Godavari Biorefineries Opens Low, Shares Debuts at ₹308, Falling 12.5% Below IPO Price - Read More!Godavari Biorefineries Opens Low, Shares Debuts at ₹308, Falling 12.5% Below IPO Price - Read More!

Godavari Biorefineries experienced a disappointing market entry, with its shares opening at ₹308 on the NSE and ₹310.55 on the BSE, falling 12.5% and 11.78% below the IPO price of ₹352 respectively on Wednesday, October 30.

Godavari Biorefineries Limited IPO witnessed a remarkable response by Day 3, with an impressive overall subscription rate of 1.83 times. Leading the demand were Qualified Institutional Buyers, who subscribed at 2.76x, while Retail Individual Investors showed strong interest at 1.71x. This positive momentum highlights the growing investor confidence in the company’s potential.

The company is a leading manufacturer of ethanol-based chemicals in India, with a bio-refinery capacity of 570 KLPD as of June 30, 2024. As of March 31, 2024, it ranks among the largest ethanol producers in the country. Its diverse product range includes bio-based chemicals, sugar, various ethanol grades, and power, serving industries like food, pharmaceuticals, and cosmetics.

Godavari Biorefineries plans to use INR 240 crore from IPO proceeds to repay existing loans. Remaining funds will support general corporate activities such as operational costs, project development, and enhancing marketing and business development strategies.