Technichem Organics Limited IPO

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Technichem is a prominent chemical manufacturing company specializing in a diverse range of products, including Pyrazoles, Pyrazolones, Specialty Chemicals, Pigment & Dye Intermediates, and Air Oxidation Chemistry. These products serve various industries such as pharmaceuticals, agriculture, coatings, pigments, dyes, and other sectors, highlighting the versatility and adaptability of their offerings.

Diversified Product Portfolio and Strategic Advantage

Their extensive and varied product portfolio ensures that Technichem is not limited to a single sector. This strategic diversification safeguards the company against downturns in specific industries, fostering stability and resilience. With applications spanning multiple sectors, they cater to a broad customer base, enhancing their ability to adapt to evolving market trends and customer requirements.

Global Presence and Export Strength

Technichem operates across 11 countries, establishing a robust global footprint. Their significant export focus on China underscores the strength of their R&D team in developing cost-effective, high-quality chemical solutions. This capability enables them to compete effectively in international markets, delivering value through price competitiveness and product excellence.

Vision and Future Outlook

Technichem aims to leverage its extensive experience, global presence, and strong R&D capabilities to achieve sustained growth. By continually improving processes, expanding the product portfolio, and tapping into emerging markets, they are well-positioned to meet the evolving needs of their customers and maintain their leadership in the chemical manufacturing sector.

Through their unwavering commitment to quality, innovation, and sustainability, Technichem aspires to set new benchmarks in the global chemical industry.

Objects of the Technichem Organics Limited IPO:

The Company intends to utilize the Net Proceeds from the Issue towards funding the following objects: i. Funding of capital expenditure requirements of the Company towards setting up of a new plant named as “Plant 4” ii. Repayment or prepayment, in full or in part, of certain borrowings availed by the Company from banks, financial institutions and non-banking financial companies iii. General corporate purposes.
DRHP of Technichem Organics Limited IPO
RHP of Technichem Organics Limited IPO

Technichem Organics Limited IPO Details:

Open Date: Dec 31 2024
Close Date: Jan 02 2025
Total Shares: 45,90,000
Face Value: ₹ 10 Per Equity Share
Issue Size: 25.25 Cr.
Lot Size: 2000 Shares
Issue Price: ₹ 52 - 55 Per Equity Share
Listing At: BSE SME
Listing Date: Jan 07 2025

Promoters And Management:

Mr. Bharat Jayantilal Pandya, aged 63, is a Promoter, Chairman, and Managing Director of the Company with over 28 years of experience. A Mechanical Engineering graduate from Gujarat University (1982), he leads marketing, management, and strategy, driving growth and expanding the company's reach across India and internationally. His result-oriented leadership ensures sustainable growth and effective policy development. Mr. Pandya Anilkumar Jayantilal, aged 61, is a Promoter and Whole Time Director of the Company with over 28 years of experience. A second-year B.Com graduate from Gujarat University (1984), he oversees factory administration, production, resource management, and logistics. He has been instrumental in achieving ISO certification, developing products and processes, and driving R&D in specialty chemicals. Mr. Piyush Maganlal Nathwani, aged 63, is the Whole Time Director of the Company with over 42 years of experience in the chemical industry. A Post Graduate Diploma holder in Business Management (1983) and a Mechanical Engineering graduate from Gujarat University (1987), he has been with the company since 2020. He oversees production planning, quality assurance, and product improvement, leveraging his extensive experience with leading companies in the chemical and pharmaceutical sectors.

Financials of Technichem Organics Limited IPO:

In Cr.
Particulars June 30, 2024 March 31, 2024 March 31, 2023 March 31, 2022
Revenue from Operations 14.69 46.39 50.35 67.02
EBITDA 2.53 9.52 4.35 5.47
EBITDA Margins 17.27% 20.54% 8.65% 8.17%
PAT 1.40 4.72 1.72 3.42
PAT Margins 9.56% 10.19% 3.43% 5.10%
CFOA 0.68 2.61 3.34 0.86

Comparison With Peers:

 
Companies Revenue EBITDA Margins PAT Margins D/E Ratio MCap P/E
Technichem Organics  (FY 2024) 46.39 Cr. 20.54% 10.19% 0.79 95.26 Cr. 20.18
Ami Organics (TTM) 815 Cr.. 18% 11.78% 0.01 9,226 Cr 98.80
Anupam Rasayan India Ltd     (TTM) 1,245 Cr 25% 8.75% 0.48 7,855 Cr. 112
Chemcrux Enterprises (TTM) 75.22 Cr. 15.18% 9.65% 0.39 255 Cr. 35.10

Recommendation on Technichem Organics Limited IPO:

Review and Recommendation of Technichem Organics IPO by team IZ is 3/10.

Lead Manager of Technichem Organics Limited IPO:

  1. SHRENI SHARES PRIVATE LIMITED

Registrar of Technichem Organics Limited IPO:

  1. Bigshare Services Private Limited

Company Address:

Technichem Organics Limited 5th Floor, Malak Complex, Behind Old Gujarat High Court, Navrangpura, Ahmedabad 380009 Phone: 079-27543722 Email: investors@technichemorganics.com Website: http://www.technichemorganics.com/

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