Accent Microcell Limited IPO

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  1. Global Leadership in MCC Manufacturing:
    • The company is positioned as one of the global leaders in the production of Microcrystalline Cellulose (MCC), as stated in a Research Report on the Global MCC Industry.
  2. Manufacturing Facilities:
    • The company operates two state-of-the-art manufacturing facilities, located at Pirana Road, Ahmedabad, and Dahej, SEZ (Bharuch).
    • These facilities are equipped with modern technology and adhere to international quality standards.
  3. Global Sales Presence:
    • The company has established a strong global sales model, serving customers not only in India but also in more than 45 countries worldwide.
    • Key markets include the USA, Canada, Germany, UK, Japan, China, Australia, Korea, Netherlands, Turkey, Vietnam, Italy, Indonesia, Poland, Egypt, France, Thailand, New Zealand, Brazil, Russia, Mexico, Chile, Zimbabwe, Denmark, Greece, among others.
  4. Product Portfolio:
    • The primary product manufactured is Microcrystalline Cellulose (MCC), which is described as an odorless, fine white powder derived from highly purified wood pulp.
    • MCC is used in various industries, including Pharmaceutical, Nutraceutical, Food, Cosmetic, and others.
    • The company manufactures 22 grades of MCC, with particle sizes ranging from 20 microns to 180 microns.
    • Major grades of MCC are branded under the name “accel,” with additional products sold under the names “acrocell,” “maccel,” and “Vincel.”
  5. Drying Techniques and Brands:
    • The company employs different drying techniques for manufacturing MCC, resulting in products branded as “accel” (spray dried) and “Vincel” (spin flash dried).
    • Different product categories are distinguished as accel, acrocell, maccel, and RC.
  6. Co-Processed Excipients:
    • The company also manufactures co-processed excipients, including “accel SMCC” (a blend of MCC and Colloidal Silicon Dioxide) and “RC” (a blend of MCC with Carboxy Methyl Cellulose) to meet specific market demands.
  7. Quality Focus and Certifications:
    • The company places a strong emphasis on quality control throughout the manufacturing cycle.
    • Manufacturing facilities are equipped with a quality control and assurance division that conducts necessary tests on raw materials and finished goods.
    • The company holds certifications and approvals such as EXCiPACT, US-DMF, GMP, ISO 9001:2008, HACCP, KOSHER, HALAL, USP/NF, EP, BP, JP, IP, FCC, FSSC-22000, FSSAI, indicating a commitment to delivering top-notch quality.
  8. Production Units:
    • The company’s production units are characterized by advanced technology, quality control measures, and compliance with various international standards.

Objects of the Accent Microcell Limited IPO:

The Company intends to utilize the Net Fresh Issue Proceeds for the following Objects: 1) To Set up a plant at Navagam Kheda for manufacturing Croscarmellose Sodium ("CCS"), Sodium Starch Glycolate and Carboxymethylcellulose (CMC); and 2) General Corporate Expenses.

Accent Microcell Limited IPO Details:

Open Date: Dec 08 2023
Close Date: Dec 12 2023
Total Shares: 5,600,000
Face Value: ₹ 10 Per Equity Share
Issue Type: Book Built Issue IPO
Issue Size: 78.40 Cr.
Lot Size: 1000 Shares
Issue Price: ₹ 133 - 140 Per Equity Share
Listing At: NSE Emerge
Listing Date: Dec 15 2023

Promoters And Management:

Mr. Vasant Vadilal Patel, aged 46 years, is the Executive Chairman of the Company. He possesses a secondary school certificate (Matriculation). Mr. Vasant is having an extensive experience of more than two decades in this dyes, intermediate and pharmaceuticals and nutraceutical industry. He has been one of the key persons behind the setting up of plant and also the founder promoter of the Company. He has varied experience related to product development and marketing. He is presently in charge of all offshore marketing, product development policy matters. Mr. Ghanshyam ArjanBhai Patel, aged 45 years, is the Managing Director and CFO at Accent Microcell Limited. He possesses a secondary school certificate (Matriculation). He is having long standing and rich experience of more than two decades in various fields like Agro products, marketing, rice processing and finally to venture into this Company as a founder promoter. He looks after the overall strategic plan and supervising the operations of the company in administration, Finance, HRD, banking, collections etc. He has been instrumental in nourishing the finance requirement of the company as and when required to meet to long term and short-term requirement of the company for the company’s business development. Mr. Nitin JasvantBhai Patel, aged 41 years, is the Whole Time Director on the board of Accent Microcell Limited. He is Under Graduate pursued degree of Bachelor of commerce (2nd Year). Mr. Nitin has over two decades of extensive experience as a technical director, where he has effectively and efficiently overseen the implementation of plant projects, ensuring their successful trial runs and commercial production. He is the founder promoter of the company and Executive Director who looks after plant production, quality criteria & project implementation in timely manner. He looks after all technical matters of the company’s current technology and his technical expertise give competitive edge to company in time line of setting up project. His technical advice is invaluable and of immense help to the company in all technical decisions the board takes. Mr. Nitin Patel's consistent delivery of high-quality and abundant output has earned the company a strong reputation both in the domestic and international markets. He is very passionate in R&D field and he has been leading this department and many products have been developed under his leadership.

