Advance Agrolife opens today: Check latest GMP, key details, what analysts say

According to IPO Watch, the shares of the company were trading with nearly 10 percent GMP over the issue price.

Advance Agrolife IPO: Key things to know

Advance Agrolife launched its IPO to raise Rs 193 crore entirely through a fresh issue of 1.93 crore equity shares by the company. The price band for the offer has been fixed at Rs 95-100 per share.

Investors can bid for a minimum of 150 shares, requiring an investment of Rs 15,000 at the upper price band, and in multiples thereafter. The allotments will likely be finalized by October 6, and the shares are scheduled to be listed on stock exchanges on October 8.

Advance Agrolife, that manufactures and domestically sells insecticides, herbicides, fungicides, and plant growth regulators to corporate customers, will spend Rs 135 crore of IPO proceeds for its working capital requirements in FY26-FY27, and the remaining amount for general corporate purposes.

The company, which is valued at Rs 643 crore with the IPO launch, has reported profit at Rs 25.6 crore in the year ended March 2025, increasing 3.66 percent compared to Rs 24.7 crore in previous fiscal. Revenue in the same fiscal periods grew by 10.2 percent to Rs 502.3 crore, up from Rs 455.9 crore.

Advance Agrolife competes with listed peers like Dharmaj Crop Guard, Insecticides India, Heranba Industries, PI Industries, and Sharda Cropchem. The merchant banker managing the Advance Agrolife IPO is Choice Capital Advisors.

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Advance Agrolife: Should you subscribe?

SBI Securities in its recent IPO note, recommended a 'Neutral' rating to the issue. The analysts also noted the key highlights of the issues, including integrated manufacturing facilities, diversified product portfolio and well established client base.

The analysts highlighted key risks, saying "the company’s business is dependent on government policies and regulations including subsidies and incentives provided to farmers, thus any adverse changes in government regulations may have an adverse impact on the business. Further, any inability to meet quality standards prescribed by Indian or foreign regulatory authorities may have an adverse impact on the business. AAL’s debtor days have increased from 78 days in FY23 to 111 days in FY25; any failure to recover trade receivables may have an adverse impact on the business."

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