Stanbik Agro IPO: Ahmedabad-Based Fruit Supplier Launches Rs 12.28-Crore SME Issue
Ahmedabad: Fresh fruits and vegetables supplier Stanbik Agro Ltd has launched a Rs 12.28-crore SME initial public offering (IPO) to support its expansion plans across Gujarat. The issue opened for subscription on December 12 and will close on December 16.
Founded in 2021, the Ahmedabad-based company operates on a farm-to-market retail model and is led by Ashok Prajapati and his son Chirag Prajapati. The IPO proceeds will primarily be used to open new retail outlets and meet working capital requirements as the business scales.
Expansion Plans Across Gujarat
Stanbik Agro currently operates seven retail stores, including one in Gandhinagar and six across Ahmedabad’s Chandranagar, Odhav, Narol, Vejalpur, and Vasna areas. All outlets, along with the company’s registered office, godowns, and agricultural lands, are operated from leased premises.
The company plans to open 20 additional retail outlets, with 15 located in Ahmedabad and five in other parts of Gujarat. Each new store will have a built-up area of approximately 900 to 1,000 square feet.
According to the management, the expansion will remain geographically focused to maintain product freshness and logistical efficiency.
Focus on Supply Chain Efficiency
Managing Director Ashok Prajapati said the company intends to restrict its retail network to within a 30-kilometre radius of Ahmedabad, citing the perishable nature of fruits and vegetables.
Stanbik Agro sources its produce directly from farmers and Agricultural Produce Market Committees (APMCs) across Gujarat, Rajasthan, and Maharashtra, aiming to reduce intermediaries and maintain quality.
Strong Revenue Growth in FY25
The company reported revenue from operations of Rs 52.5 crore in FY25, marking a 98 per cent increase from Rs 26.5 crore in FY24. Net profit for the year stood at Rs 3.74 crore.
In addition to retail customers, Stanbik Agro supplies fruits and vegetables to wholesalers, traders, and institutional buyers, and also fulfils bulk orders through B2B e-commerce platforms.
The company has also entered into contract farming arrangements for crops such as sesame, cumin, and cotton.
As of November 30, 2025, Stanbik Agro’s order book stood at Rs 16 crore, consisting of confirmed purchase orders expected to be executed within the current financial year.
Promoter Holding and Listing Impact
Following the IPO, promoter shareholding is expected to decline from 98.92 per cent to 68.54 per cent. The company believes the listing will help strengthen its corporate profile and improve access to future funding.
Competitive Landscape
Despite its rapid growth, Stanbik Agro operates in a highly competitive environment. The company faces competition from large agribusiness firms and multinational supply-chain players with advanced logistics, cold storage infrastructure, and extensive distribution networks, as noted in its prospectus.