Pajson Agro India Limited is into processing of raw cashew nuts into cashew kernels and supplies to domestic and international markets. The product portfolio primarily comprises various grades of cashew nuts, which are processed and packaged in bulk as well as consumer-oriented retail packs. Additionally, they market select dry fruits under the white-label brand 'Royal Mewa' through a combination of e-commerce platforms and offline distribution channels. In addition, the cashew husk and cashew nut shells which are the by-products after processing of Raw Cashews are also supplied which are utilized in agricultural and industrial applications. Company operates through a multi-channel sales and distribution structure comprising four key verticals: Wholesale Mandis, Institutional Sales, Exports, and the B2C brand, Royal Mewa. The wholesale mandi segment contributes significantly to domestic distribution. They are operational in 18 states and 3 Union Territories. They work with mandi traders who possess established networks and handle both whole and broken cashew grades. They also supply the products to a range of institutional customers, including entities such as Bikanervala, More Retail, Nutraj, Farmley, Reliance Retail, and Haldiram, among others. They also exported to UAE in FY 2024-2025. In the year 2021 as a strategic move the Company had acquired the cashew processing plant located at Janakiramapuram, Rolugunta, Anakapalli, Andhra Pradesh – 531114, India land admeasuring approximately 2,95,990.20 square feet and plant and machineries and other assets from Olam Agro India Private Limited for a total consideration of Rs 1,825.00 lakhs. Initially the processing unit had processing capacity of 7,000 metric tonnes till the FY 2023. Further, through strategic investments in technology the capacity was increased to 12,000 metric tonnes in FY 2025. The current capacity of 18,000 metric tonnes. Company has the dedicated packaging unit at Lawrence Road Industrial Area, Delhi-110035, India for all retail packaging and white labeling activities. As per financial performance, Pajson Agro India Limited has posted total income / net profits of Rs 101.13 / 0.01 Cr (FY23), Rs 96.03 / Rs 3.35 Cr (FY24), Rs 187.27 Cr / 20.41 Cr (FY25) and Rs 118.37 Cr / 14.19 Cr (upto Q2 FY26). So as per previous financials data, company has shown good growth, but sudden rise in net-profit just before IPO raises doubts. Company has an average EPS of Rs 6.47 and average RoNW of 27.80% for last three fiscals. Issue is priced at a P/BV of 3.54 as per NAV of Rs 33.37/- as on post issue. If we attribute latest earnings of FY24, FY25 and annualised FY26 on equity post issue, then asking price is at a P/E of around 83.79, 13.76 and 9.90 respectively. As per RHP, comparison between listed peers is shown in above table. On BRLM's front, Smart Horizon Capital Advisors Private Limited is associated with this IPOs, and has handled 16 IPOs in last three fiscal years. From last 10 IPOs, one opened below issue price and remaining all above issue price or at par, on the day of listing. As of now, from last 10 IPOs, three are trading below issue price and remaining all are trading above issue price or at par. ( As on 05.12.25 ) As per financials, Pajson Agro India Limited has shown good growth, RoNW is 46.18% and P/E is 83.79, 13.76 and 9.90 respectively as per FY24, FY25 and annualised FY26 earnings. So issue looks fairly priced, but sudden rise in net-profit just before IPO raises doubts. Company is engaged in the business of processing of raw cashew nuts into cashew kernels and supplies to domestic and international markets, which is competitive business segment. Performance of BRLM is good. So, we give NEUTRAL rating for this IPO. Readers must consult a qualified financial advisor prior to making any actual investment decisions.
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