BSE SME Shellz India melt after flat listing

Shellz India traded at Rs 170.05 on the BSE, representing a 5% discount over its issue price of Rs 179.

The scrip was listed at Rs 179, matching the IPO price. The stock is currently frozen at its lower limit of 5% over its listing price.

The counter hit a high of Rs 179 and a low of Rs 170.05. About 8.02 lakh shares changed hands on the BSE.

Shellz India's IPO was subscribed 50.79 times. The IPO opened for subscription on 15 October 2026 and closed on 19 October 2026. The price band was Rs 170 to Rs 179 per share.

The issue comprised a fresh issue of 33.50 lakh shares. The company's board, on 14 October 2026, finalised the allocation of 9,04,800 equity shares to four anchor investors at Rs 179 per share, aggregating Rs 16.20 crore.

The company proposes to use Rs 22 crore towards repayment or prepayment of outstanding borrowings and Rs 23 crore to fund incremental working capital requirements. The remaining proceeds will be used for general corporate purposes.

Following the IPO, promoter and promoter group shareholding declined to 63.64% from 88.11% before the issue.

Incorporated in May 2012, Shellz India manufactures and markets confectionery products and manufactures and supplies food and bakery ingredients. Its portfolio includes more than 300 stock-keeping units across multiple categories, catering to urban, semi-urban and rural markets. The company markets consumer products under the Hugs and Tosca brands. Hugs offers baked treats, chocolate products, jellies and sugar confectionery, largely at mass-market price points, while Tosca targets the mass-premium segment through differentiated products and packaging. Its portfolio also includes Tosca Oat Choco, an oat and cereal-based bar.

Shellz India has a distribution network of more than 300 super stockists, with products available through kirana outlets across approximately 24 states as of 31 March 2026. It also undertakes private-label manufacturing for third-party customers and exports products to markets in the Middle East, South Asia and Europe. Its operations are supported by in-house manufacturing, product development, research and development, and quality assurance capabilities. The company had 258 full-time employees as of 31 August 2026.

Financially, Shellz India reported total income of Rs 193.18 crore in FY2026, up 3.09% from Rs 187.39 crore in FY2025. Profit after tax rose 61.08% to Rs 13.37 crore from Rs 8.30 crore, while EBITDA increased 32.30% to Rs 30.15 crore from Rs 22.79 crore. Total borrowings increased 29.03% to Rs 100.83 crore as of 31 March 2026, compared with Rs 78.18 crore a year earlier.

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