Financials of Accent Microcell Limited IPO:

Particulars ( In Crore )
Revenue from Operations 133 166 204 59
Other Income 2 2 3 1
Total Revenue 135 168 207 60
Cost of material consumed 99 120 154 42
Changes in Inventories -9 -7 -10 -2
Employee benefits expenses 7 8 9 3
Other Expenses 25 32 32 8
EBITDA 13 15 22 10
Depreciation & Amortisation 4 4 4 1
Finance Cost 3 3 3 1
EBIT 9 11 18 9
OPM (%) 9.60% 8.83% 10.71% 16.41%
PBT 6 8 15 8
Tax 1 2 2 1
PAT 5 6 13 7
NPM (%) 3.56% 3.52% 6.29% 11.77%
No.of Shares 2.10 2.10 2.10 2.10
EPS 2.28 2.80 6.18 3.35

Comparison With Peers:

Name of the Company Revenue (In Crore) PAT (In Crore) EPS ( in Rs) P/E CMP Mcap (In Crore)
Accent Microcell Limited 204 13 6.18 22.6 140 295
Sigachi Industries Limited 302 44 1.42 37.3 52.4 1,611
* All the data is as per FY23.

Recommendation on Accent Microcell Limited IPO:

Review And Recommendation of Accent Microcell SME IPO by IZ team is 6/10

Global Leadership in MCC Manufacturing

Accent Microcell Limited stands as a global leader in the Microcrystalline Cellulose (MCC) industry, a position underscored by a recent Research Report on the Global MCC Industry. MCC, a fine white powder derived from highly purified wood pulp, finds extensive use in industries such as Pharmaceutical, Nutraceutical, Food, Cosmetic, and more.

Manufacturing Excellence

The company operates two state-of-the-art manufacturing facilities located in Pirana Road, Ahmedabad, and Dahej, SEZ (Bharuch). These facilities not only embrace modern technology but also adhere to international quality standards, ensuring high-quality production.

Global Sales and Product Portfolio

Accent Microcell has a strong global presence, serving customers in over 45 countries, including major markets like the USA, Canada, Germany, UK, Japan, China, and Australia. The company produces 22 grades of MCC, ranging from 20 microns to 180 microns in particle size. Notable MCC grades are branded under names like “accel,” “acrocell,” “maccel,” and “Vincel.”

Innovative Drying Techniques and Brands

The company employs various drying techniques for MCC production. The products are branded as “accel” (spray dried) and “Vincel” (spin flash dried). Additionally, it manufactures co-processed excipients like “accel SMCC” and “RC.”

Commitment to Quality

Accent Microcell places a strong emphasis on quality control. Its manufacturing facilities are equipped with dedicated quality control and assurance divisions. The company holds several certifications, including EXCiPACT, US-DMF, GMP, ISO 9001:2008, and HACCP, reflecting its commitment to top-notch quality.

Future Plans: IPO and Expansion

Accent Microcell Limited is launching an IPO, with details as follows: a) Open Date: Dec 08, 2023 b) Close Date: Dec 12, 2023 c) Issue Size: 78.40 Cr. d) Price Range: ₹ 133 - 140 Per Equity Share e) Listing At: NSE Emerge f) Listing Date: Dec 15, 2023 The proceeds from the IPO are earmarked for setting up a new plant at Navagam Kheda which will be functional un Fy25.

Leadership and Management

The company is led by Mr. Vasant Vadilal Patel (Executive Chairman), Mr. Ghanshyam ArjanBhai Patel (Managing Director and CFO), and Mr. Nitin JasvantBhai Patel (Whole Time Director). Each of these individuals brings over two decades of experience in their respective fields, contributing significantly to the company's growth and innovation.

Financial Performance and Market Comparison

Accent Microcell has shown a consistent increase in its financial performance, with a notable increase in Revenue from Operations and Net Profit Margin (NPM) over the past three years. The company's Earnings Per Share (EPS) and Price-to-Earnings (P/E) ratio also reflect its strong market position. When compared to peers like Sigachi Industries Limited, Accent Microcell shows robust growth and profitability metrics.

Lead Manager of Accent Microcell Limited IPO:

  1. Corporate Strategic Allianz ltd.

Registrar of Accent Microcell Limited IPO:

  1. Kfin Technology Private Limited

Company Address:

Accent Microcell Limited 314, Shangrilla Arcade, Shyamal Cross Roads, Anandnagar Road, Satellite, Ahmedabad, 380015 Phone: +91-7575803351 Email: Website

Discussion on Accent Microcell Limited IPO:


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