Sita Shree Food Products Ltd enters the capital market

Sita Shree enters the capital market with an initial public offering of Rs31.50 crore through the book building process on March 11, 2008. The price band of this issue is fixed at Rs27 to Rs30 per share and the issue will close on March 14, 2008.

The company will invest the net proceeds of the issue for part financing its expansion plan of Rs48.12 crore. The plan include setting up of a solvent extraction plant having 500 tonne per day capacity, a oil refinery for solvent extraction plant having 100 tpd capacity, a lecithin plant for processing the by products of solvent extraction plant having 5 tpd capacity, and a flour mill of 275 tpd. The proposed project will be set up at Badiakima, Indore, Madhya Pradesh just 8 km away from existing location.

The company's product portfolio includes wheat flour, maida, rawa, daliya, suji, chana dal etc. These products are marketed under its own brand like "Sita Shree", "Regular" and "Sita Shree Gold" or sold to other brands.