JG Chemicals IPO

JG Chemicals IPO will open for subscription from 05 March 2024. The company aims for an issue size of ₹251.19 Cr through this IPO.

Company Overview

Full nameJG Chemicals Limited
Company Websitehttps://jgchem.com/

About Company

Established in 2001, JG Chemicals has significantly expanded its business and scale of operations, evolving into a major, diversified zinc oxide player with a global presence. The company’s products serve a broad spectrum of industrial applications, including rubber (tyres and other rubber products), ceramics, paints and coatings, pharmaceuticals and cosmetics, electronics, and batteries, agrochemicals and fertilizers, specialty chemicals, lubricants, oil and gas, and animal feed.

JG Chemicals has established enduring relationships with customers across various end-user industries, including tires, ceramics, rubber, paints, cosmetics, and batteries. In the past three years, the company has marketed and sold its products to over 200 domestic customers and over 50 global customers spanning more than 10 countries. As of 31 October 2022, JG Chemicals’ total installed capacity of 77,040 metric tons per annum (MTPA) is distributed among three manufacturing facilities located in (i) Jangalpur (Kolkata), (ii) Belur (Kolkata), and (iii) Naidupeta (Andhra Pradesh). As of 31 October 2022, JG Chemicals employed 49 contract workers.

The Objectives of the Issue

  • Investment in Material Subsidiary, viz. BDJ Oxides (i) repayment or pre-payment, in full or in part, of all or certain borrowings availed by its Material Subsidiary; (ii) funding capital expenditure requirements for setting up of a research and development center situated in Naidupeta, Andhra Pradesh (R&D Centre); and (iii) funding its long-term working capital requirements;
  • Funding long-term working capital requirements of the Company; and
  • General corporate purposes.

JG Chemicals IPO Timetable

IPO Opening date05 March 2024
IPO Closing07 March 2024
Basis of Allotment11 March 2024
Initiation Refund12 March 2024
Credit to Demat Account12 March 2024
Listing Date13 March 2024
(Cut-off time for UPI mandate confirmation – 5 PM on March 7, 2024)

JG Chemicals IPO details

Issue typeBook Built Issue IPO
IPO issue size₹251.19 Cr – 11,366,063 shares
Fresh Issue₹165 Cr – 7,466,063 shares
Offer for sale₹86.19 Cr – 3,900,000 shares
Face value₹10 per share
Price Band ₹210 to ₹221 per share
Lot size67 Shares
Shareholding pre-issue31,720,000
Shareholding post-issue39,186,063
Listing ExchangeBSE & NSE

JG Chemicals IPO Lot Size

Retail (Min)167₹14,807
Retail (Max)13871₹192,491
S-HNI (Min)14938₹207,298
S-HNI (Max)674,489₹992,069
B-HNI (Min)684,556₹1,006,876

JG Chemicals IPO Reservation Details

QIB Shares Offered50%
NII (HNI) Shares Offered15%
Retail Shares Offered35%

JG Chemicals Financial Performance

 FY 2020FY 2021FY 2022FY 20239M FY 2024
Net income13.9528.8043.1356.7918.51
Margin (%)3.496.627.047.243.81
(Amount in ₹ Crores)

JG Chemicals Valuations & Margins

FY 2020FY 2021FY 2022FY 2023
PE ratio12.12 – 12.76
RONW (%)15.2521.6127.0927.49
ROCE (%)18.3625.2725.8329.38
EBITDA (%)6.8011.1710.8310.85

Company Promoters

  • Suresh Jhunjhunwala
  • Anirudh Jhunjhunwala
  • Anuj Jhunjhunwala.

Promoter Holding

Pre Issue Share Holding100%
Post Issue Share Holding

JG Chemicals IPO Lead Manager(s)

  • Centrum Capital Limited
  • Emkay Global Financial Services Ltd
  • Keynote Financial Services Ltd

JG Chemicals Registrar

Selenium Tower – B, Plot 31 & 32, Gachibowli,
Financial District, Nanakramguda, Serilingampally,
Hyderabad – 500 032, Telangana
Tel: +91 40 6716 2222
E-mail: jgchemicals.ipo@kfintech.com
Website: www.kfintech.com

JG Chemicals Contact Details

34A, Metcalfe Street,
Kolkata – 700 013, West Bengal
Phone: +91 33 4014 0100
Email: corporate@jgchem.com
Website: www.jgchem.com

JG Chemicals IPO Allotment Status

JG Chemicals IPO allotment status will be available on the KFin Tech website. Click on this link to get allotment status.

Final thoughts

JG Chemicals 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

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