Acutaas Chemicals Ltd
Complete IPO details, including price band, financials, subscription status, and key insights.
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IPO Snapshot
Key metrics and details at a glance.
Price Band
₹610
Per ShareLot Size
24 Shares
Minimum Investment
₹14,640
Issue Size
₹569.64 Cr
Face Value
₹10
Per ShareIPO Type
Book Building
Retail Quota
35%
QIB Quota
50%
NII Quota
15%
IPO Timeline
Important dates for your applying strategy.
Subscription Status
Live demand across investor categories.
Track real-time subscription levels:
*Real-time data subject to exchange updates
Acutaas Chemicals Ltd
Business model, operations, and market positioning.
Promoter Holding (Pre-Issue)
45.17%
Promoter Holding (Post-Issue)
39.18%
Issue Type
Book Building
ISIN
INE00FF01025
About the Company
AMI Organics Limited is a R&D driven manufacturer of specialty chemicals with varied end usage, focussed towards the development and manufacturing of Pharma Intermediates for regulated and generic APIs and NCE and key starting material for agrochemical and fine chemicals, especially from its recent acquisition of the business of GOL. As per the F&S Report, it is one of the major manufacturers of Pharma Intermediates for certain key APIs, including Dolutegravir, Trazodone, Entacapone, Nintedanib and Rivaroxaban. The Pharma Intermediates which the company manufactures, find application in certain high-growth therapeutic areas including anti-retroviral, antiinflammatory, anti-psychotic, anti-cancer, anti-Parkinson, anti-depressant and anti-coagulant.
Industry Overview
The Indian chemicals market is valued at USD 166 billion (~4% share in the global chemical industry) in 2019. It is expected to reach ~USD 326 billion by 2025, with an anticipated growth of ~12% CAGR. The specialty chemical industry forms ~47% of the domestic chemical market, which is expected to grow at a CAGR of around 11-12% over the same period. The market for Pharmaceutical intermediates in India for the year 2020 was estimated to be around USD 4.8 Bn, growing at a CAGR of 9.8% over 2015-20.
Company History
AMI Organics Limited was initially formed as a partnership firm under the Partnership Act, 1932 as "Ami Organics" with effect from January 3, 2004 at Surat, India. The firm converted into a private limited company under the Companies Act, 1956 under the name of "Ami Organics Private Limited" with a certificate of incorporation dated June 12, 2007, issued by the Registrar of Companies, Gujarat, Dadra and Nagar Haveli. Subsequently, the Company was converted into a public limited company, following which the Company's name was changed to "Ami Organics Limited", and a fresh certificate of incorporation was issued by the Registrar of Companies, Gujarat at Ahmedabad ("RoC") on April 18, 2018.
Products & Services
- Developing & manufacturing of advanced pharma intermediates used for manufacturing API and NCE in India and Overseas
Growth Strategy
- Diversification of product portfolio by strengthening R&D capabilities
- Augmenting scale through organic and inorganic routes in the current geographic markets and expanding into new geographic markets
- Continue to focus on cost efficiency and improving productivity while employing environmentally friendly processes.
- Diversification of its business by focussing on organic and inorganic growth opportunities
Customer Base
Laurus Labs Ltd, Cadila Healthcare Ltd, Cipla Ltd Organike s.r.l.a Socio Unico, Fermion Oy, Fabbrica Italiana Sintetici S.p.A, Chori Co. Ltd, Medichem S.A. and Midas Pharma GmbH
Financial Performance
Revenue, profit after tax and total assets across the last 3 reported financial years.
Revenue
Amount in ₹ crore
Profit After Tax (PAT)
Amount in ₹ crore
Total Assets
Amount in ₹ crore
Figures in ₹ crore, on a consolidated basis, as reported for FY24 to FY26.
Objects of the Issue
How the company plans to utilize IPO proceeds.
