Mumbai: Specialty chemical manufacturer Laxmi Organic Industries will raise ?600 crore through initial public offer (IPO). The issue opens on 15 March and closes 17 March.
The Mumbai-based company focuses on two key business segments — acetyl intermediates and specialty intermediates.
The IPO comprises a fresh issue of equity shares worth ?300 crore and offer-for-sale (OFS) of ?300 crore by the promoter Yellow Stone Trust, according to the red herring prospectus filed with Securities and Exchange Board of India (Sebi).
Axis Capital Ltd and DAM Capital Advisors Ltd are managing the company’s IPO.
Laxmi Organic’s plan to go public comes after last year’s successful initial share sales by other specialty chemical companies Rossari Biotech and Chemcon Specialty Chemicals, which were subscribed almost 80 times and 149 times respectively.
The company supplies to customers in China, the Netherlands, Russia, Singapore, United Arab Emirates, the UK and the US.
Laxmi Organic Industries plans to utilise the net proceeds from the issue for setting up a manufacturing facility for fluorospecialty chemicals, working capital requirement, and for the purchase of plant and machinery for augmenting infrastructure development.
News Source:- Livemint