Aeroplane Basmati Rice IPO: ₹440 Crore Issue Opens March 24

Introduction to the Public Offering

Amir Chand Jagdish Kumar (Exports) Ltd., the parent company of the well-known 'Aeroplane' brand of basmati rice, is preparing to enter the public markets with its Initial Public Offering (IPO). The company aims to raise ₹440 crore through a fresh issue of equity shares. The public subscription for the IPO is scheduled to open on March 24, 2026, and will conclude on March 27, 2026. This move marks a significant step for the Haryana-based company as it seeks to leverage public funds for its expansion and operational needs.

IPO Structure and Key Dates

The public issue is composed entirely of a fresh issue of shares, with no Offer for Sale (OFS) component. This indicates that the company's promoters are not selling their existing stakes, and all proceeds will go directly to the company. The offer size was revised downwards from an earlier plan of ₹550 crore, as stated in the Draft Red Herring Prospectus (DRHP) filed in June 2025. The Securities and Exchange Board of India (SEBI) gave its approval for the IPO in October 2025. Ahead of the public issue, the company successfully raised ₹13 crore in a pre-IPO placement round, allotting 7.55 lakh shares at ₹172 per share. This pre-IPO round valued the company at ₹1,877 crore.

Here is a summary of the key dates for the IPO:

Utilization of IPO Proceeds

The primary objective of the IPO is to strengthen the company's financial position. According to the prospectus, the net proceeds will be allocated towards specific corporate goals. A significant portion, approximately ₹400 crore, is earmarked for funding the company's working capital requirements. The remaining amount will be utilized for general corporate purposes, which may include strategic initiatives, brand building, and other operational expenses. This capital infusion is expected to provide the necessary resources for the company to manage its day-to-day operations and scale its business effectively.

Company Profile and Business Operations

Based in Haryana, Amir Chand Jagdish Kumar (Exports) Ltd. is a prominent processor and exporter of basmati rice. Its flagship brand, 'Aeroplane', is a recognized name in both domestic and international markets. Rice sales constitute the vast majority of the company's revenue, accounting for over 99% of its total income. The company has a strong global footprint, with an export presence in over 38 countries. It holds approximately 70 registered trademarks in India and another 30 across 26 countries in Europe, Asia, and Africa. Recently, the company has diversified its product portfolio by venturing into the Fast-Moving Consumer Goods (FMCG) sector. It now offers a range of kitchen staples, including flour (atta), semolina (suji), gram flour (besan), salt, and sugar, signaling its ambition to become a broader food products company.

Financial Performance Analysis

The company has demonstrated robust financial growth over the past few years. For the financial year ending March 2025, its net profit doubled to ₹60.8 crore from ₹30.4 crore in the previous year. During the same period, revenue from operations grew by 29.2% to reach ₹2,001.6 crore. This growth momentum continued into the following year. For the nine months ending December 31, 2024, the company reported a revenue of ₹1,421.3 crore and a net profit of ₹48.77 crore. For the first half of the fiscal year ending September 2025, it recorded a net profit of ₹48.6 crore on a revenue of ₹1,021.2 crore. This consistent performance highlights the company's strong market position and operational efficiency.

Market Listing and Advisors

Upon successful completion of the IPO, the company's shares are proposed to be listed on both the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE). The listing is tentatively scheduled for April 2, 2026. The issue is being managed by merchant bankers Emkay Global Financial Services and Keynote Financial Services, who will be advising the company through the listing process.

Conclusion

The ₹440 crore IPO of Amir Chand Jagdish Kumar presents an opportunity for the company to fund its next phase of growth, particularly by strengthening its working capital. The absence of an OFS component reflects the promoters' confidence in the company's future prospects. With a strong brand, expanding product line, and solid financial track record, the company is well-positioned in the competitive food products market. Investors will be watching the subscription levels closely ahead of its market debut in early April.