Use of Proceeds
The funds raised through this IPO will be used for:
Initial public offering of 9,338,288** equity shares of face value of Rs. 10 each ("equity shares") of AMI Organics Limited (The "Company" or "Issuer") for cash at a price of Rs. 610 per equity share (including a share premium of Rs. 600 per equity share) ("Offer Price") aggregating to Rs. 569.64** crores. The offer comprises of a fresh issue of 3,278,688** equity shares aggregating up to Rs. 200.00* crores ("Fresh Issue") and an offer for sale of 6,059,600 equity shares, constituting 700,000 equity shares by Parul Chetankumar Vaghasia ("Promoter selling shareholder"), 1,500,000 equity shares by Girishkumar Limbabhai Chovatia, 3,050,000 equity shares by Kiranben Girishbhai Chovatia, 174,600 equity shares by Aruna Jayantkumar Pandya(1), 87,300 equity shares by Hina Indreshbhai Shah, 87,280 equity shares by Harshad Ramlal Sheth, 76,200 equity shares by Dhirajlal Amrutlal Amlani, 75,000 equity shares by Vrushti Atulkumar Shah, 63,000 equity shares by Jolitbhai Jasvantlal Shah(2), 55,920 equity shares by Nishit Atulkumar Shah, 49,000 equity shares by Surabhi Yash Shah, 32,000 equity shares by Narmada Amrutlal Amlani, 26,500 equity shares by shanti Devi Kankaria, 19,000 equity shares by Divya Mahendrakumar Kankaria, 15,000 equity shares by Chovatiya Haresh H, 14,910 equity shares by Amitaben Jolitbhai Shah(3), 14,500 equity shares by Saryu Dhirajlal Amlani, 10,000 equity shares by Koladia Mehul M, 8700 equity shares by Jyotiben Rakeshbhai Lahoti(4) and 690 equity shares by Shah Disha Jolit(5) (collectively, "selling shareholders" and such equity shares "offered shares") aggregating to Rs. 369.64** crores ("offer for sale" and together with the fresh issue, the "offer"). The offer constitutes 25.63% of its post-offer paid-up equity share capital. * The company, in consultation with the BRLMS, has undertaken a Pre-IPO placement of Equity Shares Aggregating to Rs. 100 Crores, The ("Pre-ipo placement"). The Size of the fresh issue has been reduced by Rs. 100 Crores pursuant to the Pre-IPO Placement. Accordingly, The Fresh Issue size is up to Rs. 200 Crores. The Offer Price is Rs. 610 per Equity Share of face value of Rs. 10 each. The Offer Price is 61.00 times the face value of the Equity Shares.
*Subject to approvals and market conditions.
Strengths & Risks
Key competitive advantages and factors to consider before investing.
- Strong and diversified product portfolio ably supported by strong R&D and process chemistry skills;
- Extensive geographical presence and diversified customer base with long standing relationships;
- High entry barriers in the chemicals manufacturing industry in which the Company operates;
- Strong sales and marketing capabilities;
- Experienced and Dedicated Management Team;
- The continuing impact of the COVID-19 pandemic on its business and operations is uncertain and it may be significant and continue to have an adverse effect on its business, operations and the future financial performance.
- The company is subject to strict quality requirements, regular inspections and audits, and the success and wide acceptability of its products is largely dependent upon its quality controls and standards. Any manufacturing or quality control problems may subject to regulatory action, damage its reputation and have an adverse effect on its business, results of operations, financial condition and cash flows.
- The company is subject to increasingly stringent environmental, health and safety ("EHS") laws, regulations and standards. Non-compliance with and adverse changes in health, safety, labour, and environmental laws and other similar regulations applicable to its manufacturing operations may adversely affect its business, results of operations and financial condition.
- The company derive a significant portion of its revenue from the sale of products in certain therapeutic areas and any reduction in demand for these products, or if such products become obsolete due to a break through in the development of alternate drugs, could have an adverse effect on its business.
- Its inability to meet the obligations, including financial and other covenants under its debt financing arrangements could adversely affect the business, results of operations and cash flows.