Keventers Agro plans to launch a public offering and has submitted the DHRP. Incorporated in 1986, Keventers Agro Limited operates as a fast-moving consumer goods (FMCG) company headquartered in Kolkata. The company’s diversified portfolio encompasses packaged, dairy, and fresh food products, catering to the varied needs of consumers in East and North East India. The company’s core operations are divided into two primary segments:

• Packaged foods & beverages: The company is involved in the manufacturing, packaging, and distribution of a range of licensed products such as “Frooti,” “Appy Fizz,” and “Smoodh”. Additionally, the company offers a variety of ready-to-cook and frozen food products under its own “Keventer” brand.
• Dairy & fresh foods: the company specializes in sourcing, processing, and marketing various dairy products including pouch milk, ice cream, and milkshakes, marketed under established brands like “Metro” and “Keventer.”

Financials Snapshot

*All figures except EPS are in ₹ Crores

Risk factors

• Raw Material Supply Risks: Inadequate or interrupted supply, seasonality, and price fluctuations of raw materials such as raw milk, banana, mango pulp, etc., could adversely affect business operations, cash flows, and financial condition. External factors beyond control, including weather conditions, increased demand, governmental regulations, transportation costs, and economic conditions, may impact raw material availability and quality.
• Product Quality and Contamination Risks: Actual or alleged contamination or deterioration in product or raw material quality could result in legal liability, damage to reputation, and adverse effects on business prospects and financial performance. Risks include contamination of raw materials, product tampering, labeling errors, consumer liability claims, and product recalls.
• Dependency on Franchisor: Dependency on the franchisor for manufacturing and sale of certain products imposes restrictions and obligations on operations. Termination of such agreements could adversely affect business, financial condition, and prospects.