Regaal Resources IPO: Everything You Need to Know Before Investing

The much-awaited Regaal Resources IPO will open for subscription on 12th August 2025 and close on 14th August 2025. The IPO price band is set between ₹96 and ₹102, and the minimum investment required is ₹13,824 for 144 shares (1 lot).

The total issue size stands at ₹306 crore, making this an attractive opportunity for investors who are keen on entering the agro-based manufacturing sector.

Strengths of Regaal Resources

• Strategic Location: Its plant in Bihar is close to raw material suppliers, reducing logistics costs.
• Consistent Growth: Revenues and profits have been rising steadily over the past three years.
• Strong Credit Rating: CRISIL has assigned a BBB+ (Stable) rating, reflecting financial stability.
• Diverse Product Use: With maize derivatives used in multiple industries, the demand outlook remains strong.

---

---

Key Risks for Investors

While the company has a promising future, potential investors must consider these risks:

• Vendor Dependency: Nearly 71% of raw material purchases depend on just two vendors.
• Negative Cash Flows: Reported in FY22 and FY24, which raises liquidity concerns.
• Regulatory Risks: The agro-processing sector is highly regulated, and any changes could affect operations.
• Debt Concerns: Outstanding borrowings stood at ₹561.15 crore, which could affect profitability if not managed.

---

Also Read: Get to know Kaal Bhairav temple Varanasi

---

Financial Performance Snapshot

• Revenue: ₹447.96 Cr (FY23) → ₹680.02 Cr (FY24) → ₹983.16 Cr (FY25)
• Profit After Tax (PAT): ₹18.76 Cr (FY23) → ₹26.22 Cr (FY24) → ₹43.14 Cr (FY25)
• Total Assets: Jumped from ₹447.96 Cr in FY23 to ₹983.16 Cr in FY25, showing significant expansion.

This consistent growth reflects strong market demand and operational efficiency.

---

Subscription Status and Investor Demand

As of 14th August 2025, 4:00 PM, subscription numbers indicate strong demand:

• Qualified Institutional Buyers (QIBs): 183.32x
• Non-Institutional Investors (NIIs): 953.53x
• Retail Investors: 54.54x
• Overall Subscription: 185.64x

Such overwhelming participation demonstrates strong investor confidence in the company.

---

Application Process Explained

Investors can apply under different categories:

• Retail Investor: Apply up to ₹2,00,000 at ₹96 – ₹102 per share.
• High Net-Worth Individual (HNI): Invest ₹2,00,000 – ₹5,00,000 at the same price band.

Applications can be placed through brokers, online platforms, or banking apps with UPI integration.

---

Use of IPO Proceeds

The funds raised through the IPO will be utilized for:

• Expanding production capacity
• Repaying outstanding debt
• Boosting working capital
• Strengthening supply chain operations

---

Competitive Landscape

Regaal Resources operates in a niche market of maize-based specialty products, competing with regional starch manufacturers. Its direct farmer linkages, consistent growth, and diversified applications give it a competitive edge.

---

Expert Insights on Regaal Resources IPO

Analysts believe this IPO presents a growth-oriented opportunity. However, they also warn about high vendor dependency and debt levels. The consensus is that long-term investors with moderate risk appetite could benefit significantly.

---

Who Should Invest?

• Retail Investors: Seeking stable returns in a growing FMCG-linked industry.
• HNIs: Looking for strong subscription-driven listing gains.
• Institutional Investors: Interested in agro-processing and supply chain expansion plays.

---

FAQs About Regaal Resources IPO

Q1. What is the issue size of Regaal Resources IPO?
A1. ₹306 crore.

Q2. What is the price band?
A2. ₹96 – ₹102 per share.

Q3. What is the minimum investment?
A3. ₹13,824 for one lot (144 shares).

Q4. When does the IPO open and close?
A4. Opens on 12th August 2025 and closes on 14th August 2025.

Q5. How was the subscription response?
A5. Overall oversubscription of 185.64x.

---

**Disclaimer: However, always review your risk appetite and portfolio mix before committing.**

**Disclaimer: The Image in the article is taken from google is used for article which is generated by Chatgpt content. always review your risk appetite and portfolio mix before committing. We are not Finanacial advisors this content is our own analysis and any loss or gains are not subjected to our mention opinon. Invest at your own risk**

---