Mahamaya Lifesciences Ltd.

About Mahamaya Lifesciences

Incorporated in 2002, Mahamaya Lifesciences manufactures, formulates and markets crop protection and biological solutions for domestic and international markets. Its sales channels include Bulk Formulations Sales, Technical Sales, own-brand sales and Exports-Formulations. The company operates a manufacturing facility on 15,817 sq mt of land and maintains in-house R&D and quality assurance laboratories, with compliance as per BIS and FAO norms.

Mahamaya Lifesciences IPO Details

IPO Reservation: Market Maker shares offered: 3,09,000; QIB shares offered: 29,28,000; Retail shares offered: 20,59,200; NII (HNI) shares offered: 8,82,000.

Use of Issue Proceeds

• Existing plant equipment: Purchase of Equipment for existing Plant: INR 3.75 Cr.
• New technical plant: Funding of capex towards new technical plant: INR 29.42 Cr.
• Warehouse and machinery: Construction of Warehouse and purchase of machinery: INR 2.52 Cr.
• Working capital: Funding working capital: INR 18.00 Cr.
• General corporate purposes: [●]

Strengths

• Higher-margin Bulk Formulation: Management stated that Bulk Formulation currently contributes 39.51% of revenue and is targeting a 49% to 54% contribution in the near future. Its gross margin is 12-15%, compared with 6-7% for Technical sales.
• Product pipeline and registrations: The company has multiple molecules under registration, including 10 products in process for technical imports. Management is targeting molecules not currently present in India, such as bio fermented molecules; registration takes around 5 years for technical imports and 2 years for technical indigenous manufacturing.
• Planned capacity expansion: The company plans to increase Solid Formulation capacity from 10,40,000 kg p.a. to 20,00,000 kg p.a., Liquid Formulation capacity from 13,00,000 Litre p.a. to 50,00,000 Litre p.a., and Technical Product capacity from 0 to 2,50,000 kg p.a.
• FY26 management guidance: Management guidance is for 25% revenue growth and 4.9%-5% PAT margins for FY26.

In June 2025, Technical products contributed 57.74% of revenue, Bulk Formulation 39.51%, Brands 2.18% and Exports 0.57%. The report notes that 70% of revenue comes from solid formulations, with Emamectin benzoate identified as the star product; 30% comes from liquid formulations.

Mahamaya Lifesciences Key Financials

Revenue and PAT increased in FY25 compared with FY24. Debt/Equity was 1.18x in FY25 and 1.08x in Jun’25.

IPO Valuation and Our View

The issue is valued at a P/E ratio of 20.68x based on FY25 PAT. The report weighs topline growth guidance of 25%, PAT margins of 4.9% to 5%, capex plans and new molecule introductions against a highly competitive industry, high Debt to Equity and aggressive valuation. Minerva Capital Research Solutions assigns Avoid to the issue.

INR 108 to 114 per share

IPO price band

~INR 266.82 Cr.

Market capitalisation

20.68x

P/E ratio based on FY25 PAT

Avoid

Recommendation

Key Risks

• Raw material sourcing: 70% of raw materials are sourced from China, making any supply disruption a key monitorable. The top 5 suppliers contribute 76.67% of total raw material costs, and the company does not enter into long term agreements.
• Export contribution: Exports remain a monitorable: despite 145 registrations, only 4.7% of sales came from exports in FY25.
• Debt: The report describes the company as seemingly overleveraged with a 1.18x Debt to Equity ratio.
• Industry and demand: The industry is described as highly competitive and fragmented. Agricultural demand is driven by monsoon, acceptance of new products is unknown, and government regulation is very high.
• Capacity utilisation: The company is reported to be running almost at full capacity. FY25 solid utilisation is shown as 112.48% and liquid utilisation as 89.11%.

Management

• Krishnamurthy Ganesan: The Promoter and Managing Director has over 22+ years of expertise in the crop protection industry and holds B.Sc., M.Sc. from University of Madras.
• Lalitha Krishnamurthy: The Promoter and Whole Time Director holds a B.Sc. from the University of Madras and an Executive Master’s in International Business from IIFT.
• Prashant Krishnamurty: The Executive Director and CFO has 10+ years of experience and manages day to day operations, finance and strategy.

Our View

Mahamaya Lifesciences has reported strong FY25 revenue growth and plans to expand capacity and broaden its molecule pipeline. However, the report highlights debt, competitive and regulatory pressures, and uncertainty around exports and new-product acceptance. On balance, Minerva Capital Research Solutions assigns Avoid to the IPO.

Standard disclosures

• Research Analyst has served as an officer, director or employee of subject company(ies): No
• We or our associates have received compensation from the subject company(ies) in the past 12 months: No
• We or our associates have managed or co-managed public offering of securities for the subject company(ies) in the past12 months: No
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Regulatory disclosures

Minerva Capital Research Solutions is an independent investment advisory firm founded by Nishant Gupta(SEBI registration no. INH000018896).

Registration granted by SEBI and certification from NISM in no way promise or guarantee that the research recommendation will provide any assured, minimum or risk-free return to the investors.

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For any queries or grievances: Mr. Nishant Gupta | Email: nishant.gupta@mcapital.in or guptanishant.iimi@gmail.com | Contact Number: 8171433387 | Website: www.mcapital.in | Twitter: @Mcapital_In

• Research Analyst for this note: Mr. Shubham Upadhyay (+91-9953459775)

Rating rationale

Minerva Capital Research Solutions endeavors to provide objective opinions and recommendations. Ratings are assigned to stocks according to their fair value vs current market price and then categorizes them as Buy, Hold, Reduce, Sell. The performance horizon is one year unless specified and fair value is defined as analyst’s valuation for a stock.

• Buy:> 15%
• Hold: -5% to 15%
• Reduce: -15% to -5%
• Sell: <-15%