DSM Fresh Foods Shares List at 20% Premium on BSE SME Platform

Market Debut Overview

DSM Fresh Foods, the parent company of meat delivery startup Zappfresh, made its market debut on the BSE SME platform on October 9. The shares opened at Rs 120 apiece, marking a 20% premium over the IPO price of Rs 100 per share. This initial listing has outperformed expectations and generated significant market attention.

IPO Subscription Highlights

The company’s IPO was launched to raise over Rs 59 crore entirely through a fresh issue of shares. The price band was set between Rs 95 and Rs 100 per share, with investors investors had to apply for at least 1,200 sharesper lot, translating to an initial investment of Rs 1.20 lakh per lot.

During the three-day public subscription period from September 26 to October 6, the IPO saw robust demand:

• Non-Institutional Investors (NII) booked nearly 2 times their reserved portion.
• Qualified Institutional Buyers (QIB) subscribed more than 1.5 times their allocated quota.
• Retail investors almost fully subscribed their portion, reflecting broad-based interest.

IPO Proceeds Allocation

The company has strategically planned the utilization of funds raised through the IPO:

• Rs 25 crore for working capital requirements
• Rs 15 crore earmarked for marketing and brand expansion
• Rs 11 crore allocated to capital expenditure
• Rs 3 crore towards inorganic growth through acquisitions and strategic initiatives

Company Background

Founded in 2015, DSM Fresh Foods has emerged as a leading omnichannel retailer of fresh meat and ready-to-cook products, including chicken, mutton, and seafood. Over the past two years, the company has accelerated growth through acquisitions, such as Bonsaro (Mumbai) and Dr. Meat (Bengaluru), strengthening its presence across major cities.

DSM Fresh Foods’ Zappfresh has carved a strong presence in the meat delivery market, steadily expanding its reach with an emphasis on quality, freshness, and convenience.

Summary

DSM Fresh Foods’ debut listing at a 20% premium over its IPO price underscores strong investor confidence. The company’s focus on omnichannel growth, strategic acquisitions, Its diverse product offerings create a strong base for continued growth in the fresh food retail sector.