The ₹251.15-crore initial public offering (IPO) of agrochemicals manufacturer Dharmaj Crop Guard Ltd was subscribed 35.49 times at the close of the last day of subscription on Wednesday.

The IPO received bids for 28,43,51,820 shares at 5 p.m. of November 30, as against 80,12,990 shares on offer.

The exchange data showed that the qualified institutional buyers (QIBs) category got subscribed 48.21 times, while the retail individual investors category was subscribed 21.53 times. The category for non-institutional investors was subscribed 52.29 times and the employees category got 7.48 times subscription.

The issue with price band of ₹216-237 per share had opened for subscription on November 28 and closed on November 30.

Use of funds

The IPO consists of a fresh issue of ₹216 crore and an offer-for-sale of ₹35.15 crore by the promoters Manjulaben Rameshbhai Talavia, Muktaben Jamankumar Talavia, Domadia Artiben and Ilaben Jagdishbhai Savaliya.

The company, which makes agro-chemical formulations such as insecticides, fungicides, herbicides, plant growth regulators, micro fertilisers etc, looks to utilise the proceeds from the issue to fund its capital expenditure towards setting up a manufacturing facility at Saykha in Bharuch district in Gujarat. It will also fund incremental working capital requirements; repayment and/or pre-payment, in full and/or part, of certain borrowings, and for general corporate purposes.

The company had reported revenues of ₹394.21 crore for FY22, 30 per cent higher than ₹302.41 crore for FY21. It posted net profit of ₹28.69 crore for the fiscal, up 36.88 per cent from ₹20.96 crore in FY21.

The issue had Elara Capital (India) and Monarch Networth Capital as the book-running lead managers.

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