Food premix firm Hexagon Nutrition files for IPO to raise Rs 600 crore

Hexagon Nutrition Limited (HNL), a Mumbai-based company involved in the production of nutrition products, has filed its draft red herring prospectus (DRHP) with the markets regulator, Securities and Exchange Board of India (Sebi), for a Rs 600-crore initial public offering (IPO).

 The IPO will comprise a fresh issue of Rs 100 crore and an offer for sale worth Rs 500 crore.

 The proceeds from its fresh issuance would be utilised to repay borrowings of the company and its subsidiaries, fund working capital requirements, and finance capital expenditure.

 The company's product portfolio comprises fortification of foods, therapeutic nutrition, clinical nutrition, and alleviation of malnutrition. Hexagon Nutrition has a presence across India, and its products have been exported to around 70 countries.

 The company's product mix can be classified into branded nutrition products, premix formulations, and ready-to-use foods.

 Its branded products comprise wellness and clinical nutrition products for daily nutritional requirements across demographics.

 And its premix formulations comprise micronutrient formulations in the form of vitamin and mineral premixes that are supplied to Indian and multi-national FMCG players. The premixes help fortify consumer products, including malted health beverages, biscuits, dairy products, spreads, flour, and edible oils.

 Their premixes are supplied to brands like Coca Cola, Amul, Dabur India, and Marico.