HR Hygiene Products IPO: Rs 53.95 Cr Raise, Rs 83-88 Price Band
By ThePip Desk
HR Hygiene Products launches SME IPO to raise Rs 53.95 crore. Shares priced at Rs 83-88, opening July 29. Funds for new manufacturing facility.
HR Hygiene Products is set to raise Rs 53.95 crore through its Initial Public Offering on the BSE SME platform. The company has fixed the price band for its shares between Rs 83 and Rs 88 per share, with the public subscription window opening on July 29 and closing on July 31.
The IPO includes a fresh issuance of 49.05 lakh equity shares, aiming to garner Rs 43.17 crore. Additionally, promoters will offer 12.25 lakh equity shares, targeting Rs 10.78 crore through the Offer-for-Sale segment.
Key Offering Details
- Total IPO Size: Rs 53.95 crore
- Price Band: Rs 83-88 per share
- Fresh Issue Shares: 49.05 lakh equity shares
- Offer-for-Sale Shares: 12.25 lakh equity shares
- Subscription Period: July 29 – July 31
- Anchor Investor Portion: Opens July 28
- Expected Listing Date: August 5 on BSE SME platform
A substantial portion of the fresh issue proceeds, Rs 31.36 crore, is designated for the construction of a second manufacturing facility in Rajkot, Gujarat. This expansion aims to boost the company’s diaper production capacity, driven by high demand.
The current manufacturing facility reported an 85 percent capacity utilization in FY25. Total production volume increased to 18.15 crore pieces in FY25, up from 11.40 crore pieces in FY24. Another Rs 3.56 crore from the IPO will be allocated to repay existing debt.
Financial Performance Overview
HR Hygiene Products has demonstrated consistent financial growth over the last two fiscal years. Revenue reached Rs 130.7 crore in FY25, marking a 14.04 percent increase from Rs 114.6 crore in FY24.
- Net Profit (FY25): Rs 11.4 crore (vs. Rs 9.1 crore in FY24)
- Operating Profit (EBITDA) Growth: 15.7 percent to Rs 17.1 crore
- EBITDA Margin: 8.73 percent
The company markets its products under brands such as Femiss, Womanica, ElderFit, and Bloom Baby. It will need to balance marketing and distribution efforts against established players in the competitive hygiene sector as it scales production at the new Rajkot site.