Tarsons Products 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
₹662
Per ShareLot Size
22 Shares
Minimum Investment
₹14,564
Issue Size
₹988.2 Cr
Face Value
₹2
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
Tarsons Products Ltd
Business model, operations, and market positioning.
Promoter Holding (Pre-Issue)
50.75%
Promoter Holding (Post-Issue)
51%
Issue Type
Book Building
ISIN
INE144Z01023
About the Company
Tarsons Products Limited is an Indian labware company engaged in designing, development, manufacturing and marketing of `consumables', `reusables' and `others' including benchtop equipment, used in various laboratories across research organizations, academia institutes, pharmaceutical companies CROs, diagnostic companies and hospitals. (Source: Frost and Sullivan Report). It is also engaged in the manufacturing of a range of quality labware products which helps scientific discovery and improve healthcare. It currently operates through our five manufacturing facilities located in West Bengal. It caters to a diverse range of end customers across various sectors which include research organizations, academic institutions, pharmaceutical companies, CROs, academic institutions, diagnostic companies and hospitals. It distributes its products to these end customers on a pan-India basis through authorised distributors. It supplies products to life sciences industry under its brand label "TARSONS WITH THE WORDS -TRUST DELIVEREDTM".
Industry Overview
According to the Frost & Sullivan Report, we cater to the global laboratory equipment (glassware and plasticware) market which is expected to register a growth of 4.90% CAGR from 2020 to 2025 to reach USD 20.5 billion by 2025 from USD 16.2 billion in 2020. With an increasing penetration expected in the coming years, plastic labware is expected to replace glassware products by another 15.00% to reach a market share of approximately 67.00% by Fiscal 2025, given plastic products are superior in terms of shelf life, handling, and safety benefits. As a result, the global plastic laboratory products market which was estimated to be USD 8.4 billion in Fiscal 2020 and is expected to expand at a CAGR of approximately 10.50% to reach approximately USD 13.8 billion by Fiscal 2025. The plastic labware market in India is estimated as Rs. 12,250 million as of Fiscal 2020 in value terms and estimated to expand at a CAGR of 16.00% to reach approximately Rs. 25,755 million by Fiscal 2025. According to the Frost & Sullivan Report, with increased investments by the Government of India in pharmaceuticals and biotech R&D, the research ecosystem in India presents a significant opportunity for labware market in the near future, which in turn will open multiple avenues for export of labware products from India.
Company History
Tarsons Products Limited was incorporated as `Tarsons Products Private Limited' on July 5, 1983, at Kolkata, West Bengal, India as a private limited company under the Companies Act, 1956. The Company was subsequently converted into a public limited company pursuant to a special resolution passed by its Shareholders at the extraordinary general meeting held on May 10, 2021, and the name of the Company was changed to `Tarsons Products Limited'. A fresh certificate of incorporation consequent upon conversion to a public limited company was issued on June 14, 2021
Products & Services
- Plastic laboratory products and certain scientific instruments
Growth Strategy
- Strengthening its foothold in its existing markets and expanding its product portfolio
- Enhancing its manufacturing capacities in existing product categories to leverage industry growth drivers
- Increasing its global footprint in the overseas market
- Continue to focus on maintaining operational efficiency and profitability
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 FY22, FY24 and FY25.
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 offer of 15,465,861 equity shares of face value of Rs. 2 each ("Equity Shares") of Tarsons Products Limited (The "Company" or the "Issuer") for cash at a price of Rs. 662 per equity share (including a share premium of Rs. 660 per equity share) ("Offer Price") aggregating to Rs. 1023.47* crores (The "Offer") comprising a fresh issue of 2,265,861* equity shares aggregating to Rs. 149.634* crores by the company (The "Fresh Issue") and an offer for sale of 13,200,000 equity shares aggregating to Rs. 873.84* crores comprising of 390,000* equity shares by Sanjive Sehgal aggregating to Rs. 25.81* crores, 310,000* equity shares by Rohan Sehgal aggregating to Rs. 20.52* crores (Sanjive Sehgal and Rohan Sehgal aggregating to Rs. 46.34* crores, together "Promoter Selling Shareholders") and 12,500,000* equity shares aggregating to Rs. 827.50# crores by Clear Vision Investment Holdings Pte. Limited (The "Investor Selling Shareholder", together with the promoter selling shareholders, the "Selling Shareholders" and such equity shares, the "Offered Shares") (The "Offer for Sale"). The offer includes a reservation of 60,000* equity shares, aggregating to Rs. 3.60* crores (constituting 0.11% of the post-offer paid-up equity share capital), for subscription by eligible employees (The "Employee Reservation Portion"). The offer less the employee reservation portion is hereinafter referred to as "Net Offer". The offer and net offer shall constitute 29.07% and 28.95% (subject to finalization of basis of allotment), respectively, of the post-offer paid-up equity share capital of the company. The face value of equity shares is Rs. 2 each. The offer price is 331 times the face value of the equity shares. *The company and the selling shareholders in consultation with the brlms, have offered a discount of 9.21% of the offer price (equivalent of Rs. 61 per equity share) to eligible employees bidding in the employee reservation portion. * Subject to finalization of basis of allotment Bids cans be made for a minimum of 22 equity and in multiple of 22 shares thereafter.
*Subject to approvals and market conditions.
Strengths & Risks
Key competitive advantages and factors to consider before investing.
- Supplier to life sciences sector;
- Range of labware products across varied customer segments;
- Operating in an industry which has an addressable market;
- Well-equipped and automated manufacturing facilities;
- Geographic reach through its strong sales and distribution network;
- The company end customers expect its to maintain high quality standards and any failure by its to comply with such quality standards may have an adverse effect on demand from end customers and on its reputation, business, results of operations and financial condition.
- Its Company imports over 75.00% of its raw materials and any delay, interruption, or reduction in the supply of raw materials to manufacture its products may adversely affect the company business, results of operations, cash flows and financial condition.
- The geographical concentration of all its manufacturing facilities, which are in West Bengal, with 86.32% of its total manufacturing revenue contributed by its manufacturing units located at Dhulagarh and Jangalpur as of Fiscal 2021, may adversely affect its business, results of operations and financial condition.
- One of its manufacturing facilities, located in Jalan Industrial Complex at Jangalpur, which contributed 58.00% of the total sale realisation of its Company, in Fiscal 2021 is situated on land for which its Company has received approval for conversion of partial land. The requisite approvals for conversion of remaining land, have been pending since the year 2006, and therefore may be subject to regulatory action and litigation.
- Its business is dependent on its distribution network and its inability to effectively manage its existing distribution network in the domestic market or overseas market or to further expand its distribution network in overseas market may have an adverse effect on its business, results of operations and financial condition.