An Indore-based integrated flour miller opens its Rs 53.52 crore BSE SME issue on September 24
Peshwa Wheat Ltd (PWL) operates in the food-processing space — the milling of wheat-based products — a play on India’s steady staple-food demand and the shift toward branded, packaged flour.
It processes Atta (wheat flour), Sortex Wheat and Broken Wheat, along with other flour products such as Gram Flour (Besan) and Maize Flour, supplied primarily in 50 kg and 30 kg packs.
The model emphasises integration and zero waste. PWL runs a modern, integrated flour-processing unit at Bijepur, Indore, with advanced milling and cleaning technology and an installed capacity of 56,100 MTPA.
Its in-house processing gives control over every stage of production, minimising production time and improving cost-effectiveness and quality monitoring.
Crucially, it operates a zero-waste, zero-discharge model — by-products like wheat bran (rich in fibre) are sold as cattle-feed/nutritional supplements, generating an additional revenue stream. It holds FSSAI (State and Central) licences and ISO 22000:2018 food-safety certification.
The route to market is B2B and bulk-focused. PWL markets its products mainly across Madhya Pradesh, Maharashtra, Karnataka and Gujarat, selling to super-stockists who supply wholesalers, retailers and bulk buyers — a model geared to large-scale buyers and long-term relationships.
Separately, it undertakes ancillary trading of vegetables (potatoes and tomatoes) within Madhya Pradesh, sourced against confirmed demand.
PWL was incorporated only in 2023, giving it a very short operating history as a company. And it is a lean operation — just 24 employees as of March 31, 2026. The promoters are the Peshwa/Kataria promoter group.
Issue Details
| Particulars | Details |
|---|---|
| Issue Opens | September 24, 2026 |
| Issue Closes | September 28, 2026 |
| Listing | BSE SME |
| Listing Date | October 1, 2026 |
| Issue Type | Book Built |
| Price Band | Rs 95 – Rs 101 per share |
| Face Value | Rs 10 |
| Issue Size | Rs 53.52 crore (52,99,200 shares, entirely fresh) |
| Min. Application | 2,400 shares (2 lots; multiples of 1,200 thereafter) |
| Min. Retail Investment | Rs 2,42,400 |
| Post-IPO Market Cap | Rs 192.18 crore |
| IPO as % of Post-IPO Capital | 27.85% |
| Lead Manager | Finaax Capital Advisors Pvt. Ltd. |
| Market Maker | Bhansali Value Creations Pvt. Ltd. |
| Registrar | Maashitla Securities Pvt. Ltd. |
The issue is entirely a fresh issue. From the net proceeds, PWL will utilise Rs 26.50 crore for working capital, Rs 6.69 crore for capex on plant and machinery, Rs 5.01 crore for capex on civil construction, and the rest for general corporate purposes — a working-capital-heavy, capacity-expansion use of proceeds.
Post-IPO, paid-up equity capital rises from Rs 13.73 crore to Rs 19.03 crore. On capital history, the company issued equity at Rs 44 in January 2024 and a 1:1 bonus in July 2024; promoters’ average cost of acquisition ranges from Rs (13.57) to Rs 5.00 per share — against the Rs 101 offer price.
Price Band
At the upper band of Rs 101, on FY26 earnings the issue is valued at a P/E of about 12.54x, with a P/BV of 3.22 on the March 31, 2026 NAV of Rs 31.37 (post-IPO NAV disclosure is missing).
GMP Watch
Grey-market interest has been flat. As of the days around opening, the Peshwa Wheat IPO GMP stood at ₹0
Financial Performance
| Particulars (Rs cr) | FY24* | FY25 | FY26 |
|---|---|---|---|
| Total Income | 88.14 | 171.55 | 215.96 |
| Net Profit (PAT) | 5.74 | 11.84 | 15.81 |
| PAT Margin (%) | ~1.2–11.9 | 6.90 | 7.32 |
| RoCE (%) | ~10.3–29.2 | 34.44 | 33.44 |
*FY24 comprises two broken periods (the company was incorporated in 2023), so its figures are not directly comparable.
The financials show strong growth. Total income more than doubled from Rs 88.14 crore (FY24 broken periods) to Rs 215.96 crore in FY26 (up ~26% in FY26), and PAT rose from Rs 5.74 crore to Rs 15.81 crore (up ~34% in FY26), with PAT margin improving to 7.32%. Return ratios look strong (RoCE ~33–34%, average RoNW 39.04%).
First, the FY24 “two broken periods” and 2023 incorporation mean the historical comparison is patchy and the standalone track record short. And structurally, this is a low-margin, commoditised flour-milling business — even at 7.32%, margins are thin and highly sensitive to wheat/grain procurement prices.
The company reported an average EPS of about Rs 9.39. Flags include rising trade receivables year-on-year (a cash-quality concern, and why working capital dominates the raise) and higher borrowings (~Rs 23.74 crore); contingent liabilities were Rs 4.76 crore. It has no dividend history.
Peer Comparison
The offer document lists Baba Foods and Megastar Foods as peers, trading at P/Es of NA and ~32.0x (as of September 23, 2026). These differ in scale and product mix, so the comparison isn’t strictly apples-to-apples — PWL’s ~12.5x FY26 (16.2x FY25) sits below Megastar’s ~32x, which lends the valuation some relative cover.
Risks to Consider
Wafer-thin, commodity margins. Flour milling is a low-margin, commoditised business (PAT margin ~7.3%); margins are highly sensitive to wheat and grain procurement prices, which are weather- and MSP-driven and outside the company’s control.
Borrowings rose to ~Rs 23.74 crore, receivables are rising, and Rs 26.50 crore (the bulk) of the raise funds working capital
Wheat procurement cost is the dominant expense, so grain-price swings directly hit the already-thin margins.
Small scale, single-location and SME risks. A 24-person team, a single Indore facility, SME-platform liquidity, and a large Rs 2.42 lakh minimum retail ticket, alongside a flat grey market, add to the risk profile.
