Chemcon Speciality Chemicals, a Gujarat-based producer of forte synthetics that discover application in drug and oilfield industry is entering the primary capital market with its initial public offering (IPO) of equity shares of the assumed worth of Rs 10 per share. The price limit has been fixed between Rs 338 and Rs 340.
The complete issue size is of Rs 318 crore, including a new issue of Rs 165 crore and a proposal available to be purchased of Rs 153 crore shares by the leaving investors. At the upper-value band of Rs 340, the organization will issue up to 0.48 crore of equity shares, totalling up to Rs 165 crore. After this issue, the promoter’s stake will boil down to 74.5 per cent from 100 per cent before this issue.
The returns from the new issue of IPO will be utilized to meet capital consumption for the development of a manufacturing unit, meet business working capital necessities and for a general corporate reason.
The IPO will open for public membership on 21st September and close on 23rd September.
The shares will be allotted in the following manner to various type of investors:
Retail Investors: 35 %
Non-Institutional Investors: 15%
QIBs: 50%