RoE) | 23.66% | 24.24% | 19.02% |
| Return on Capital Employed (RoCE) | 12.66% | 15.10% | 14.43% |
What do these numbers mean?
- Revenue: Total sales from the company’s business.
- EBITDA: Operating profit before loan interest and taxes.
- PAT: Final profit after all costs.
- EPS: Profit for each share.
- Net Worth: Value of the company after paying debts.
- Debt/Equity: How much the company owes compared to its value.
- Return on Equity: How well the company uses investors’ money.
Analysis
- Despite a drop in revenue after FY2023, profit after tax (PAT) and EBITDA continue to improve, showing the company controls costs well.
- Profit margins increased over the last three years, signaling stronger business health.
- Debt has reduced over time, making the company financially safer.
- The company continues to use shareholder money efficiently (high RoE and RoCE).
- EBITDA and net profit growth indicates improving operational performance.
Why Some Investors Like This Mainboard IPO
- Patel Retail taps into the growing supermarket market in India’s smaller cities and suburbs.
- Private label strategy supports higher margins.
- The company is expanding with a strong brand presence in Western India.
- Uses a single supply chain hub for efficiency.
- IPO proceeds will help fuel further store and business growth.
Points That Need Caution
- Most sales come from Western India, so the company depends on a few regions.
- Retail is a very competitive business with price pressures.
- Any disruption in the supply chain or rising costs (rent, labor, transport) could affect profits.
- Revenue did dip sharply after a peak in FY2023, so future growth needs to be closely watched.
- Debt still exists and needs constant management.
IPO FAQS
What is an IPO?
- An IPO (Initial Public Offering) is when a private company sells its shares to the public for the first time to raise money.
- Example: If a well-known pizza company wants to grow, it can list its shares on the stock exchange so anyone can buy a piece of the company.
How can you apply for an IPO (using Zerodha or Upstox)?
- Make sure you have a Demat account and your bank account is linked.
- Steps:
- Log in to your broker’s app (e.g., Zerodha Kite, Upstox).
- Go to the IPO section.
- Select the company’s IPO you want to apply for.
- Enter how many shares (or ‘lots’) you want and the price you wish to bid.
- Enter your UPI ID, submit your application, and approve the UPI payment request.
How are IPO shares allotted?
- If more people want shares than are available, the company uses a lottery system to decide who gets them.
- If you don’t get shares, your money is simply returned.
What is GMP (Grey Market Premium)?
- GMP shows the extra price people are willing to pay for IPO shares before they officially start trading.
- Example: If IPO price is ₹100 and GMP is ₹20, people are unofficially ready to pay ₹120. It hints at the IPO’s popularity but isn’t a guarantee.
Where to check upcoming IPOs (IPO calendar)?
- Visit popular finance sites like Chittorgarh, IPOWatch, or official exchange websites (NSE, BSE) and look for the “Upcoming IPO” section.
What are IPO listing gains?
- If the share’s price rises on the first trading day, you can make instant profit.
- Example: You buy at ₹150, and it opens at ₹200, you gain ₹50 per share.
How can you make profit from an IPO?
- Quick gains on listing day (if the stock price goes up).
- Long-term: If the company grows, the share price could increase further.
Which IPO is best to buy?
- There is no single best IPO. Check the company’s background, current demand, and GMP, but always research before investing.
- High GMP or popularity doesn’t guarantee profits.
Are IPOs safe?
- IPOs can be profitable but also risky; prices can go up or down sharply.
- Only invest if you are ready for potential losses.
How to check IPO allotment status?
- After the IPO process, check on exchanges (BSE/NSE websites) or the IPO registrar’s site (like K-Fintech, Bigshare,or mufg-intime) by entering your PAN or application number to see if you got shares.
Important Tips for Retail Investors Applying for an IPO
- Use Only Your Own PAN Card:
Avoid using the same PAN card for multiple IPO applications. For example, if you have already applied using your PAN for one IPO, don’t try to apply again with the same PAN under different accounts or through others. - Apply in the Right Category:
Ensure you select the correct investor category (such as Retail Individual Investor) when filling out your application. Applying under a wrong category can lead to rejection or disqualification. - Maintain Sufficient Bank Balance:
Before applying, ensure your bank account linked to the application has enough funds to cover the full bid amount. For instance, if the IPO application requires a payment of ₹15000, make sure your account holds at least that amount. - Use Your Own Bank Account:
Always apply through your own bank account. Using someone else’s account can cause your application to be rejected during the verification process. - Avoid Last-Minute Applications:
Don’t wait until the deadline day or moments before to apply. Last-minute submissions may face technical glitches or processing delays, reducing the chances of success.