Upcoming IPO: Dhanlaxmi Crop Science IPO opens on December 9; issue price band set at ₹52-55 apiece; check GMP | Stock Market News
Source: Live Mint
Dhanlaxmi Crop Science IPO will open for subscription on Monday, December 9, and close on Wednesday, December 11. Dhanlaxmi Crop Science IPO price band has been fixed in the range of ₹52 to ₹55 per equity share of face value of ₹10 each. Bids can be made for a minimum of 2,000 equity shares and in multiples of 2,000 equity shares thereafter.
The IPO allocation comprises 50% of the net issue for Qualified Institutional Buyers (QIBs), 35% for retail investors, and 15% for the Non-Institutional Investor (NII) segment.
The company is a forward-thinking, technology-driven seed enterprise that specializes in the development, production, processing, and sale of seeds for various field crops and vegetables. With over 18 years of experience in the Indian seed industry, the firm successfully combines traditional breeding techniques with advanced biotechnological methods. This innovative approach enables them to produce high-quality hybrid and open-pollinated varieties that not only offer increased yields but also superior product quality and enhanced resistance to pests and diseases, surpassing naturally occurring varieties.
Furthermore, the company’s seeds are designed to thrive in a range of agroclimatic conditions across different geographic regions in India, taking into account factors like water availability, crop duration, and soil characteristics. This commitment to quality and adaptability positions the company as a leader in meeting the diverse agricultural needs of farmers in India.
As per Red Herring Prospectus (RHP), the company’s listed peers are Mangalam Seeds Ltd (with a P/E of 16.67), and Upsurge Seeds of Agriculture Ltd (with a P/E of 25.39).
Between the fiscal year that ended on March 31, 2024, and the fiscal year that ended on March 31, 2023, Dhanlaxmi Crop Science Ltd. had a 37% increase in sales and a 55% increase in profit after tax (PAT).
Dhanlaxmi Crop Science IPO details
Dhanlaxmi Crop Science IPO consists of a fresh issue of 4,328,000 equity shares, aggregating to ₹23.80 crore. There’s no offer for sale (OFS) component.
The funds raised from this issue will be used to meet working capital needs and for general corporate purposes.
Finshore Management Services Limited is the lead manager for the Dhanlaxmi Crop Science IPO, and Bigshare Services Pvt Ltd is the registrar for the issue.
Dhanlaxmi Crop Science IPO GMP today
Dhanlaxmi Crop Science IPO GMP today is +25. This indicates Dhanlaxmi Crop Science share price was trading at a premium of ₹25 in the grey market, according to investorgain.com.
Considering the upper end of the IPO price band and the current premium in the grey market, the estimated listing price of Dhanlaxmi Crop Science share price is indicated at ₹80 apiece, which is 45.45% higher than the IPO price of ₹55.
‘Grey market premium’ indicates investors’ readiness to pay more than the issue price.
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