Amid the pandemic, pharmaceutical, and speciality chemical producing firms are seeing their business booming, and they have given an acceptable performance in the share market also. In July, Rossari Biotech was the first company to launch IPOs during the lockdown phase, was also a speciality chemical manufacturing company. Following its footsteps, five more companies, including digital firms like Happiest Minds, have hit the market with initial public offerings in the last three months. Another speciality chemical manufacturing company, Chemcon Specialty Chemicals is also all set to launch their initial public offerings in September.
The draft red herring prospectus (DRHP) presented by the firm reads that Chemcon would open the maiden allotment of equity shares for the public on September 21. For the first time, amid lockdown, two companies will issue IPOs on the same day. Computer Age Management Services, a Chennai based registrar and transfer agent for mutual funds and financial institutions, also declared to hit the market on the same date.
Chemcon produces speciality chemicals, HMDS and CMIC, which are predominantly used by the pharmaceutical companies. The company is a leading name, recognised worldwide, as a producer of pharmaceutical and oilfield chemicals. In 2018, Chemcon was the eighth largest producer of HMDS and the second largest for CMIC.
Chemcon Speciality Chemicals IPO will contain fresh issues and offer for sale equity shares from promoters. According to the company’s draft prospectus, promoters, Kamalkumar Rajendra Aggarwal and Naresh Vijaykumar Goyal will offer 45 lakh equity shares from their stashes, offloading 22.5 percent stakes each. The estimated IPO size could be in the range of Rs 300-400 crores.
Key Highlights Of The Chemcon IPO offer
If you want to subscribe for Chemcon IPO here are the critical points to take note of,
- Chemcon IPO will hit the market on September 21, the same day with CAMS IPO, and will remain open until September 23
- The IPO size will contain fresh scrips, as well as offer for sale equity shares from promoters
- In the maiden bid, fresh equities worth Rs 165 crores will be issued
- The company is aiming to raise between Rs 300-400 crores with the divestment plan, placing shares in the price range of Rs 295-300 per scrip
- The funds from the IPO will assist the company meet corporate expenditures, business working capital needs, and business expansion plans
- Retail investors need to subscribe for a minimum lot size of 44 shares
- Chemcon shares will list in both NSE and BSE
- Intensive Fiscal Services and Ambit Capitalare appointed to manage the offer for Chemcon
Recently, Happiest Minds IPO had seen massive subscription from investors. The news of launching Chemcon Speciality Chemicals Limited IPO came right after it. It isn’t difficult to guess that Chemcon is also expecting the same enthusiasm from investors with its offer.
You can apply for Chemcon IPO from the Angel One console using any UPI supported app on Chemcon Speciality Chemicals IPO date. Once you file the bid, you will receive payment collection request in your UPI app. Approve the payment, and we will block your bid for Chemcon IPO.