Parijat Industries Files IPO Papers with SEBI to Raise Funds

Parijat Industries (India) Limited, a leading player in the agrochemical industry, is gearing up to launch its initial public offering (IPO). The IPO will consist of both a fresh issue of shares and an offer for sale by promoters, promoter group members, and investor shareholders. The company aims to strengthen its balance sheet while funding its growth initiatives.

IPO Structure and Details

The proposed IPO includes a fresh issue of equity shares worth up to ₹160 crore and an offer for sale (OFS) of 20,370,680 equity shares by existing shareholders. The selling shareholders include promoters Keshav Anand, Sharat Anand, and Vikram Anand, along with promoter group members Harshi Anand, Sanya Anand, and Viraj Anand. In addition, other shareholders such as Abhay Kumar Gupta and India Agri Business Fund II Limited will also participate in the OFS.

The company may also consider a pre-IPO placement of up to ₹32 crore, subject to regulatory compliance. If completed, the pre-IPO placement proceeds will be adjusted against the fresh issue. The IPO will also include a reservation for eligible employees. Final details such as the price band, employee discount, and minimum bid lot will be decided closer to the launch in consultation with the Book Running Lead Managers (BRLMs).

Objectives of the Issue

The primary objective of the fresh issue is the repayment or pre-payment, either in full or in part, of certain borrowings availed by the company, including accrued interest. This will help reduce debt levels and improve financial flexibility. Additionally, a portion of the proceeds will be used for general corporate purposes, enabling Parijat Industries to strengthen its operations, support business expansion, and meet future strategic requirements.

The fresh issuance will raise ₹121.6 crore for debt repayment; any leftover funds will cover general corporate purposes.

Read More: Upcoming IPOs This Week: 5 Mainboard and 16 SME IPO Set to Open!

Conclusion

Parijat Industries’ IPO represents a strategic step to bolster its capital base and support its long-term growth plans. By combining debt reduction with investment in corporate needs, the company seeks to enhance its financial stability while offering investors a chance to participate in its expansion journey.

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