Zappfresh to Launch IPO, Pioneers D2C Meat Market Listing

Zappfresh, an online meat seller, has filed for an IPO with SEBI. The IPO consists of fresh equity shares and aims to drive growth initiatives. Zappfresh, backed by prominent investors, has expanded into new territories and aims to achieve significant revenue growth in the next three years.

Zappfresh, which sells meat online, has filed preliminary documents with capital markets regulator SEBI to launch its initial public offering (IPO).

In a statement on Wednesday, Zappfresh revealed it has filed the Draft Red Herring Prospectus (DRHP) with SEBI to list on the BSE SME platform.

The Initial Public Offering (IPO) will include a fresh issue of 59.06 lakh equity shares, with a face value of Rs 10, and will not feature any offer-for-sale (OFS) component.

The proceeds will be strategically allocated to drive growth initiatives, including unidentified acquisitions, marketing, capital expenditure enhancements, working capital optimization, and general corporate purposes, the company said.

Zappfresh highlighted it is the first direct-to-consumer (D2C) food startup to embark on this listing journey.

Deepanshu Manchanda, founder of Zappfresh, remarked, "We are proud to take this monumental step towards listing on the BSE SME platform, which testifies to our unwavering dedication to transparency, accountability, and growth." Backed by investors like SIDBI, Amit Burman Family Office, and Hindustan Times, the promoters hold a 40 percent stake in the company.

The company has recently expanded its footprint into new territories, including Mumbai and Bangalore, and acquired Bonsaro and Dr. Meat to enhance its offerings and market presence. Moreover, Zappfresh is in an advanced stage to launch its business in the Middle East, further bolstered by additional acquisitions.

For FY 2023-24, Zappfresh achieved an EBIDTA of Rs 7.6 crore and revenue of Rs 90 crore. The company is aiming to achieve revenue of Rs 1,000 crore in the next three years.

(With inputs from agencies.)