Crystal Crop gets Sebi's approval for IPO

Agro-chemical firm Crystal Crop Protection has received capital markets regulator Sebi's approval to raise an estimated Rs 1,000 crore through initial share sale.

With this, the total number of companies getting Sebi's approval for initial public offer (IPO) has reached 37 so far this year.

Crystal Crop had filed draft papers with Sebi in April, seeking its clearance to launch the IPO and the regulator issued its "observations" on July 27, as per the latest update with the markets watchdog.

Securities and Exchange Board of India's observations are necessary for any company to launch public issues like IPO and rights issue.

The company's IPO comprises fresh issue of shares worth up to Rs 545 crore and an offer for sale of up to Rs 455 crore from promoter and existing shareholders, including Everstone Capital, according to the draft prospects.

Proceeds from the issue will be utilised towards repayment of certain working capital facilities availed by the company, funding acquisitions and other strategic initiatives; and other general corporate purposes.

ICICI Securities, Axis Capital, HSBC Securities and Capital Markets (India), Nomura Financial Advisory and Securities (India), and SMC Capitals will manage the company's IPO.

The company is engaged in technical manufacturing, formulation and marketing of agrochemical products.