Deepak Chemtex IPO will open for subscription from 29 November 2023. The company aims for an issue size of ₹23.04 Cr through this IPO.
Company Overview
| Full name | Deepak Chemtex Limited |
| Sector | Chemicals |
| Industry | Chemicals |
| Company Website | https://www.deepakchemtex.in/ |
About Company
Deepak Chemtex is engaged in the business of manufacturing colorants finding its application in Food, Drug, Cosmetics, Cleaning compounds, Agriculture, and other industries. Deepak Chemtex manufactures FD&C (Food, Drug, and Cosmetic) colors used in confectionery, bakery, desserts, beverages, dairy products, seasonings, pet foods, pharmaceutical products, cosmetics & personal care products. It also manufactures salt-free dyes used in the inkjet industry, pond dyes used in ponds, lakes, swimming pools, etc, and other colorants used in car wash products, portable sanitation cleaners, detergent & soap, fuel, oil & lubricants, smoke, seed treatment, crop protection, fertilizer indicators, floral dyes, etc.
Deepak Chemtex is exporting to countries like China, France, Kenya, Mexico, Europe, Japan, Australia, the United Kingdom, the United States of America, etc. The company has successfully expanded its commercialized product portfolio from around 50 products in Fiscal 2021 to around 100 products in Fiscal 2023. The company provides flexible packing options like IBC Tank Packing, HDPE Drum Packing, Cardboard Drum Packing, Carton Packaging Container Stuffing, etc. It packs the offered range hygienically, to ensure its safety during the transit.
The Objectives of the Issue
- Funding capital expenditure towards the installation of plant & machinery in our existing premises.
- Investment in its subsidiary DCPL Speciality Chemicals Private Limited for financing its capital expenditure towards the installation of plant and machinery.
- Funding to meet working capital requirements.
- General Corporate Purpose.
Deepak Chemtex IPO Timetable
| IPO Opening date | 29 November 2023 |
| IPO Closing | 01 December 2023 |
| Basis of Allotment | 06 December 2023 |
| Initiation Refund | 07 December 2023 |
| Credit to Demat Account | 08 December 2023 |
| Listing Date | 11 December 2023 |
Deepak Chemtex IPO details
| Issue type | Book Built Issue IPO |
| IPO issue size | ₹23.04 Cr – 2,880,000 shares |
| Fresh Issue | ₹23.04 Cr – 2,880,000 shares |
| Offer for sale | Nil |
| Face value | ₹10 per share |
| Price Band | ₹76 to ₹80 per share |
| Lot size | 1600 Shares |
| Market Maker portion | 147,200 shares |
| Shareholding pre-issue | 7,984,000 |
| Shareholding post-issue | 10,864,000 |
| Listing Exchange | BSE SME |
Deepak Chemtex IPO Lot Size
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (Min) | 1 | 1600 | ₹128,000 |
| Retail (Max) | 1 | 1600 | ₹128,000 |
| HNI (Min) | 2 | 3,200 | ₹256,000 |
Deepak Chemtex IPO Reservation Details
| Investor Category | Shares Offered |
|---|---|
| Anchor Investor Shares Offered | 817,600 (27.01%) |
| Market Maker Shares Offered | 147,200 (4.86%) |
| QIB Shares Offered | 547,200 (18.08%) |
| NII (HNI) Shares Offered | 558,400 (18.45%) |
| Retail Shares Offered | 956,800 (31.61%) |
| Total Shares Offered | 3,027,200 (100%) |
Deepak Chemtex Financial Performance
| FY 2021 | FY 2022 | FY 2023 | H1 FY 2024 | |
| Revenue | 29.56 | 54.11 | 46.70 | 21.74 |
| Expenses | 26.06 | 48.80 | 39.41 | 18.00 |
| Net income | 2.63 | 4.23 | 6.31 | 3.11 |
Deepak Chemtex Valuations & Margins
| FY 2021 | FY 2022 | FY 2023 | |
| EPS | 3.30 | 5.30 | 7.89 |
| PE ratio | – | – | 9.63 – 10.14 |
| RONW (%) | 51.01 | 45.09 | 40.17 |
| NAV | 6.47 | 11.75 | 19.65 |
| ROCE (%) | 55.09 | 50.22 | 49.65 |
| EBITDA (%) | 13.93 | 10.96 | 17.11 |
| Debt/Equity | 0.31 | 0.21 | 0.09 |
Company Promoters
- Mr. Saurabh Deepak Arora
- Ms. Trishla Baid
Promoter Holding
| Pre Issue Share Holding | 99.40% |
| Post Issue Share Holding | 73.05% |
Deepak Chemtex IPO Lead Manager(s)
HEM SECURITIES LIMITED
904, A Wing, Naman Midtown, Senapati Bapat Marg,
Elphinstone Road, Lower Parel, Mumbai-400013, India
Phone: +91- 022- 49060000
Email: ib@hemsecurities.com
Website: www.hemsecurities.com
Deepak Chemtex Registrar
BIGSHARE SERVICES PRIVATE LIMITED
S6-2, 6th Floor, Pinnacle Business Park,
Next to Ahura Centre, Mahakali
Caves Road, Andheri East, Mumbai – 400 093
Phone: +91 22 6263 8200
Email: ipo@bigshareonline.com
Website: www.bigshareonline.com
Deepak Chemtex Contact Details
DEEPAK CHEMTEX LIMITED
Aawashi, 28/1A, A/P Adgul Aawashi, Lote,
Ratnagiri, Maharashtra, India, 415722
Phone: +91 88706 82632
E-mail: info@deepakchemtex.in
Website: www.deepakchemtex.in
Deepak Chemtex IPO Allotment Status
Deepak Chemtex IPO allotment status will be available on Bigshare Services’ website. Click on this link to get allotment status.
Final thoughts
Deepak Chemtex IPO is going to hit Dalal Street soon. applying for an IPO is purely a personal choice. study well about the company and subscribe if you are feeling good about the company. I hope this post will give you enough details to make a fundamental study of the company. learn well and make wise decisions.
Happy Investing
