Neptune Petrochemicals Limited IPO

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Neptune Petrochemicals Limited is engaged in the manufacturing and trading of a wide range of bitumen products, bitumen emulsions, and allied materials, serving primarily the road construction, infrastructure, and industrial sectors across India. The company offers a diverse portfolio that includes:
i. Various grades of bitumen
ii. Modified bitumen such as: Polymer Modified Bitumen (PMB) and Crumb Rubber Modified Bitumen (CRMB)
iii. Bituminous emulsions
iv. Industrial oils and lubricants related to construction applications

These products are essential in infrastructure development, particularly for highway surfacing, pavement maintenance, and industrial waterproofing solutions.

Market Position

Neptune holds a prominent position in India’s bitumen import market, and its reputation is supported by:
i. Consistent leadership in bitumen imports in India (http://www.bitumart.com)
ii. Ranked as the top importer of packed (PKD) bitumen in 2024, according to the Rex Fuels-Bitumen Weekly Report (January 27–31, 2025)

This strong import presence underscores Neptune’s importance in ensuring reliable supply chains for bituminous materials across key infrastructure projects in India.

Conclusion

Neptune Petrochemicals Limited is a fast-evolving player in the Indian bitumen and allied products industry. From its modest beginnings as a sole proprietorship to becoming a public limited entity, Neptune has strategically expanded both its product portfolio and market footprint. With its specialization in modified bitumen and leadership in imports, the company is well-positioned to benefit from India’s ongoing infrastructure boom.

Objects of the Neptune Petrochemicals Limited IPO:

IPO proposes to utilise the Net Proceeds from the Issue towards the following objects: i. Funding capital expenditure requirement towards installation of additional plant and machinery and related infrastructure. ii. Funding the capital expenditure for purchase of office space. iii. Funding Working Capital Requirement. iv. General Corporate Expenses.
DRHP of Neptune Petrochemicals Limited IPO
RHP of Neptune Petrochemicals Limited IPO

Neptune Petrochemicals Limited IPO Details:

Open Date: May 28 2025
Close Date: May 30 2025
Total Shares: 60,00,000
Face Value: ₹ 10 Per Equity Share
Issue Size: 73.20 Cr.
Lot Size: 1000 Shares
Issue Price: ₹ 115 - 122 Per Equity Share
Listing At: NSE Emerge
Listing Date: Jun 04 2025

Promoters And Management:

Mr. Pareshkumar Subodhchandra Shah, aged 45, is the Chairman & Managing Director and Promoter of the Company. Appointed to the Board on October 21, 2021, he was designated as Chairman and Managing Director for a 5-year term starting September 3, 2024. A Commerce graduate with 20 years of experience in the petrochemical industry, he founded Neptune Tradelink in 2004. His visionary leadership and deep industry insight have driven the company’s growth, fostering innovation and long-term resilience. Mr. Sanjaykumar Subodhchandra Shah, aged 51, is the Whole-Time Director and Promoter of the Company, appointed for a five-year term from September 3, 2024. A Mechanical Engineering diploma holder, he has 15+ years of business experience across automobile, trading, and petroleum sectors. Previously associated with Neptune Tafe, Mahavir Trading Company, and National Tar Company, he now focuses entirely on strategic and operational growth at Neptune Petrochemicals. Mrs. Riddhi Pareshkumar Shah, aged 42, is the Non-Executive Director and Promoter of the Company, reappointed for a five-year term from September 3, 2024. A Commerce graduate with 16 years of business experience, she provides key inputs in governance and strategic planning. She founded Riddhi Enterprise in 2008 for petroleum product trading and later launched Flora Enterprise in 2016 for renting commercial and industrial premises.

Financials of Neptune Petrochemicals Limited IPO:

In Cr.
Particulars Dec 31, 2024 March 31, 2024 March 31, 2023  March 31, 2022 
Revenue from Operations 614.32 667.73 707.82 81.16
Growth in Revenue from Operations (%) - -5.66% 772.10%
Gross Profit 44.95 55.80 48.51 2.58
Gross Profit Margins 7.32% 8.36% 6.85% 3.18%
EBITDA 20.73 20.27 12.96 -0.07
EBITDA Margins 3.37% 3.04% 1.83% -0.10%
PAT 19.46 20.81 10.39 0.68
PAT Margins 3.17% 3.12% 1.47% 0.84%
ROCE 55.97% 117.86% 170.40% 265.48%
CFOA -11.42 16.14 -6.88 11.90

Comparison With Peers:

 
Companies Revenue EBITDA Margins PAT Margins D/E Ratio MCap P/E
Neptune Petrochemicals  (FY 2024) 667.73 Cr. 3.04% 3.12% 0.00 276.37 Cr. 13.28*
Agarwal Industrial Corporation (TTM) 2,399 Cr. 8% 4.83% 0.52 1,466 Cr. 12.70
Nexxus Petro Industries (TTM) 238 Cr. 3% 1.26% 0.85 81.80 Cr. 23.50
Forward PE is 10.65 on the basis of FY 25 PAT.

Recommendation on Neptune Petrochemicals Limited IPO:

Review and Recommendation of Neptune Petrochemicals Limited IPO by team IZ is 3/10.

Lead Manager of Neptune Petrochemicals Limited IPO:

  1. Beeline Broking Limited

Registrar of Neptune Petrochemicals Limited IPO:

  1. MUFG Intime India Private Limited

Company Address:

Neptune Petrochemicals Limited Block-B, Office No. 606 Mondeal Heights Nr. Panchratna Party Plot, S. G. Highway, Phone: +91-79 49000599 Email: info@neptunepetrochemicals.com Website: https://neptunepetrochemicals.com/

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