Vipul Organics shares climb 4%: Here's why

Shares of specialty chemicals company, Vipul Organics, were ruling higher, in an otherwise weak market on Thursday, April 3, 2025. The company's shares climbed 3.9 per cent to day's high of ₹141.50 on the BSE during the intra-day deals on Thursday.

 

The uptick in the Vipul Organics share price came following its announcement of the successful closure of its rights issue, which opened on March 21, 2025. The issue was oversubscribed by 80 per cent by the end of the closure date, April 2, 2025.

 

As of April 3, 2025, Vipul Organics’ total market capitalisation stood at ₹251.06 crore, as per BSE. In the last six months, the company’s shares have tanked over 44 per cent and around 7 per cent in the last one year.  

 

The rights issue offered 4.43 million shares of ₹10 face value each at a price of ₹46 per share (including premium of ₹36 per share) amounting to ₹20.41 crore. The issue received applications for 7.98 million shares, amounting to ₹36.7 crore, resulting in subscription of 1.8 times the issue size. 

 

“We are overwhelmed by the shareholder response to our rights issue. Despite the prevailing market conditions, the shareholders' belief in their company and its growth trajectory has led them to oversubscribe the issue by 80 per cent. We remain committed to providing value to all our stakeholders, and the funds raised will be used for our greenfield project, the Sayakha facility, to help it take wings,” said Vipul P Shah, managing director at Vipul Organics.

 

About Vipul Organics

Vipul Organics is a specialty chemicals company in the pigments and dyes segment. The company is one of the foremost manufacturers of pigments, dyestuffs, lake colours, and pigment intermediaries/fast salts in the country. It has three manufacturing facilities across Maharashtra and a global footprint in over 50 countries.

 

In the December 2024 quarter (Q3 FY25), Vipul Organics reported a total revenue of 41.54 crore and a net profit of ₹1.45 crore. In the FY24, the company’s total revenue stood at ₹150.99 crore and net profit was at ₹3.34 crore.