Monday, 8 March 2021

Anupam Rasayan India Limited Initial Public Offering of Equity Shares opening on Friday, March 12, 2021

 



·         Price Band of Rs. 553.00 – Rs. 555.00 per equity share of face value of Rs. 10 each of Anupam Rasayan India Limited (“Equity Share”)

·         Bid/Issue Opening Date – Friday, March 12,  2021 and Bid/Issue Closing Date – Tuesday, March 16, 2021

·         Minimum Bid Lot is 27 Equity Shares and in multiples of 27 Equity Shares thereafter

·         The Floor Price is 55.30 times the face value of the Equity Shares and the Cap Price is 55.50 times the face value of the Equity Shares.

 

 


Mumbai, March 8, 2021: Surat based, custom synthesis and manufacturing focused specialty chemicals company Anupam Rasayan India Limited(“Company” or “Anupam Rasayan”), will open the Bid/Issue period in relation to its initial public offering of Equity Shares (the “Issue”/ “IPO”) on Friday, March 12, 2021 and close on Tuesday, March 16, 2021. The price band for the Offer has been decided at Rs. 553.00 – Rs. 555.00 per Equity Share. The Company may, in consultation with the book running lead managers (the “BRLMs”), consider participation by Anchor Investors which shall be one Working Day prior to the Bid/ Issue open Date, i.e. Wednesday, March 10, 2021.

The Issue aggregating up to Rs. 7,600 million comprises of a complete fresh issuance of Equity Shares, and will be listed on BSE Limited (“BSE”) and the National Stock Exchange of India Limited (“NSE”). The Company proposes to utilise the Net Proceeds towards repayment/prepayment of certain indebtedness availed by the Company and for general corporate purposes.

Anupam Rasayan is one of the leading companies engaged in the custom synthesis and manufacturing of specialty chemicals in India (Source: “Independent Market Report on Crop Protection, Pharmaceuticals and Custom Synthesis” dated December 14, 2020 (the “F&S Report”) prepared and released by Frost and Sullivan and commissioned and paid by the Company in connection with the Issue). The Company has two distinct verticals which includes life science related specialty chemicals comprising products related to agrochemicals, personal care and pharmaceuticals; and other specialty chemicals, comprising specialty pigment and dyes, and polymer additives. Anupam Rasayan has developed strong and long-term relationships with various multinational corporations, including, Syngenta Asia Pacific Pte. Ltd., Sumitomo Chemical Company Limited and UPL Limited that has helped the Company expand its product offerings and geographic reach across Europe, Japan, United States and India. As of December 31, 2020, the Company operates through six multi-purpose manufacturing facilities based in Gujarat, India; with four facilities located at Sachin, Surat, Gujarat and two located at Jhagadia, Bharuch, Gujarat.

 

From FY18 to FY20, the Company’s total revenue has increased at a CAGR of 24.29 % and its EBITDA for FY20 stood at ₹ 1,348.96 million all of our facilities restarted operations, subject to certain adjustments in working patterns and limited workforce. Despite the impact of the COVID-19 pandemic, the Company’s revenue from operations significantly increased by 45.03% from ₹ 3,718.07 million in the nine months ended December 31, 2019 to ₹ 5,392.20 million in the nine months ended December 31, 2020.

Axis Capital Limited, Ambit Private Limited, IIFL Securities Limited and JM Financial Limited are the book running lead managers to the Issue (“BRLMs”).

The Issue is being made through the Book Building Process, in compliance with Regulation 6(1) of the SEBI ICDR Regulations, where not more than 50% of the Net Issue shall be available for allocation on a proportionate basis to Qualified Institutional Buyers (“QIBs”) (the “QIB Category”), provided that the Company in consultation with the BRLMs, may allocate up to 60% of the QIB Category to Anchor Investors, on a discretionary basis (the “Anchor Investor Portion”), of which one-third shall be reserved for domestic Mutual Funds, subject to valid Bids being received from domestic Mutual Funds at or above the price at which Equity Shares are allocated to Anchor Investors. In the event of under-subscription or non-allocation in the Anchor Investor Portion, the balance Equity Shares shall be added to the QIB Category (other than Anchor Investor Portion). Further, 5% of the QIB Category (excluding the Anchor Investor Portion) shall be available for allocation on a proportionate basis to Mutual Funds only and the remainder of the QIB Category shall be available for allocation on a proportionate basis to all QIBs, including Mutual Funds, subject to valid Bids being received at or above the Issue Price.

Note: Capitalized terms used and not defined herein shall have the respective meanings ascribed to them in the red herring prospectus dated March 5, 2021 of the Company.

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