Mukka Proteins Limited

Mukka Proteins Limited

Mukka Proteins Limited
listed
₹13,910Min. investment
  1. Bid start
    29 Feb
  2. Bid end
    4 Mar
  3. Allotment
    2 Mar
  4. Release of funds
    6 Mar
  5. Demat transfer
    5 Mar
  6. Listing
    7 Mar

About Mukka Proteins Limited

Price range₹26.00 – ₹28.00
IPO type
Regular
Lot size535 shares
Issue size₹224Cr

Checklist

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About  Mukka Proteins Limited

Incorporated in 2003, Mukka Proteins Limited is a key manufacturer, supplier and exporter of fish protein products. In fiscal 2023, the company’s revenue from operations represented 25 to 30% of the total revenue of the fish meal and fish oil industry. Its products include fish meal, fish oil and fish-soluble paste. These ingredients are used to manufacture aqua feed, poultry feed and pet food. They are also used in pharmaceutical products, soap manufacturing, leather tanneries & paint industries. It is one of the first Indian companies to have commercialised insect meal and insect oil, known as insect protein, used for aqua, animal feed and pet food. It manufactures insect protein through its associate EPPL.
The company exports its products to 10 countries outside India, including Bahrain, Bangladesh, Chile, Indonesia, Malaysia, Myanmar, Philippines, China, Saudi Arabia, South Korea, Oman, Taiwan and Vietnam. Mukka Proteins operates six manufacturing facilities - four in India and two in Oman, held through its foreign subsidiary - Ocean Aquatic Proteins LLC. It also operates three blending facilities and five storage facilities located close to the coastline, enabling the company with fresh, adequate and cost-effective access to its key raw material, pelagic fish (raw fish).
Moreover, the company has entered into contractual arrangements with third party manufacturing units in key coastal states like Karnataka, Gujarat and Maharashtra for the supply of fish meal and fish oil.  It sources its raw materials from partnership firms, namely Ullal Fish Meal and Oil Company, Mangalore Fish Meal and Oil Company, Progress Frozen and Fish Sterilizetion, and Pacific Marine Products along with third party manufacturing units. Its key raw material is pelagic fish, which it sources from local fish catchers.
Between FY21 and FY23, it saw a CAGR rise of 24% in its revenue from operations and 62% in its profit. Furthermore, the Indian fish meal and fish oil industry is expected to grow at a CAGR of 5% to 9% between FY22 and FY26, which could benefit the company.  And now, Mukka Proteins Limited is coming out with its initial public offer (IPO). The IPO will be a fresh issue, and the money raised will be utilised to fund working capital requirements, invest in associate company, Ento Proteins and for general corporate purposes. Its shares will be listed on the NSE and the BSE.
Here are key details about the Mukka Proteins Limited IPO:
Company NameMukka Proteins Limited Company TypePrivate
Company Established On2003

Financial snapshot

ParticularsFY21FY22FY23Q2FY24
Revenue₹ 603 crore₹ 770 crore₹ 1,177 crore₹ 606 crore
Net Profit/Loss₹ 11.0 crore₹ 25.8 crore₹ 47.5 crore₹ 32.9 crore

Here’s a quick look at Mukka Proteins Limited IPO’s strengths, weakness, opportunities and risks (SWOT analysis)

Strengths and opportunities

  1. Leading manufacturer and exporter of fish protein products, consistently awarded by MPEDA, during the last 7 years for its export performance.
  2. Established customer base having served 84 and 51 customers as of FY23 and Q2 FY24, respectively.
  3. Strategically located facilities on the coastline allowing the easy access of quality and fresh pelagic fish. 
  4. Increasing presence across the western coastline of India through third-party manufacturing units located close to the source of its key raw material. 
  5. Operates in an industry with high entry barriers due to the seasonal availability of its raw material, the need of the facilities to be closer to the sea and hence subject to stringent CRZ restriction, and being regulated by various authorities and customers. 
  6. Consistent financial performance with a CAGR growth of 43% in its EBITDA between FY21 and FY23.

Risks and threats

  1. Significant dependence on its top 2 customers as they accounted for 36% and 42% of its total revenue from operations in FY23 and Q2FY24, respectively.
  2. Exports account for 52% and 62% of the total revenue from operations as of FY23 and Q2FY24, respectively, which makes it susceptible to risks associated with exchange rate fluctuations. 
  3. Has experienced negative cash flows from operating activities in FY23 and Q2 FY24 due to building higher inventory levels, receivables, paying-off creditors, and working capital changes.
  4. Under utilisation of its manufacturing facilities can have an adverse impact on its business as the capacity utilisation is only 24% for its Indian facilities and 16% for its Oman facility as of Q2FY24.
  5. Unsecured loans of ₹54 crore as of Q2 FY24 which is payable on demand, and secured loans of ₹263 crore as of Q2 FY24 with charge over movable and immovable properties. 
  6. Operates in an environmentally sensitive industry and subject to disruptions due to unpredictable or unseasonal weather. 
  7. Manufactured products are subject to risks of contamination, adulteration and product tampering which could have a negative impact on its business.
  8. Subject to the legal and regulatory framework of the international markets where it operates and might be affected by the introduction of international trade barriers.

