Nova Agritech, the Hyderabad-based company which operates in agri-input business, has mopped up Rs 43.14 crore from four institutional investors on January 19, a day before the issue opening.
The opening and closing dates for the IPO have been changed after the exchanges declared January 22, Monday as the holiday.
The Rs 144-crore initial public offering of the company will be opened for subscription during January 23 and January 25, with a price band at Rs 39-41 per share. The earlier IPO schedule was January 22-24.
AG Dynamic Funds is the biggest investor amongst them, buying nearly Rs 13 crore equity shares in the company, while Neomile Growth Fund - Series I, Saint Capital Fund, and Quantum-State Investment Fund picked more than Rs 10 crore worth shares each.
"The IPO committee of the company in consultation with the book running lead managers, has finalised allocation of 1,05,22,220 equity shares to anchor investors at Rs 41 per equity share," Nova Agritech said in its filing to exchanges.
The IPO comprises a fresh issuance of Rs 112 crore worth shares, and an offer-for-sale (OFS) of 77.58 lakh equity shares by investor Nutalapati Venkatasubbarao, the only public shareholder in the agri-input manufacturer.
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Venkatasubbarao will be exiting the company by selling his entire personal shareholding in the OFS.
Nova Agritech, which offers soil health management, crop nutrition and crop protection products, will utilise Rs 14.2 crore of the net fresh issue proceeds for setting-up a new formulation plant by the subsidiary Nova Agri Sciences, and Rs 10.5 crore for expansion of the existing formulation plant.
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Further, Rs 70.01 crore will be used for working capital requirements of its own and subsidiary Nova Agri Sciences, the company said, adding the remaining fresh issue money will be utilised for general corporate purposes.
Nova Agritech has total 720 product registrations across segments and a dealer network across 16 states in India. Its major business comes from Telangana (contributing 55 percent to revenue in FY23). Further, Andhra Pradesh state contributed 14.7 percent to its business, Karnataka 6.7 percent and the remaining 24 percent from the rest of states for FY23.
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