Jay Ambe Supermarkets IPO

Jay Ambe Supermarkets IPO sum of ₹18.45 crore is a 100% fresh issue with no OFS. The IPO is a book-building model, is ₹10 per equity share and the price band is ₹74 to ₹78; the bidding process will start on September 9 and end on September 11, while listing on BSE SME on September 16. The minimum application has been fixed at 1,600 shares, for which the bidder has to spend a maximum of ₹1.248 lakh. Spread X Securities has been named as the market maker for the issue. For the category-wise allocation ratio for block bidders disclosure on the QIB (50%), NII (15%) and Retail (35%), it is consistent with a platform summary for our issue.

Company Background

Jay Ambe Supermarkets was established in 2020 with its headquarters in Gandhinagar. Jay Ambe operates supermarkets under the brand City Square Mart – offering an extensive range of FMCG, groceries, home textiles, apparel, playthings, footwear, home décor, gift articles and household needs since its inception in 2018. The company now boasts a total of 17 outlets across Gujarat. The business model is based on FOCO, FOFO and company-operated stores (COCOs) with a focus on good quality leased retail spaces at the best visibility locations, standardized processes and quality product parameters to ensure customers get the best possible value for their money.

Operations & Product Range

Facility & Production

The business of Jay Ambe Supermarkets IPO is a Retail operation, so most of the operations are organized into (i) store network operations & management, (ii) supply-chain procurement with over 1,700 manufacturers/ suppliers, (iii) inventory & merchandising and (iv) point of sale systems (across formats). The proceeds of the IPO are being used to acquire one existing store and to fit out a further three new stores. Daily replenishment and promotions are supported through centralized warehousing, vendor management and IT systems, as the company scales using franchise models (FOCO/FOFO) with standardized layouts and assortment.

Brands & Market Presence

All the company stores run under the City Square Mart banner and have presence in Gandhinagar, Ahmedabad as well as other locations within Gujarat serving mass and value shoppers with multi-category offerings. The company has 17 stores and 93,000 sq ft of retail sales area as per current disclosure, indicative of an expanding footprint. The brand promise is rooted in affordability, breadth of assortment and convenience, where the vision is to be the local friendly supermarket across Tier-2/3 catchments of Gujarat.

Revenue Channels

• Most sales come from in-store retail of FMCG and groceries, with private labels and promotional schemes contributing to widening margins and footfall.
• Non-food categories such as home textiles, clothing, footwear, toys and homeware deliver a higher margin mix and support seasonal campaigns.
• Franchise fees and royalties from FOCO/FOFO models contribute to ancillary income streams as the network expands.
• Reported Financials show a revenue of ₹47.4 crore and PAT of ₹2.75 crore in FY25 as compared to revenue of ₹33.4 crore and ₹1.55 crore PAT in FY24, indicating operational scaling.

Management & Shareholding

Promoters & Shareholding

The Jay Ambe Supermarkets IPO is promoted by Jignesh Amratbhai Patel along with family members and they will continue to control the strategy and operations of the company. The IPO is a 100% fresh issue of shares and proceeds will be used to dilute promoters' equity through primary issuance, but do not affect the post-listing stake held by the promoters, subject to post-issue holding.

Board Members

Jay Ambe Supermarkets IPO leadership includes managing director and chairman Jignesh Amratbhai Patel and company secretary Renuka Shah (as per their public profiles) backed by governance in line with SME listing norms. Issue intermediaries are Beeline Capital Advisors as book-running lead manager, MUFG Intime India as registrar and Spread X Securities as market maker.