In a spectacular debut on the Indian bourses, shares of Shyam Dhani Industries Ltd. witnessed a blockbuster listing on Tuesday, December 30. The stock of the spices and grocery products maker opened at a massive 90% premium over its initial public offering (IPO) price on the NSE SME platform.
A Stellar Market Debut
The company's shares, which had a final IPO price of ₹70 per share, began trading at ₹133 on the NSE SME. This impressive opening was just the start, as the stock price quickly climbed another 1% to hit ₹136 shortly after listing. This stellar performance was in line with the strong signals from the unofficial grey market, where the shares were commanding a premium of ₹68 ahead of the listing.
The overwhelming response was a direct reflection of the unprecedented investor demand seen during the subscription period. The ₹38.49-crore public issue was subscribed a staggering 988.29 times overall, making it one of the most sought-after offerings on the SME platform.
Unprecedented Investor Frenzy
A closer look at the subscription data reveals where the most intense demand originated. The segment for non-institutional investors (NIIs) led the charge, getting subscribed an astronomical 1,612.65 times. Retail investors were not far behind, putting in bids 1,137.92 times the portion reserved for them. Even qualified institutional buyers (QIBs) showed robust interest, subscribing their quota 256.24 times.
The IPO, which was open for subscription from December 22 to December 24, was entirely a fresh issue of shares. Priced in the band of ₹65 to ₹70 apiece, the offering valued the Jaipur-based company at approximately ₹145 crore.
Company Fundamentals and Use of Proceeds
Founded in 1995, Shyam Dhani Industries is engaged in the manufacturing, processing, and trading of a wide array of spices and grocery products under its flagship "Shyam" brand. The company boasts a portfolio of over 160 spice varieties and has built an extensive distribution network covering general trade, modern retail, quick commerce platforms, the HoReCa (Hotel, Restaurant, Café) sector, and exports.
The funds raised through this highly successful IPO are earmarked for several strategic purposes. The company plans to utilize the capital to meet its working capital requirements, repay existing borrowings, and strengthen its brand building and marketing initiatives. A part of the proceeds will also be directed towards capacity expansion through the purchase of new machinery and setting up a solar rooftop plant at its existing manufacturing facility in Jaipur, Rajasthan. As of November 2025, the company employed 394 people.
Financially, for the fiscal year 2025, Shyam Dhani reported a profit after tax (PAT) margin of 6.45% and an EBITDA margin of 11.65%. The company's return metrics remained strong, highlighted by a robust Return on Equity (ROE) of 41.06%.
The blockbuster listing of Shyam Dhani underscores the continued investor appetite for well-established companies with strong fundamentals in the SME segment, particularly those with a recognizable consumer brand and a clear growth trajectory.
