GMP hints favourable sentiments for Hexagon Nutrition IPO; should you bid?

Early grey market trends indicate positive investor sentiment toward the initial public offering (IPO) of research-oriented pure-play nutrition company Hexagon Nutrition, which is set to open for public subscription on Friday, June 5, 2026.

 

Through its maiden share sale, the company aims to raise ₹138.87 crore via an entirely offer-for-sale (OFS) issue. The offering comprises the sale of up to 30.9 million equity shares by promoters Arun Purushottam Kelkar, Subhash Purushottam Kelkar, Aditya Kelkar, and Nutan Subhash Kelkar.

 

Ahead of the issue opening, unlisted shares of Hexagon Nutrition were reportedly trading at ₹55 apiece in the grey market, implying a premium of about ₹10, or 22.22 per cent, over the upper end of the IPO price band of ₹45 per share, according to sources tracking unofficial market activity.

 

Hexagon Nutrition IPO details

Hexagon Nutrition has fixed the price band for its public issue at ₹42–₹45 per share, with a lot size of 333 shares. Investors can bid for a minimum of 333 shares and in multiples thereafter. At the upper price band, retail investors will need to invest at least ₹14,985 for one lot, while the maximum permissible retail application of 13 lots (4,329 shares) would require an investment of ₹1,94,805.

 

The Hexagon Nutrition IPO will remain open for subscription until Tuesday, June 9, 2026. The basis of allotment is expected to be finalised on Wednesday, June 10, while shares are likely to be credited to successful applicants' demat accounts on Thursday, June 11. The company's shares are scheduled to debut on the stock exchanges on Friday, June 12, 2026.

 

KFin Technologies is the registrar to the issue, while Cumulative Capital and Catalyst Capital Partners are acting as the book-running lead managers. 

 

As the issue comprises only an OFS, Hexagon Nutrition will not receive any proceeds from the public offering.

 

"Our Company will not receive any proceeds from the Offer ('Offer Proceeds') and all such Offer Proceeds (net of any Offer-related expenses to be borne by the Selling Shareholders) will go to the Selling Shareholders, in proportion to the Offered Shares sold by the respective Selling Shareholder as part of the Offer," said the company in its RHP.  READ | Kuku files confidentially for ₹3,500 cr IPO, eyes ₹15,000 cr valuation

Should you subscribe to Hexagon Nutrition IPO?

Equivision — May apply

Brokerage firm Equivision has assigned a 'May Apply' rating to the IPO. According to the brokerage, at the upper price band of ₹45 per share, Hexagon Nutrition is valued at a price-to-earnings (P/E) ratio of 25.71x and a price-to-book (P/B) ratio of 2.83x based on FY25 earnings.

 

"Considering its diversified nutrition portfolio, established manufacturing footprint, and industry positioning, the issue appears reasonably priced relative to listed peers," said the brokerage.

 

Equivision highlighted that the company is a leading micronutrient formulation player supported by strong research and development capabilities, scalable manufacturing operations, and a robust pan-India omnichannel distribution network.

 

The brokerage added that the company's focus on innovation and new product development positions it to capitalise on evolving health and wellness trends.

 

However, Equivision noted that the IPO is entirely an OFS, with no fresh proceeds accruing to the company. It also flagged revenue concentration in the premix formulation segment and raw material price fluctuations as key risks to monitor.  READ | CMR Green Tech IPO opens today: Price band, GMP, here's all you should know

Swastika Investmart — Apply for long-term investors

Swastika Investmart has recommended that investors apply to the IPO only if they have a holding horizon of two to three years, while advising those seeking quick listing gains to avoid the issue.

 

The brokerage described Hexagon Nutrition as a good business but cautioned that it remains a small-cap investment with associated risks.

 

Swastika highlighted that the company's margins and profitability have improved consistently, while maintaining a low debt profile. EBITDA margins expanded from 6.2% in FY23 to 14 per cent in the first nine months of FY26, while profit after tax has nearly quadrupled over the past two years. The debt-to-equity ratio stands at 0.18.

 

"At 23x P/E, the issue is not overpriced compared to peers. However, peers are much larger companies, making direct comparisons less meaningful. The entire IPO is promoter selling, with no funds flowing into the company. Promoters are exiting at 35–93 times their acquisition cost," said the brokerage.

 

Swastika also pointed out that the company's factories are operating at only around 30% capacity utilisation, while dependence on a single business segment and certain past compliance issues remain areas of concern.