JG Chemicals’ initial stock performance was underwhelming, starting at ₹209 on NSE, 5.43% below the ₹221 issue price, and ₹211 on BSE, 4.52% less, reflecting a cautious market reception despite robust subscription interest.
JG Chemicals’ IPO saw strong demand, especially from retail and non-institutional investors, with final day subscriptions at 27.78x overall, 17.44x for retail, 46.33x for NIIs, and 32.09x for QIBs, as per BSE data.
JG Chemicals Limited is India’s foremost zinc oxide manufacturer using the dominant French process, boasting a 30% market share. With a legacy spanning four decades, the company offers over 80 grades of zinc oxide and serves diverse industries globally, including tyres, ceramics, rubber, paints, cosmetics, and batteries, with a strong focus on the tyre sector.
JG Chemicals Ltd IPO aims to allocate INR 91.05 crores to subsidiary BDJ Oxides for loan repayment, R&D centre setup, and long-term working capital. Additionally, INR 35 crores will support the company’s own working capital needs.