Parijat Industries Aims to Raise Rs 160 Crore Through IPO
Agrochemical company Parijat Industries has filed its Draft Red Herring Prospectus (DRHP) with SEBI for an IPO to raise Rs 160 crore. The IPO includes a fresh issue of shares worth Rs 160 crore and an offer for sale of 20,370,680 shares by existing shareholders. The company plans to use Rs 121.60 crore to repay borrowings and the rest for general corporate purposes. Parijat Industries operates in 20 Indian states, has 90 brands, and serves 65 countries. The company's revenue increased from Rs 1,028.50 crore in FY23 to Rs 1,045.30 crore in FY25, with net profit rising from Rs 42.40 crore to Rs 54.00 crore. SBI Capital Markets and Ambit Private Limited will manage the IPO.
*this image is generated using AI for illustrative purposes only.
New Delhi-based agrochemical company Parijat Industries has taken a significant step towards public listing by filing its Draft Red Herring Prospectus (DRHP) with the Securities and Exchange Board of India (SEBI). The company is looking to raise up to Rs 160.00 crore through an Initial Public Offering (IPO).
IPO Structure
The proposed IPO comprises:
- A fresh issue of shares worth Rs 160.00 crore
- An offer for sale of 20,370,680 shares by existing shareholders
This dual structure allows the company to raise new capital while providing an exit opportunity for current investors.
Fund Utilization
Parijat Industries has outlined clear plans for the proceeds from the fresh issue:
- Rs 121.60 crore will be used to repay existing borrowings
- The remaining amount will be allocated for general corporate purposes
This strategic allocation aims to strengthen the company's balance sheet and provide financial flexibility for future growth initiatives.
Company Overview
Parijat Industries has established a strong presence in the agrochemical sector:
- Operations span across 20 states in India
- Portfolio includes 90 brands
- Serves customers in 65 countries internationally
This extensive reach demonstrates the company's significant market penetration and potential for further expansion.
Financial Performance
The company has shown steady financial growth:
| Fiscal Year | Revenue (Rs Crore) | Net Profit (Rs Crore) |
|---|---|---|
| FY23 | 1,028.50 | 42.40 |
| FY22 | 1,045.30 | 54.00 |
The financial data indicates a positive trend with both revenue and profitability showing improvement.
IPO Management
The book-building process for the IPO will be managed by two reputable financial institutions:
- SBI Capital Markets
- Ambit Private Limited
These lead managers will oversee the IPO process, ensuring compliance with regulatory requirements and managing investor allocations.
The filing of the DRHP marks a crucial step for Parijat Industries in its journey towards becoming a publicly listed company. Investors and market watchers will be keenly observing the progress of this IPO, given the company's established presence in the agrochemical sector and its international operations.
As the IPO process unfolds, more details are expected to emerge regarding the pricing of shares and the exact timeline for the public offering. Potential investors are advised to carefully review the DRHP and any subsequent updates from the company and regulatory authorities before making investment decisions.
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