Prasol Chemicals Fixes IPO Price Band At ₹643-676; ₹500-Cr Issue To Open On Sep 8

Specialty chemicals manufacturer Prasol Chemicals Ltd is gearing up to launch its ₹500-crore Initial Public Offering (IPO) on September 8.

The price band has been fixed at ₹643-676 per equity share for the public offering, the company said in a public announcement on Thursday.

The IPO will close on September 10, while bidding for anchor investors will take place on September 7.

The ₹500-crore IPO comprises a fresh issue of equity shares worth up to ₹80 crore and an Offer For Sale (OFS) of shares worth up to ₹420 crore by selling shareholders.

Proceeds from the fresh issue will be used for payment of debt, working capital requirements and general corporate purposes.

At the upper end of the price band, Prasol Chemicals is valued at around ₹6,001 crore.

Prasol Chemicals, originally incorporated as Prachi Poly Products Private Ltd in 1992, changed its name to Prasol Chemicals in 2007 and subsequently became a public company again in 2022.

The company is a forward-integrated manufacturer of acetone and phosphorus-based specialty chemicals, along with other specialty chemicals involving complex and differentiated chemistries.

Several acetone and phosphorus derivatives in its portfolio are used in pharmaceuticals, synthesis of agrochemical active ingredients and formulations, besides its application as a critical raw material in home and personal care products such as sunscreens, shampoos, flavors, fragrances and disinfectants.

JM Financial and DAM Capital Advisors are the book-running lead managers to the issue.