The ₹235.32-crore initial public offering of Platinum Industries opens today for public subscription. The IPO is priced in a band of ₹162-171 and the market lot is 87 shares.

The entire offer is a fresh issue of 96,32,988 shares. Up to 50 per cent of the shares in the public issue is reserved for qualified institutional buyers, 15 per cent for non-institutional investors and 35 per cent is reserved for retail investors.

As part of the IPO exercise, Platinum Industries on Monday raised ₹70.59 crore from anchor investors. The company said it has allocated 41,28,237 shares at ₹171 a share to seven anchor investors: Baring Private Equity India AIF 2, Elara India Opportunities Fund, Saint Capital Fund, Antara India Evergreen Fund Ltd, Nav Capital VCC - NAV Capital Emerging Star Fund, Astorne Capital VCC Arven and Leading Light Fund VCC - The Triumph Fund.

The company intends to use the net proceeds from the offering for investing in Platinum Stabilisers Egypt LLC, its subsidiary; financing working capital needs; funding capital expenditure required for the establishment of a PVC stabiliser manufacturing facility in Palghar, Maharashtra; and general corporate purposes.

Platinum Industries is in the stabiliser manufacturing sector. Its business vertical consists of lubricants, CPVC additives and PVC stabilisers. The company works in the market for specialty chemicals. PVC fittings, PVC profiles, SPC floor tiles, rigid PVC foam boards, electrical lines and cables, and packaging materials, are among the uses for the company’s products.

Its production unit is at Palghar, Maharashtra. Through its subsidiary Platinum Stabilisers Egypt LLC, the company plans to start a PVC stabiliser production project in Egypt. Bigshare Services Pvt Ltd is the registrar for the IPO, while Unistone Capital Pvt Ltd is the book-running lead manager.

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