DSM Fresh Foods Ltd (BSE SME)

IPO Details

Key Performance Indicators (KPI)

Company Financial (In ₹crore)

About Company

DSM Fresh Foods Limited, incorporated in May 2015, operates as a retailer of fresh meat and ready-to-cook/eat non-vegetarian products. The company runs its business under the brand name Zappfresh, which has established itself as a specialized online platform for fresh meat retailing.

Zappfresh provides customers with a seamless shopping experience through its user-friendly website and mobile applications (available on both Android and iOS), with the app crossing over 100,000 downloads on the Play Store. The company emphasizes freshness and hygiene, ensuring that all products are sourced responsibly and delivered in prime condition.

The product portfolio covers a wide range, including:

• Fresh Meats: Chicken, mutton, pork, seafood, and exotic meats.
• Ready-to-Cook/Eat Items: Options such as Mutton Seekh Kebab, Chicken Cheese Nuggets, and Masala Fish Fingers.
• Cold Cuts: Chicken Salami, Chicken Ham, and sausages.
• Marinated Meats: Specialties like Chicken Methi Tikka, Masala Wings, and Chicken Tikka.

• DSM Fresh Foods IPO Objectives

  The Company DSM Fresh Foods IPO proposes to utilise the Net Proceeds from the Issue towards the following objects:

  1. Capital Expenditure Requirement: ₹ 10.68 Crores.

  2. Marketing Expenditure: ₹ 15.00 Crores.

  3. Working Capital Requirement: ₹ 25.00 Crores.

  4. Unidentified Acquisition and General Corporate Purposes.

Strength

Experienced Management Team: Led by promoters and professionals with over 15 years of experience in online retail, the management team has been instrumental in driving growth and ensuring client satisfaction.

Strong Organizational Structure: A well-organized corporate structure across SCM, Logistics, Sales & Marketing, HR, and IT ensures efficient management and supports business expansion.

Efficient Farm-to-Fork Model: Direct sourcing from farms to consumers ensures sustainability, traceability, fresher products, and healthier food options.

Weakness

Brand Identity Risk:The Company recognition primarily under the brand “Zappfresh” creates a perception limited to fresh meat, while They also offer ready-to-cook and ready-to-eat products. This narrow perception may negatively impact company’s brand image and restrict diversification into new markets.

Low Promoter Shareholding: Post-IPO, promoter shareholding will reduce to 28.11%, which may affect control, strategic decision-making, and create misalignment of interests with other shareholders.

Leased Premises Dependency: Our Registered Office and branches are on rented premises; non-renewal or termination of lease agreements could disrupt operations.