Mukka Proteins Limited IPO details

**** Mukka Proteins Limited IPO date

According to the offer document filed by the company with the SEBI, the Mukka Proteins IPO’s opening date – in other words, the Mukka Proteins IPO launch date – will be 29th February 2024. The Mukka Proteins IPO closing date is 4th March 2024. After this, investors will be updated about the allotment status on 5th March 2024.
Investors, who have been allotted shares, can expect them to be credited to their demat account on 6th March 2024. The Mukka Proteins IPO listing date is 7th March 2024. The listing date is the date on which the shares of a company get listed on the bourses – NSE and BSE.

**** Mukka Proteins Limited IPO Price Band

The IPO is a fresh issue. The Mukka Proteins IPO price band has been set between ₹26 and ₹28 per share. Interested investors can choose a price within this band to apply for the IPO.
The Mukka Proteins IPO listing price will be determined on 7th March 2024. The listing price is the price at which a company’s shares debut on the stock exchanges.
**** Mukka Proteins Limited IPO Lot size
The Mukka Proteins IPO details have been declared. The Mukka Proteins IPO lot size is set at 535 shares and an investor can apply for a minimum of 1 lot. Meanwhile, the Mukka Proteins IPO issue size is approx ₹224 crore.

How to pre-apply for the Mukka Proteins Limited IPO?

You can pre-apply for the Mukka Proteins Limited IPO on Upstox. The pre-application for this IPO, which means pre-apply open date, usually begins a day before the IPO opens for subscription.
Follow these steps to pre-apply for the IPO:
  1. Login to your Upstox account, using your six-digit PIN
  2. After successfully logging in, click on ‘Discover’
  3. On the Discover tab, you will find the ‘Invest in IPO’ section
  4. Under the Invest in IPO section, look for the ‘Mukka Proteins Limited IPO’ tab and click on it
  5. Now fill in all the required information, like ‘bid price’ and ‘lot size’
  6. Confirm and click on ‘Pre-Apply’
  7. Accept the mandate on your UPI app

How to apply for the Mukka Proteins Limited IPO?

If you are interested in this investment opportunity but unsure how to apply for the Mukka Proteins Limited IPO, here we are listing out the steps for you.
When the public issue opens for subscription, one can follow this step-by-step guide on how to apply for the Mukka Proteins Limited IPO on Upstox:
  1. Login to your Upstox account, using your six-digit PIN
  2. After successfully logging in, click on ‘Discover’
  3. On the Discover tab, you will find the ‘Invest in IPO’ section
  4. Under the Invest in IPO section, look for the ‘Mukka Proteins Limited IPO’ tab and click on it
  5. Now fill in all the required information, like ‘bid price’ and ‘lot size’
  6. Confirm and click on ‘Apply’
  7. Accept the mandate on your UPI app

How to check the Mukka Proteins Limited IPO allotment status?

When the allotment process is completed, you can check the status of your application on the Upstox app. Share allotment is generally done around five to six days after an IPO closes.
Here’s a step-by-step guide on how to check the Mukka Proteins Limited IPO allotment status:
  1. Login to your Upstox account, using your six-digit PIN
  2. After successfully logging in, click on ‘Discover’
  3. On the Discover page, you will find the ‘Invest in IPO’ section
  4. Under the Invest in IPO section, you will find the ‘View all’ option
  5. Once you click on ‘View all’, you will be directed to the ‘IPO’ tab
  6. In the ‘IPO’ tab, click on ‘My applications’ 
  7. In ‘My applications’, under the History section, your Mukka Proteins Limited IPO allotment status will be mentioned
Check Allotment Status

Open a demat account with Upstox to apply for the Mukka Proteins Limited IPO

To apply for the Mukka Proteins Limited IPO, you need to mandatorily have a demat account. A demat account helps you hold the shares you buy in a dematerialised format. If you don’t have a demat account yet, you can open one with Upstox by visiting our website or by downloading the app.
Here is a step-by-step guide on how to open a demat account with Upstox:
  1. Click here to visit the demat account opening page on the Upstox website. 
  2. Enter your phone number and other essential details to begin opening a demat account.
  3. Upload the scanned copies of your PAN, Aadhaar card, a cancelled cheque, and your bank statement as needed. 
  4. Complete the e-verification using the OTP sent to your registered mobile number.
This is all it takes to open a demat account with Upstox. Easy and quick, right?
Open Demat Account

Upstox – trading app to apply for the Mukka Proteins Limited IPO

Applying for IPOs with Upstox is extremely easy. The user-friendly interface and top-notch security make Upstox one of the leading trading apps in India.
You can apply for the Mukka Proteins Limited IPO on Upstox, provided you have a demat account. As mentioned in the previous section, you can simply follow the steps to open a demat account with Upstox. The biggest advantage is that when you apply for an IPO using your Upstox account, the brokerage charges are zero.
In fact, courtesy of its robust features and minimal charges, Upstox is among the most preferred trading apps. Lakhs of Indians trust Upstox as it is a reliable trading platform that makes IPO applications easy.

Frequently asked questions

How to invest in the IPO?

Investors can apply for the IPO through their Demat account via the stock exchange or through their broker.

What is the issue size of Mukka Proteins Limited ?

The issue size of the Mukka Proteins Limited is 224 Cr.

What is 'pre-apply' for Mukka Proteins Limited ?

Pre-applying for an IPO allows you to submit your application before the official subscription period begins.

Which exchanges will Mukka Proteins Limited shares list on?

The IPO shares will typically list on major stock exchanges such as the National Stock Exchange (NSE) and Bombay Stock Exchange (BSE), as specified in the IPO prospectus.