Chemcel Biotech to list on Oct 13

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Chemcel Biotech a company engaged in the business of agro-chemicals will list on the bourses with its equity shares on October 13, 2008. The issue price is Rs 16. The public issue of 1.54 lakh equity shares of Rs 10 each was subscribed 1.83 times.

The shares of the company will be listed on the Bombay Stock Exchange.

The company plans to use the earnings from the issue to set up a bio-diesel manufacturing unit in Andhra Pradesh. This plant will be set up in Kondapalli in Andhra Pradesh at a cost of Rs 10.95 crore and will have a capacity of 20 tonnes a day of three shifts.

For this unit the company has entered into an agreement with Jetro Petro Biotech in order to obtain raw materials.

The company will also use the proceeds to meet its working capital requirements due to an increase in its agro-chemical and bio-fertilizer divisions.