The Seed of Opportunity: Introducing Unisem Agritech
The agricultural technology space continues to present exciting investment avenues, and the upcoming Initial Public Offering (IPO) of Unisem Agritech Ltd. on the BSE SME platform is one such opportunity drawing attention. Founded in 2016, Unisem Agritech plays a critical role in the food chain by focusing on the development, processing, and sale of high-quality hybrid seeds spanning vegetables, flowers, and essential field crops. By leveraging advanced conventional breeding techniques, the company aims to deliver seeds that outperform natural varieties in yield, quality, and resilience against environmental challenges. For potential investors looking to tap into the core of agricultural innovation, understanding the nuances of this book-building issue is essential.
Key IPO Subscription Blueprint (BSE SME)
This public offering is structured as a Book-Building IPO, aiming to raise approximately ₹21.45 Crores through the issuance of 33 lakh equity shares. As a fresh issue, all proceeds will go directly to the company, fueling its expansion plans.
Timeline at a Glance
| Milestone | Tentative Date |
|---|---|
| IPO Opening Date | Wednesday, December 10, 2025 |
| IPO Closing Date | Friday, December 12, 2025 |
| Basis of Allotment Finalization | Monday, December 15, 2025 |
| Credit of Shares to Demat Account | Tuesday, December 16, 2025 |
| Tentative Listing Date (BSE SME) | Wednesday, December 17, 2025 |
Pricing and Allocation Details
- Issue Price Band: ₹63.00 to ₹65.00 per equity share.
- Face Value: ₹5.00 per share.
- Listing Venue: BSE SME.
- Market Maker: SMC Global Securities Ltd.
Investor Categories and Application Lot Size
The IPO structure clearly defines allocations across different investor classes, with Retail Individual Investors (RIIs) receiving a substantial portion.
Share Reservation Breakdown
| Investor Category | Shares Offered | Percentage (%) |
|---|---|---|
| QIB (Qualified Institutional Buyers) | 15,60,000 | 47.27% |
| NII (Non-Institutional Investors) | 4,72,000 | 14.30% |
| Retail Individual Investors (RII) | 11,00,000 | 33.33% |
| Market Maker Reservation | 1,68,000 | 5.09% |
Investment Lot Sizes (Retail Focus)
For retail applicants (applying for minimum shares):
| Application Type | Lots | Shares | Investment Amount (at Upper Price) |
|---|---|---|---|
| Retail (Minimum) | 2 | 4,000 | ₹2,60,000.00 |
Note: Investment in multiples of 2,000 shares thereafter.
Company Financial Health and Valuation Insights
Analyzing the company's financial trajectory provides context for the proposed valuation. Unisem Agritech has shown a positive growth trend in its key financial metrics over the past few fiscal years.
Financial Performance Snapshot (₹ Crore)
A comparison of the latest reported periods reveals significant year-over-year growth:
| Metric | FY 2024 | FY 2025 | H1 FY26 (As of Sep 30) |
|---|---|---|---|
| Total Income | 61.16 | 69.08 | 51.34 |
| Profit After Tax (PAT) | 2.15 | 4.27 | 3.50 |
| Total Borrowing | 6.11 | 11.90 | 25.44 |
(Revenue grew 13% and PAT rose 98% between FY24 and FY25.)
Key Valuation Ratios (KPIs)
As of March 31, 2025:
| Indicator | Value |
|---|---|
| Return on Equity (ROE) | 57.30% |
| Debt to Equity Ratio | 1.24 |
| Price to Book Value (P/BV) | 5.44x |
Corporate Structure and Funding Objectives
Promoter Leadership and Shareholding Changes
- The company is promoted by a team including H N Devakumar, B H Devasinghnaik, Dharanendra H Gouda, Ramalingam Venkataramana, and Anil K N, bringing significant sector experience.
- Promoter Holding Dilution: The promoter shareholding is expected to reduce from 99.99% pre-IPO to approximately 70.88% post-IPO, indicating a planned reduction in concentrated ownership.
Utilization of Net Proceeds
The funds raised through this fresh issue are earmarked for strategic financial consolidation and operational needs:
| Objective | Amount (₹ in Crores) |
|---|---|
| Working Capital Requirements | 11.06 |
| Repayment of Banking Facilities | 5.75 |
| General Corporate Purposes | (Remainder) |
Company Strengths and Potential Challenges (SWOT Analysis)
A balanced view requires assessing both internal advantages and external risks associated with the company and its market position.
Competitive Advantages
- Product Breadth: Offering a wide array of hybrid seeds across vegetables, flowers, and field crops ensures market diversity.
- Operational Integration: Possesses an integrated seed processing unit complemented by warehouse facilities.
- Geographic Reach: Diversified operational locations across key agricultural states like Madhya Pradesh, Uttar Pradesh, and Karnataka.
- R&D Focus: Continuous innovation driven by an experienced team of breeders to tailor seeds for varied agro-climatic zones.
Areas Requiring Consideration
- Debt Level: The Total Borrowing has increased significantly in the latest reported period (₹25.44 Cr as of Sep 2025), contributing to a Debt/Equity ratio of 1.24.
- Pricing Perception: Some initial analyses suggest the issue might be priced aggressively relative to recent financial data.
- Equity Structure Post-IPO: The relatively small paid-up equity capital post-IPO could imply a longer gestation period for earnings to stabilize relative to the valuation.
IPO Intermediaries and Investor Support
Navigating an IPO requires reliable support from professional partners.
Key Contacts
| Role | Entity Name |
|---|---|
| Book Running Lead Manager (BRLM) | GetFive Advisors Pvt.Ltd. |
| Registrar and Transfer Agent (RTA) | Kfin Technologies Ltd. |
Investors seeking to check their allotment status can primarily use the registrar's dedicated portal.
Applying for the IPO: A Practical Overview
Applying for the Unisem Agritech SME IPO follows the standard procedure utilizing either ASBA through net banking or UPI via broker platforms.
Applying via UPI-Enabled Brokers (Example)
For users utilizing popular discount brokers, the application process generally involves these steps:
- Log in to the chosen broker's online portal or application (e.g., Console).
- Navigate to the IPO section and select 'Unisem Agritech IPO'.
- Input the desired bid quantity (minimum 2 lots/4,000 shares) and price (offer price or cut-off).
- Confirm the application by authorizing the mandate request received on your linked UPI application (like BHIM or bank app) before the mandate cut-off time (5 PM on closing day).
It is crucial for investors to ensure that funds are blocked against the retail investment limit as required.