Chemplast Sanmar Ltd is a leading specialty chemical manufacturer in India They have engaged in the manufacturing of specialty paste PVC resin, starting materials, and intermediates for agro-chemical, pharmaceuticals, agrochemical, and fine chemical sectors is all set to make a debut in the stock market with an issue size of 3850 Cr.
Chemplast Sanmar Limited IPO –Overview
| Chemplast Sanmar Limited IPO Issue Date | 10-12 August 2021 |
| Chemplast Sanmar Limited IPO Opening Date | 10 August 2021 |
| Chemplast Sanmar Limited IPO Face Value | INR 5 per share |
| Chemplast Sanmar Limited IPO Price | INR 541 per share |
| Chemplast Sanmar Limited IPO Lot Size | 27 Shares |
| Issue Size | 3850 Cr |
| Offer for sale | 2550 Cr |
| Issue Type | Book built Issue IPO |
| Listing At | BSE, NSE |
| QIB Shares Offered | 2.70 times |
| NII (HNI) Shares | 1.03 times |
| Company Promoters | Sanmar Holdings Limited is the promoter of the company. |
Chemplast Sanmar Limited IPO-Tentative Dates
| Chemplast Sanmar Limited IPO opening date | 10 August 2021 |
| Chemplast Sanmar Limited IPO closing date | 12 August 2021 |
| Basis of Allotment | 18 August 2021 |
| Initiation of Refunds | 20 August 2021 |
| The credit of Shares to Demat | 23 August 2021 |
| Chemplast Sanmar Limited IPO Listing Date | 24 August 2021 |
Chemplast Sanmar – Industry Overview.
The Indian S-PVC market is more than five decades old, with the first plant of 6 KTPA capacity set up in 1961 by Calico Mills. With the introduction of various PVC products in the 1970s, PVC consumption started doubling almost every five years. Between 1985 and 1995, the green revolution resulted in increased use of PVC pipes in the agriculture sector due to their superior performance. The pipes industry has logged a high CAGR of 10-12% in the five financial years, driven by increasing demand for pipes in the construction/building and irrigation industries; nationwide infrastructural development; the government’s focus on urban/rural development; and the Smart City initiative.
Chemplast Sanmar Limited IPO – Company Overview
CSL is a leading specialty chemicals manufacturer in India with a focus on specialty paste PVC resin and custom manufacturing of starting materials and intermediates for the pharmaceutical, agrochemical, and fine chemicals sectors. CSL is the largest manufacturer of specialty paste PVC resin in India, based on installed production capacity as of December 31, 2020. In addition, CSL is also the third largest manufacturer of caustic soda and the largest manufacturer of hydrogen peroxide, each in South India, based on installed production capacity as of December 31, 2020and one of the oldest manufacturers in the chloromethanes market in India. Under the CCVL Acquisition, they acquired 100.0% equity interest in CCVL which is the second largest manufacturer of suspension PVC resin in India and the largest manufacturer in South India, based on installed production capacity
Objectives
- Early redemption of NCDs issued by the company in full.
- Meet general corporate purposes.
Financial Statements
| Particulars | 31-Mar-21 | 31-Mar-20 | 31-Mar-19 |
| Total Assets | 44,860.93 | 41,075.40 | 38,015.63 |
| Total Revenue | 38,151.08 | 12,655.10 | 12,667.74 |
| Profit After Tax | 4,102.44 | 461.25 | 1184.64 |
Chemplast Sanmar Limited IPO Strengths
- The largest manufacturer of specialty pastes PVC resins in India in terms of installed production capacity.
- 3rd largest manufacturer of caustic soda and the largest manufacturer of hydrogen peroxide in South India.
- A part of the SHL Chemicals Group, one of the most prominent corporate groups in South India.
- A vertically integrated business model with a focus on quality manufacturing.
- Highly experienced managerial team.
Chemplast Sanmar Limited IPO Weakness
- It has incurred significant indebtedness and its leaders have imposed certain restrictive conditions on it under the financing arrangements.
- Non-availability of credit ratings or a poor rating may restrict its access to capital.
- Foreign exchange rate fluctuations.
Company Contact Information
Chemplast Sanmar Limited
9, Cathedral Road, Chennai, 600086
Phone: + (91) 44 28128500
Email: grd@sanmargroup.com
Website: http://www.chemplastsanmar.com/
Chemplast Sanmar IPO Registrar
KFin Technologies Limited
Phone: 04067162222, 04079611000
Email: chemplast.ipo@kfintech.com
Website: https://karisma.kfintech.com/
Chemplast Sanmar IPO Lead Manager(s)
- Ambit Private Limited
- Axis Capital Limited
- BOB Capital Markets Limited
