Tatva Chintan IPO subscribed 15 times on second day of subscription

The initial public offer of specialty chemical manufacturing company Tatva Chintan Pharma Chem was subscribed 15.05 times on the second day of subscription on Monday.

The IPO has received bids for 4,90,84,165 shares against 32,61,882 shares on offer, as per data available with the NSE.

The qualified Institutional Buyers(QIBs) category was subscribed 1.97 times, noninstitutional investors 12.21 times, and retail individual investors(RIIs) 23.74 times.

The initial public offer aggregating up to Rs 500 crore comprises a fresh issue of up to Rs 225 crore and an offer for sale of up to Rs 275 crore.

The price range for the offer has been fixed at Rs 1,073-1,083 per share.

The initial public offer of Tatva Chintan Pharma Chem was fully subscribed within hours of opening on Friday.

Tatva Chintan Pharma Chem on Thursday garnered Rs 150 crore from anchor investors.

The Vadodara-based firm is a specialty chemical manufacturing company. The company export most of its products to over 25 countries, including the US, China, Germany, Japan, South Africa, and the UK.

Proceeds from the fresh issue would be used towards funding capital expenditure requirements for expansion of the company's Dahej manufacturing facility; up-gradation of a research and development facility in Vadodara, and general corporate purposes. ICICI Securities and JM Financial are the books running lead managers to the offer.

Shares of the company will be listed on NSE and BSE.

For the fiscal ended March 31, 2021, the company posted a profit of Rs 52.26 crore as compared to Rs 37.78 crore in the preceding financial year. It reported a revenue of Rs 300.35 crore against Rs 263.23 crore.