The Rs 318 crore IPO of Chemcon Speciality Chemicals, a manufacturer of specialized chemical products, will open for bidding on Monday i.e. September 21. The issue will be open between September 21 and September 23. The Vadodara-based company has fixed the price band at Rs 338-340 per share.
The book-building IPO of Chemcon Speciality Chemicals comprises fresh issuance of equity shares amounting to Rs 165 crore and an offer for sale of up to 45 lakh equity shares by the promoters.
The IPO will have a lot size of 44 shares. Investors will be eligible to bid for a minimum 1 lot of 44 shares and in multiples thereof, up to 13 lots. The minimum application money for retail investors will be Rs 14,960, at the upper price band.
Ahead of the public offering, Chemcon Speciality Chemicals raised more than Rs 95 crore from 13 anchor investors, including the likes of IDFC Mutual Fund, ICICI Prudential Mutual Fund, IIFL, HSBC Global and Mirae Asset Mutual Fund.
The company plans to utilise the fresh issue proceeds to expand its manufacturing facility, fund working capital requirements and for general corporate purposes. It will, however, not receive any proceeds from the offer for sale as that would go to selling shareholders.
Chemcon Speciality Chemicals is a leading manufacturer of specialised chemicals such as HMDS (Hexamethyldisilane) & CMIC (Chloromethyl isopropyl carbonate), which are used in the pharma industry.
The company's key domestic customers include Laurus Labs, Aurobindo Pharma and Ind-Swift Laboratories. It also exports to overseas markets including the US, Germany, Italy, South Korea, Japan and Russia, among others.
Link Intime India is the registrar of the IPO, whereas Intensive Fiscal Services and Ambit Capital are the book running lead managers.