NEW DELHI, Mar 12: Agrochemical Company GSP Crop Science Ltd on Thursday said its Rs 400 crore initial share sale will open for public subscription on March 16.
The price band has been fixed at Rs 304-320 per share for the IPO, valuing the company at Rs 1,489 crore at the higher end.
The Ahmedabad-based company’s Initial Public Offering (IPO) consists of a fresh issue of shares worth Rs 240 crore and an Offer For Sale (OFS) of 50 lakh equity shares valued Rs 160 crore at the upper end, by promoters. This aggregates the total issue size to Rs 400 crore.
Proceeds from the fresh issue, totaling Rs 170 crore will be used for debt payment, and a portion will be utilised for general corporate purposes.
The company’s maiden public offering will conclude on March 18, while the bidding for anchor investors will take place on March 13, it announced.
The agrochemical firm will make its stock market debut on March 24.
GSP Crop Science is a research-focused agrochemical company with over 39 years of expertise in developing and manufacturing insecticides, herbicides, fungicides, and plant growth regulators in India.
It provides crop protection solutions that help farmers maximize productivity and agricultural output by producing formulations, precisely composed products combining active ingredients (chemicals targeting pests, weeds, or diseases) and additives (enhancing performance, stability, and usability), and technicals, which are concentrated active ingredients used to create formulations.
As of September 30, 2024, the company had secured 507 registrations across formulations and technicals for manufactured agrochemicals, supported by a robust focus on research and development.
GSP Crop Science operates four manufacturing facilities located in Ahmedabad (Odhav and Kathwada), Vadodara (Nandesari), and Samba (Jammu & Kashmir), with a combined annual installed capacity of 15,120 MTPA for Technicals and 43,672 MTPA for formulations.
On the financial front, the company’s revenue from operations stood at Rs 1,152.16 crore in fiscal 2024 as compared to Rs 1,203.31 crore in the preceding fiscal. Profit after tax surged to Rs 61.29 crore in fiscal 2024 from Rs 21.55 crore in fiscal 2023.
For the six months ended September 30, 2024, revenue from operations stood at Rs 703.46 crore, and profit after tax at Rs 65.87 crore.
According to the company, half of the issue size has been reserved for qualified institutional buyers, 35 per cent for retail investors and the remaining 15 per cent for non-institutional investors.
Equirus Capital and Motilal Oswal Investment Advisors are the book-running lead managers of the issue. (PTI)
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