Ahmedabad-based Stanbik Agro plans an IPO to raise funds for capacity expansion, supply chain upgrades, and wider market reach in fruits and vegetables.
The issue will fund expansion of the company’s farm‑to‑market retail network and support its working capital needs as it scales up operations since its incorporation in 2021
Looking to turbocharge growth, Ahmedabad‑based fresh fruits and vegetables supplier Stanbik Agro Ltd — backed by father‑son duo Ashok and Chirag Prajapati — has launched a ₹12.28 crore SME IPO as it gears up to open 20 new retail outlets across Gujarat.
The issue, which opened on December 12 and closes on December 16, will fund expansion of the company’s farm‑to‑market retail network and support its working capital needs as it scales up operations since its incorporation in 2021.
Ashok Prajapati (48) who is also the managing director of the firm with just 18 employees told businessline, “With time, one need to change and set up new systems if one needs to expand the business. The listing will enhance our company’s corporate image, brand name and create a public market for its Equity Shares in India. It will also make future financing easier and affordable in case of expansion or diversification of the business. Further, listing attracts interest from institutional investors as well as foreign institutional investors.”
Post IPO, the promoter holding in the company is expected to stand at 68.54 per cent from the current holding of 98.92 per cent. Under the banner of Stanbik Agro the company currently operates around seven retail outlets one of which is in state capital Gandhinagar, while the rest are in Chandranagar, Odhav, Narol, Vejalpur and Vasna localities of Ahmedabad.
The operations are carried out from premises taken on lease from third parties, including the Registered Office, godowns, agricultural lands, and seven retail outlets. The Company proposes to use the IPO proceeds to open a total of twenty new outlets, of which fifteen are planned to be established in Ahmedabad, with the remaining five outlets proposed in other parts of Gujarat.
These 20 outlets will have an average size of 900 sq.ft. to 1,000 sq.ft. built-up area. “We plan to set up the new retail outlets within a 30 kilometer radius of Ahmedabad. Fruits and vegetables being perishable items, we want to restrict ourselves to a network which is closer to our supply chain in Ahmedabad. We source fruits and vegetables from farmers and APMCs in Gujarat, Rajasthan and Maharashtra,” Prajapati added.
In FY 2025, the entity clocked a revenue from operations stood at ₹52.5 crore, registering a 98 per cent growth from ₹26.5 crore the previous year. The net profit of the company during FY 2025 stood at ₹3.74 crore. The company uses modern retail channels to deliver fresh fruits and vegetables straight to customers.
It also caters to wholesalers, traders, and other businesses that require bulk quantities of agriculture commodities. It also supplies products through various large e-commerce B2B platforms. Stanbik has also entered into arrangements with certain farmers to undertake contract farming for agricultural products such as sesame, cumin, and cotton etc.
As of November 30, 2025, the Company has an order book amounting to ₹16 crore comprising confirmed purchase orders received from customers, which are expected to be fully realized within the current financial year itself.
In the prospectus, the company states that it faces intense competition from organized players including large-scale agribusinesses, multinational corporations, and well-established supply chains that benefit from advanced logistics, cold storage facilities, and superior distribution networks.
News Courtesy : The hindu businessline