Chemcon Speciality Chemicals (Chemcon-IPO-Review), Issue Size, Price Brand
Brief details of the Chemcon Ipo Review & Company Establishment
Chemcon Speciality Chemicals Ltd was founded in the year 1988. As the name suggests the company is in the business of manufacturing specialised chemical products like Hexamethyldisilazane- Hexamethyldisilane (HMDS) and Chloromethyl Isopropyl Carbonate (CMIC), which are majorly used in the pharmaceuticals industry.
The firm is a prominent chemical manufacturer supplying raw materials to numerous industries including oilfield chemicals (Calcium Bromide, Zinc Bromide and Sodium Bromide) Silanes, Pharma intermediates and contracts for bulk chemical manufacturing.
Although Chemcon Chemicals is a leading manufacturer of numerous chemical products, the firm is also involved with the manufacturing of pharmaceutical chemicals, generating and drawing its
maximum revenue from this very segment.
OPEN DEMAT AC & APPLY FOR IPO
The firm supplies the necessary chemicals to almost every big pharmaceutical giant including Hetero Labs Limited, Aurobindo Pharma Ltd, Laurus Labs Ltd, Macleods Pharma Ltd and Lantech Pharmaceuticals Ltd, are the prominent customers of its pharma chemical section.
The firm’s oilfield chemicals segment is also blossoming and generating significant revenue due to its partnership with prominent firms namely Shree Radha Overseas, Water Systems Speciality and Universal Drilling Fluids.
The company is soaring high with it being conferred as the 2nd largest manufacturer of CMIC chemical and the 8th largest manufacturer of HMDS worldwide in 2018.
Chemcon Chemicals is not only involved in the domestic market but it also has export clients for its products in the overseas market, exporting to companies from USA, Japan, China, Serbia, UAE, Russia, Azerbaijan and Malaysia.
The company’s manufacturing unit is located at Vadodara, Gujarat, having 5 operational plants, 2 leased warehouses and 3 warehouses.
Key competitive strengths of Chemcon Chemicals
• One of the largest manufacturers of pharmaceutical chemicals around the world.
• Humongous client base in the domestic as well as global markets.
• Continuous growth with sound financial performance.
• Frontrunner in oilfield chemicals manufacturing in India.
• Owns dedicated and separate manufacturing plants for each product.
Company’s Promoters:
The company’s promoters-
• Kamal Kumar Rajendra Aggarwal
• Navdeep Naresh Goyal
• Shubharangana Goyal
Company Financials:
A glossary of company’s financial Information (Restated Consolidated)
Details For the financial year ended on (₹ in million)
| Mar 31’ 20 | Mar 31’ 19 | Mar 31’ 18 | Mar 31’ 17 | |
| Total Asset | 2,257.92 | 1,730.33 | 970.66 | 626.80 |
| Total Revenue generated | 2,660.17 | 3,053.26 | 1,583.91 | 899.96 |
| Profit made after Tax deductions | 488.53 | 430.41 | 263.81 | 28.24 |
Objects to presented in the Issue of Chemcon IPO
The firm plans to utilise the net revenue generated from the IPO in achieving the below-mentioned objectives-
• To adjust the capital expenditures required for the expansion of it’s manufacturing unit.
• To fulfil the necessary working capital requirements.
• To meet general corporate issues.
Chemcon IPO Details
| IPO Date | Sep 21, 2020 – Sep 23, 2020 |
| Issue Type | Book Built Issue type IPO |
| Issue Size | 9,352,940 shares worth ₹10 (amounting to ₹318 Cr) |
| Fresh Issue | 4,852,940 shares worth ₹10(amounting to ₹165 Cr) |
| Sale offer | 4,500,000 shares worth ₹10(amounting to ₹153 Cr) |
| Face Value | ₹10 per equity share |
| IPO Price | ₹338 to ₹340 per equity share |
| Market Lot | 44 Shares |
| Min Order Quantity | 44 Shares |
| Listed At | BSE, NSE |
Chemcon IPO Tentative Date / Timetable
Bid opening on Sep 21, 2020
Bid closing on Sep 23, 2020
Finalisation on the Basis of Allotment Sep 28, 2020
Initiation of Refunds Sep 29, 2020
Crediting of Shares to Demat Acct Sep 30, 2020
IPO Shares Listing Date Oct 1, 2020
Chemcon IPO Lot Size and Price (Retail)
Application Lots Shares Amount (Cut-off)
Minimum 1Lot 44 ₹14,960
Maximum 13Lot 572 ₹194,480
Pre Issue Share Holding 100%
Post Issue Share Holding 74.47%
Lowbrokers is expecting a huge bumper listing gain on this IPO. Grey Market Price is going on as Rs 250-300
So to know How to Apply IPO read the full detail, How to Open AC in Zerodha
