Delhi-based Indogulf Cropsciences Limited gets Sebi nod for IPO

 Delhi-based Indogulf Cropsciences Limited gets Sebi nod for IPO 

Indogulf Cropsciences Limited, manufacturer of crop protection products, plant nutrients, and biologicals in India, has received final observation from the capital markets regulator, Securities and Exchange Board of India (SEBI), to raise funds through an initial public offering (IPO).

The Company had filed its IPO papers with Sebi on September 25, 2024.

The IPO with a face value of Rs 10 per equity share is a mix of fresh issue of up to Rs 200 crore and an offer for sale of up to 38,54,840 equity shares by Selling Shareholders. The offer also includes a subscription reservation for eligible employees.

The offer for sale consists of up to 15,40,960 equity shares by Om Prakash Aggarwal (HUF) and up to 23,13,880 equity shares by Sanjay Aggarwal (HUF).

The company, in consultation with the book-running lead managers, may consider a pre-IPO placement of specified securities shall not exceed 20% of the size of the fresh issue. If such placement is completed, the fresh issue size will be reduced.

The proceeds from the fresh issue to the extent of Rs 100 crore will be used for funding working capital requirements of the company; Rs 40 crore for repayment/prepayment, in full or in part, of certain outstanding borrowings availed by the Company; Rs 14 crore for Capital expenditure of the Company for setting up an in-house dry flowable (DF) plant at Barwasni, District Sonipat, Haryana; and general corporate purposes.

Indogulf Cropsciences began operations in 1993 in three business segments: crop protection, plant nutrients, and biological products offering solutions to the retail and institutional customers to enhance crop productivity.

The Company was the first Indian producers of Pyrazosulfuron Ethyl technical with at least 97% purity, manufactured in the year 2018 and in 2019, it manufactured Spiromesifen Technical, with a purity of at least 96.5%. According to a CareEdge Report mentioned in the DRHP, Indogulf Cropsciences has established itself as an exporter of crop protection, plant nutrients, and biological products. It has achieved the status of a 'Two Star Export House' from the Government of India.

Indogulf Cropsciences offers a broad portfolio of products across various formulations, which includes WDG, SC, CS, ULV, EW, SG, and FS in the form of powder, granule, and liquids, creating diversified formulations to implement increased crop yields as well as promote sustainable agriculture practices and a responsible approach towards the environment.

Indogulf Cropsciences is present in three key verticals: In Crop Protection, brands include: Farrate, Dominator, Corsa-808, Alkazar and Bound Off for overall technical products like Abamectin Tech, B.P.M.C Tech, Chlorantraniliprole, Quizalofop, Spiromesifen, and Azoxystrobin Technical. Among the Biologicals, there exist brands like Breeza, Apache, Root-o-Max Gold, and Empire. Licensed Products include Picaso Gold, Picaso Power, Jagromin-99, Zinc Super Gold, and Zinc Super+.

Systematix Corporate Services Limited is the sole book-running lead manager and Bigshare Services Private Limited is the registrar to the offer.