Neogen Chemicals raises Rs 39.70 cr from anchor investors

Neogen Chemicals on Tuesday raised Rs 39.70 crore from seven anchor investors ahead of its initial public offering (IPO).

The anchor investors include SBI Magnum Comma Fund, AXIS Mutual Fund Trustee AXIS Small Cap Fund, L&T Mutual Fund Trustee L&T Emerging Opportunities Fund, the company said in a statement.

The company has raised Rs 39.70 crore at Rs 215 per share, the upper end of the price band, it said.

The IPO will be open from April 24-26 in a price band of Rs 212-215 per share, it added.

The IPO consists of a fresh issue aggregating up to Rs 70 crore by the company and an offer for sale of up to 16,99,600 shares by Haridas Thakarshi Kanani and up to 12,00,400 shares by Beena Haridas Kanani.

The equity shares of the company are proposed to be listed on BSE and NSE.

The net proceeds from the fresh issue are proposed to be utilised for prepayment or repayment of all or a portion of certain borrowings availed by the company, long term working capital and general corporate purposes.

The book running lead manager to the offer is Inga Advisors Private Limited, while Batlivala & Karani Securities India Private Limited is the co-book running lead manager.

Neogen Chemicals is one of India's leading manufacturers of bromine-based and lithium-based specialty chemicals.