Pharma company Valiant Laboratories has decided to launch its maiden public issue on September 27, while the price band is expected to be announced in coming days.
The initial public offering comprises only a fresh issue of 1.09 crore equity shares by the company and there is no offer-for-sale portion in the issue.
The anchor book of the offer, a part of qualified institutional buyers' (QIB) portion, will be opened for a day on September 26, while the issue will close on October 3.
The Mumbai-based company will make use of net fresh issue proceeds for setting up a manufacturing facility for speciality chemicals (ketene and diketene derivatives products) in Bharuch, Gujarat owned by its subsidiary, Valiant Advanced Sciences and working capital requirements of the said subsidiary. The remaining funds will be used for general corporate purposes.
The active pharmaceutical ingredient (API) and bulk drug manufacturing company with focus on Paracetamol is owned by the promoters including Dhanvallabh Ventures LLP, which holds 62.5 percent shareholding. Promoters Shantilal Shivji Vora and Santosh Shantilal Vora hold 10.01 percent stake each in the company.
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Valiant Organics, the listed entity on the BSE and NSE, is the promoter of Dhanvallabh Ventures LLP with 73.15 percent stake.
Paracetamol, one of the most commonly taken analgesic worldwide, has several applications such as usage in treatment of headaches, muscle aches, arthritis, back aches, toothaches, cold and fever.
The company has manufacturing facility in Maharashtra's Palghar.
Valiant Laboratories recorded a profit of Rs 29 crore for the year ended March FY23, up by 5.5 percent from Rs 27.5 crore in previous year, and the revenue from operations increased by 14.5 percent to Rs 333.9 crore during the same period.
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Its operating numbers were weak with EBITDA (earnings before interest, tax, depreciation and amortisation) down 17 percent on-year to Rs 35.09 crore in FY23 with margin declining 400 bps to 10.5 percent compared to previous year.
The basis of allotment of IPO shares will be finalised by the company in consultation with the NSE by October 5, while the equity shares will be transferred to demat accounts of successful investors and refunds will be credited to the bank accounts of unsuccessful investors by October 6.
Valiant Las will make its debut on the BSE and NSE on October 9, which is T+3 timeline set by the Sebi, instead of T+6.
Unistone Capital is the merchant banker to the issue, while Link Intime India is the registrar to the offer.
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