Clean Science and Tech IPO: Speciality chem firm Clean Science and Tech planning Rs 1,400 cr IPO


MUMBAI: Pune-based speciality chemical compounds firm Clean Science and Technology Ltd is planning an preliminary public providing (IPO) of Rs 1,300-1,400 crore, in accordance with bankers. The firm, which makes efficiency chemical compounds and merchandise for the pharmaceutical and shopper items industries, joins the listing of specialty chemical compounds entities which have tapped the first market lately.

Axis Capital,

and Kotak Mahindra Capital firm are prone to lead the problem as service provider bankers. The firm is prone to file its draft crimson herring prospectus (DRHP) with the market regulator this week. Clean Science didn’t reply to an e-mail question on its IPO plans.

IPOs of specialty chemical compounds firms have been lapped up by traders within the latest previous. Last yr, the problems of Rossari Biotech and Chemcon Speciality Chemicals have been subscribed 79 and 149 instances respectively. This yr, the IPOs of Laxmi Organics and Anupam Rasayan have been subscribed 107 instances and 44 instances. Barring Anupam Rasayan, all different firms posted robust itemizing day beneficial properties.

Analysts stated the elevated urge for food for IPOs from particular chemical compounds makers has been due to India’s enhancing place within the world market.

Clean Science reported a 73% leap in gross sales from Rs 243 crore in FY18 to Rs 429 crore in FY40 whereas its earnings greater than doubled from Rs 48.9 crore to Rs 139.6 crore. The firm has a revenue margin of over 25% for the final three years.

The firm is targeted on growing eco-friendly and sustainable manufacturing processes and has devised a number of novel and clear processes for its merchandise, by working extensively in growing higher catalyst methods which work on chemical atom economic system to make sure minimal by-products, thus guaranteeing cost-effective and eco-friendly manufacturing.

The firm has a number of manufacturing services in Kurkumbh, MIDC Maharashtra which are automated to keep up excessive ranges of accuracy and effectivity.

Clean Science and Technology is thought for a longtime market place and dominant presence in key specialty chemical merchandise, well-diversified clientele, and utility of the merchandise largely in industries manufacturing necessities which limits the impression of COVID-19 pandemic. Nearly two third of income comes from export

The firm has reported a 63% leap in gross sales from Rs 241 crore to Rs 393 crore in FY19 whereas its earnings have been doubled to Rs 97 crore. The firm has a superior revenue margin of over 24%.

Clean Science Technology’s merchandise are used as key beginning stage supplies, as inhibitors, or as components, by prospects, for merchandise.