Chemcon Speciality Chemicals IPO subscribed 12.65 times on second day

PTI New Delhi | Updated on September 22, 2020 Published on September 22, 2020

Chemcon Speciality Chemicals initial public offer was subscribed 12.65 times on the second day of bidding on Tuesday.

The initial public offer received bids for 8,28,01,136 shares against 65,47,061 shares on offer.

The category meant for qualified institutional buyers (QIBs) was subscribed 1.37 times, non-institutional investors 3.51 times and retail individual investors 23 times.

Chemcon Speciality Chemicals Ltd on Friday raised over ₹95 crore from anchor investors.

The initial public offer comprises of a fresh issue aggregating up to ₹165 crore and an offer for sale of up to 45 lakh shares.

Price range for the offer, which is scheduled to close for bidding on Wednesday, has been fixed at ₹338-340 apiece.

At the upper end of the price band, the IPO will fetch ₹318 crore.

The company intends to utilise the net proceeds from the fresh issue to meet capital expenditure for expansion of its manufacturing facility, fund working capital requirements and general corporate purposes.

The Vadodara-based company has long standing relationships with its key customers, including Laurus Labs Ltd, Aurobindo Pharma Ltd, and Ind-Swift Laboratories Ltd.

It exports products to global markets covering the US, Germany, Italy, South Korea, Japan, the United Arab Emirates, Serbia, Russia, Spain, Thailand and Malaysia.

Intensive Fiscal Services and Ambit Capital are managing the offer.

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Published on September 22, 2020
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