Direct-to-Consumer (D2C) meat and seafood delivery platform of DSM Fresh Foods’ Zappfresh raised ₹16.8 crore from anchor investors for its upcoming Initial Public Offering (IPO). Institutional investors bought 16.67 lakh equity shares at ₹101 per share, the higher end of its price band, ascribing good confidence in the market in Zappfresh’ growth story.
The IPO will become operational on September 26, 2025, and the subscription will be open from September 26, 2025, to September 30, 2025. The IPO aims to raise up to ₹59.65 crore by issuing 59.06 lakh equity shares in the band of ₹96 to ₹101 per share. The listing of shares will take place on the BSE SME platform on October 6, 2025.
Use of Funds
Proceeds thus mobilized would be used strategically to fuel Zappfresh operations and fuel expansion:
Working Capital: ₹25 crore for inventory and supply chain management.
Marketing and Branding: ₹15 crore for fueling customer acquisition and recall.
Capital Expenditure: ₹11 crore for technology upgradation, infrastructure, and cold storage.
Strategic Acquisitions: ₹3 crore for anticipated business expansion.
General Corporate Purposes: Balance for fuelling corporate purposes.
About Zappfresh
Zappfresh, which began operations in 2015, is a company delivering fresh meat, seafood, and ready-to-cook/eat products online across all India. End-to-end supply chain from sourcing to delivery of Zappfresh guarantees quality and hygiene. Zappfresh is serving B2C end-consumers and also B2B Horeca business entities such as restaurants and hotels with different products of chicken, mutton, seafood, and ready-to-cook/eat.
Financial Performance
For the year ended March 31, 2025, Zappfresh reported:
• Total Revenue: ₹131.47 crore
• Profit After Tax: ₹9.05 crore
• EBITDA: ₹17.05 crore
• Net Worth: ₹49.09 crore
• Total Borrowings: ₹31.70 crore
Current promoter holding is 38.24%, which will come down to 28.11% after IPO. Pre IPO P/E is 18.28 and post IPO P/E is 24.87, whereas return on equity is 20.78% and debt-to-equity ratio is 0.65.
Why This Funding Matters
This IPO pre fundraise is an expression of confidence in building investor belief in the Zappfresh business model as well as in the online fresh food delivery category. With robust financials, a wide product basket, and a strong supply chain, Zappfresh is well-placed to tap India’s expanding appetite for quality high-end meat and seafood delivery.
