SEBI approve Prasol Chemicals Ltd. IPO for Rs 800 cr
Specialty chemical company Prasol Chemicals has entered capital requests controller Sebi’s go- ahead to raise as much as Rs 800 crore through an original Public Offering (IPO). The IPO comprises fresh issue of equity shares adding up to Rs 250 crore and an Offer- For- trade (OFS) of over to 90 lakh equity shares by being shareholders, according to the Draft Red Herring Prospectus (DRHP).
Prasol Chemicals, which filed its primary IPO papers with the controller in April, attained its” observation” letter on August 23, an update with the Securities and Exchange Board of India( Sebi) showed on Monday. In Sebi’s parlance, its observation implies its go- ahead to launch original share trade.
Going by the draft papers, the company may consider a farther issue of equity shares adding up to Rs 50crore.However, the fresh issue size will be reduced, if similar placement is completed.
As per request sources, the company is likely to raise around Rs 700- 800 crore through the IPO. The proceeds from the fresh issue to the tune of Rs 160 crore will be used for payment of debt and Rs 30 crore for working capital conditions. Either, finances will be used for general commercial purposes.
Since its commencement, Prasol Chemicals, a forward integrated manufacturer of acetone and phosphorus derivations, has expanded its business and compass of operations, evolving from a small- scale manufacturer to a big diversified specialty chemical company with a global presence.
Several acetone and phosphorus derivations included in its portfolio are used in medicinals, conflation of agrochemical active constituents and phrasings, besides their operations in home and particular care products similar as sunscreens, soaps, flavours, spices and detergents.
The company clocked a profit of Rs 50.10 crore in the nine- month period ended December 2021, Rs 25.08 crore in FY21 and Rs 37.77 crore in FY20. Its profit from operations stood at Rs 626.93 crore for the nine- month period ended December 2021, Rs 595.54 crore in financial 2021 and Rs 531.24 crore in financial 2020.
About Prasol Chemicals Ltd.
We are among the leading forward integrated manufacturers of acetone derivatives and phosphorous derivatives in India (Source: CRISIL Report). Our products have end uses in four segments namely pharmaceuticals, agrochemicals, home and personal care and performance chemicals.
We are a Government of India certified Two Star Export House Company with the global distribution network spread across 45 countries across Asia, North America and the European Union.
Vision & Mission
To deliver business excellence for our customers by establishing distinction across each of our core drivers – innovation, environmental sustainability, production, procurement, supply chain and people. To become a leading global brand in specialty chemicals by focusing on our key strategic guiding pillars.