Anupam Rasayan India Ltd, which makes agrochemicals, polymers and other speciality chemicals, has filed its draft prospectus to float an initial public offering.
The offering comprises a fresh issue of shares worth Rs 760 crore ($103 million at current exchange rates), according to the draft proposal filed with the Securities and Exchange Board of India (SEBI). The company will use the proceeds to repay or make advance payment of its borrowings.
Anupam Rasayan commenced operations as a partnership firm in April 1984 and was incorporated in September 2003. It operates under two verticals – life sciences speciality chemicals related to agrochemicals, personal care and pharmaceuticals; and other specialty chemicals, comprising specialty pigment and dyes, and polymer additives.
The life sciences vertical accounts for a bulk of its revenue. Its key focus is custom synthesis and developing in-house processes to manufacture products involving complex chemistries at optimized cost.
The company counts multinational corporations such as Syngenta Asia Pacific Pte. Ltd, Sumitomo Chemical Company Ltd and UPL Ltd as some of its clients in India, Japan, the US and Europe.
A successful IPO will see Surat-based Anupam Rasayan join directly comparable listed peers such as PI Industries Ltd, Navin Fluorine International Ltd, Astec Lifesciences Ltd and SRF Ltd.
In the broader speciality chemicals segment, it competes with the likes of companies such as Aarti Industries Ltd, Vinati Organics Ltd, Atul Ltd, Galaxy Surfactants Ltd and Fine Organics Industries Ltd.
Mumbai-based Rossari Biotech Ltd, which makes specialty chemicals used as raw material in the fast-moving consumer goods, apparel, poultry and animal feed industries, went public in July this year with its shares listing at a huge premium.
Anupam Rasayan has appointed Axis Capital, Ambit Capital, IIFL Securities and JM Financial as merchant bankers to arrange and manage the share sale.