The SME IPO of Vegorama Punjabi Angithi opened for subscription on Wednesday, May 20, with strong grey market activity indicating healthy investor interest. According to market trackers, the IPO was commanding a grey market premium (GMP) of around ₹15 over the upper end of the issue price band, signalling expectations of positive listing gains in the unofficial market. The issue will close on May 22 and shares are tentatively scheduled to list on the BSE SME platform on May 27. This launch is part of a broader SME IPO week, with four SME IPOs set to open this week across food, construction and textile sectors, aiming to raise over ₹138 crore collectively. The IPO subscription status reached 76% on day 1, with retail portion at 89%, NII portion at 90%, and QIBs portion at 41%.
The BSE SME issue aims to raise around ₹38.38 crore through a combination of fresh issue and offer-for-sale components. The IPO comprises a fresh issue of 39.87 lakh shares worth around ₹30.7 crore and an offer-for-sale of 9.96 lakh shares aggregating to ₹7.68 crore. The company has already raised ₹10.9 crore from anchor investors ahead of the IPO opening. The issue is priced between ₹73-77 per share with shares available in lots of 1,600, requiring retail investors to apply for at least two lots or 3,200 shares, translating into a minimum investment of ₹2.46 lakh at the upper price band. The net offered to public stands at 47.33 lakh shares worth ₹36 crore.
Vegorama Punjabi Angithi operates restaurant and cloud kitchen businesses under the "Punjabi Angithi" brand focused primarily on North Indian and Punjabi cuisine. The company currently operates 19 outlets and 2 fine dining restaurants that are strategically located to process large amounts of orders per day, with the company handling more than 10,000 orders on a daily basis. The business model spans dine-in, takeaway and online food delivery channels, with the company maintaining a repeat purchase ratio of 63% driven by brand trustworthiness and consistency. The company plans to utilise IPO proceeds for expansion initiatives including setting up new cloud kitchens, upgrading infrastructure and strengthening operational capabilities. The company was established in March 2022 and operates in the food and beverage sector through its restaurant chain, focusing on providing affordable North Indian and Punjabi cuisine through a quick-service restaurant (QSR) concept.
The company has demonstrated strong financial growth with revenue reaching ₹101.3 crore in Q3 FY26 and PAT of ₹8.22 crore. As per the latest financial data, the company maintains a high Return on Net Worth (RoNW) of 57.34% for Fiscal 2025. Revenue growth has been impressive, with the company reporting more than 2x growth between Fiscal 2024 and Fiscal 2025. The company's promoter holding pre-issue stood at 99.4%, which will be diluted post-IPO due to the offer-for-sale component. The business model balances high-margin dine-in services with the high-volume nature of cloud kitchens and delivery platforms.
Corporate Makers Capital serves as the book-running lead manager to the issue, while Bigshare Services acts as the registrar. Pace Stock Broking Services is the market maker for the IPO. The IPO is a 100% book-built issue with 2.51 lakh shares reserved for market makers worth ₹2 crore. Grey market premiums are unofficial indicators of investor sentiment ahead of listing and do not guarantee actual market performance after the stock begins trading on the exchange. The grey market premium today stands at ₹8, indicating investors' readiness to pay more than the issue price. While mainboard activity remains subdued, offerings like Vegorama Punjabi Angithi highlight continued traction in niche business models and sustained investor interest in smaller public issues.
