HyFun Foods plans ₹1,500 crore Gujarat and MP expansion, targets IPO in 2–3 years
Frozen-food maker HyFun Foods will build greenfield plants in Gujarat and Madhya Pradesh, with the Gujarat unit targeted for January 2027. The company is targeting ₹3,500 crore revenue by FY28 and may raise ₹1,500–2,000 crore ahead of a proposed IPO.
What happened
Hyfun Foods · HyFun Foods will invest ₹1,500 crore in new Gujarat and Madhya Pradesh plants, expanding frozen-food capacity and domestic offerings. The company
Key facts
- ₹1,500 crore total planned investment
- ₹1,000 crore Gujarat greenfield plant capex
- ₹500 crore Madhya Pradesh greenfield plant capex
- French fries capacity: 245,000 tonnes annually
- Potato specialties capacity: 40,000 tonnes annually
- Potential pre-IPO fundraise: ₹1,500-2,000 crore
- 2025-26 revenue: ₹1,450 crore
- FY28 revenue target: ₹3,500 crore
- 70:30 exports-to-domestic sales ratio
- 40% HoReCa, 40% QSR, 20% consumer/retail
- Presence in over 40 countries; target 100
Why this matters
HyFun’s greenfield push makes it a more consequential frozen-food platform ahead of an IPO, potentially creating partnership, supply-chain and strategic investment opportunities for companies seeking scale in India’s cold-food market.
What to watch
- Gujarat plant construction milestones and whether January 2027 commissioning remains on schedule.
- Announcement of Madhya Pradesh site location, capacity, investment split and commissioning timetable.
- Details of the pre-IPO fundraise, including valuation, investor mix, debt component and use of proceeds.
- Quarterly revenue growth versus the ₹3,500 crore FY28 target, especially foodservice, modern trade and export growth.
- Potato prices, crop yields, contract-farming coverage and cold-storage availability.
- Gross-margin movement as new plants begin carrying start-up, freight, energy and depreciation costs.
- New capacity or aggressive pricing actions from frozen-food peers and multinational foodservice suppliers.
- Formal IPO adviser, governance, auditor or filing-related appointments.
- Secure land, approvals, equipment vendors and construction partners for Gujarat and Madhya Pradesh greenfield sites.
- Lock in multi-year potato and other raw-material sourcing arrangements, likely expanding contract farming and storage infrastructure in Gujarat, Madhya Pradesh and adjacent sourcing regions.
- Build cold-chain, warehouse and reefer-distribution capacity before plant commissioning to prevent output from outrunning route-to-market capability.
- Pursue a ₹1,500-2,000 crore pre-IPO fundraising round, with investors likely scrutinizing utilization ramp, export mix, margins and governance readiness.
- Expand higher-margin value-added frozen SKUs and foodservice/export customer contracts to support utilization of the new plants.