Abram Food

IPO Timeline

About the Company

Incorporated in 2009, Abram Food Limited is a Rajasthan-based food processing company engaged in the manufacturing and trading of chana dal, besan, atta, spices, edible oils, and cattle feed under the Kherliwala brand. The company operates through a distributor network across Rajasthan, Delhi-NCR, and parts of Uttar Pradesh, supplying both retail-ready packs and bulk quantities. Its manufacturing facility in Alwar, spread over 3,000 sq. mtr, is equipped for cleaning, grinding, and packaging of grains and spices, with a focus on maintaining product freshness and natural quality. Abram Food emphasizes seasonal procurement to ensure consistent product standards year-round.

Strengths

• Manufacturing facility in Alwar with ~4,366 MT pulse, ~507 MT flour, and spice capacity, supported by standardised machinery and robust quality control systems.
• Strong presence in Rajasthan and Delhi-NCR through 80 distributors and active sales support.
• Experienced senior management team with deep FMCG expertise and strong industry relationships, led by a promoter with 40+ years of experience.
• Long-standing customer relationships built through consistent quality, competitive pricing, and tailored product offerings.
• Efficient use of by-products like Chana Chilka and Chana Churi minimizes waste and adds to revenue through quality resale.

Risks

• The Company, its Promoters, and Directors are involved in legal proceedings, and any adverse outcome may impact reputation and operations.
• Regulatory changes or legal uncertainties may increase costs and impact operations.
• The company has reported negative cash flows from operating activities in recent years, which may affect its financial stability and growth prospects.
• Dependence on Chana and Chana Dal exposes the company to demand and supply risks that may affect financial performance.
• Absence of non-compete agreements with Promoter Group entities in similar businesses may lead to conflicts of interest affecting the Company’s operations.
• High revenue dependence on Rajasthan and Delhi-NCR exposes the Company to regional risks that could adversely impact operations and financial performance.
• Heavy reliance on a single facility in Alwar may disrupt operations and impact financial performance.