By: ICN Bureau
Last updated : March 03, 2021 7:59 am
Funds raised from the net proceeds will be used to repay/prepay Rs 556.19 cr of its debt
Specialty chemical company Anupam Rasayan India Ltd. has received market regulator Securities and Exchange Board of India's (SEBI) nod to raise Rs. 760 crore through an Initial Public Offering (IPO).
The IPO will be a complete fresh issue of equity shares of face value of Rs 10 each and will be listed on both exchanges, BSE and NSE.
The issue will have 50% quota reserved for QIBs, 15% for Non-institutional investors, and 35% for retail investors and funds raised from the net proceeds will be used to repay/prepay Rs 556.19 cr of its debt i.e term loans, external commercial borrowings, working capital loan besides general corporate purposes.
The company had filed DRHP with SEBI on December 22, 2020 and may consider a pre-ipo placement of equity shares aggregating up to Rs. 100 crore, in consultation with the BRLMs.
The Surat-based company has decided to reserve a portion of the offer for its employees and may consider a discount for eligible staff.
Commenced operation in 1984, Anupam Rasayan India has six multi-purpose manufacturing facilities based in Gujarat with a combined aggregate installed capacity of around 23,396 metric tonnes.
The company mainly caters to agrochemical, personal care and pharmaceutical sectors, which accounted for over 95 per cent of its revenues in 2019-20. Its clients include Syngenta Asia Pacific, Sumitomo Chemical Company and UPL Ltd.
Axis Capital, Ambit Private, IIFL Securities and JM Financial are the merchant bankers for the issue.
Anupam has carved a niche for itself into speciality chemicals that involves multi step synthesis and complex chemistries such as etherification, acylation, cyclization, diazotization and hydrolysis.