French fries maker Hyfun Foods may expedite its IPO plans to fund growth

"The IPO plans are still at a discussion stage but we do plan to reach there in next 2-3 years," Soundararadjane told Business Standard in an interaction

Hyfun Foods, one of India’s largest French fries makers in the organised sector, and a leading supplier to global giants such as KFC, McDonald’s and Burger King, may fast-track its initial public offering (IPO) plans to fund its expansion plans, said S. Soundararadjane, CEO of HyFarm — the agribusiness arm of Hyfun Foods.

 

“The IPO plans are still at a discussion stage, but we do plan to reach there in the next 2–3 years,” Soundararadjane told Business Standard.

 

Sources said the company is also under discussions with multiple PE funds to drive its growth plans.

 

Soundararadjane said the company had a total turnover of around ₹1,450 crore in FY24, which it plans to raise to ₹5,000 crore by FY28, backed by fresh investments in potato processing facilities in states beyond Gujarat, where it is currently based.

 

“Over the next three years, we have planned investments of ₹1,000 crore. These investments showcase our commitment to quality and innovation, and building infrastructure for agricultural growth,” he explained.

 

The company currently has five potato processing plants in Gujarat with an annual capacity of processing 250,000 tonnes.

 

The plan is to set up three more plants in Mehsana for potato flakes, French fries, and specialty potato products. 

 

It aims to double its capacity in Gujarat and make the state the "Belgium" of potato production. In Gujarat, almost 80 per cent of total potato production is of processing varieties.

 

In addition, the company also intends to expand its operations to Madhya Pradesh and Uttar Pradesh.

 

Soundararadjane said that investments in Madhya Pradesh are planned around 2028, while those in Uttar Pradesh could materialise around 2029–30.

 

Currently, the company produces around 65,000 tonnes of potato seeds annually, which it plans to raise to 100,000 tonnes by 2028.

 

One major initiative for the company will be investments in expanding its digital footprint.

 

HyFarm has partnered with ‘Fyllo’ to pioneer AI- and IoT-powered precision farming, and its ‘FarmOji’ application supports seed potato growers 24x7 by providing customised crop advisories and promoting soil health and regenerative agricultural practices.

 

“HyFarm plans to collaborate with 30,000 farmers and work towards achieving an ambitious procurement target of one million metric tonnes of potatoes by 2028 in India,” Soundararadjane concluded.