Indogulf Cropsciences’ ₹200-crore initial public offering (IPO) was subscribed 26 times with strong bids from qualified institutional buyers (QIBs) . The IPO has received bids for 34.73 crore shares against 1.34 crore shares on offer.
The issue came out with a a band of ₹105-111 a share. The IPO comprises a fresh issue of ₹160 crore and an offer for sale of up to 36.03 lakh shares by promoters Om Prakash Aggarwal (HUF) and Sanjay Aggarwal (HUF).
Retail investors too were enthusiastic, by subscribing 14.78 times of their reserved portion while the quota for NIIs was subscribed heavily 48.39 times, and employee portion (6.38 lakh shares) by 1.09 times.
Usage of funds
Indogulf Crop Sciences raised over ₹58 crore from anchor investors on Wednesday as part of the IPO process. The proceeds from the fresh issue totalling ₹65 crore will be used to fund working capital requirements, ₹34.12 crore for debt repayment, ₹14 crore for capital expenditure and general corporate purposes.
Indogulf Cropsciences manufactures crop protection products, plant nutrients, and biologicals in India. It manufactures and markets an extensive range of products in all types of available formulations such as water-dispersible granules, suspension concentrate, capsule suspension, ultra-low volume, emulsion in water, soluble granules, flowable suspension, etc, which can be in powder, granule and liquid form, and catering to a broad spectrum of crops, including cereals, pulses and oilseeds, fibre crops, plantations, and fruits and vegetables.