Mumbai (Maharashtra) [India], Dec 17 (ANI): Laxmi Organics, a leading manufacturer of acetyl intermediates and specialty intermediates, has filed its draft red herring prospectus (DRHP) to raise Rs 800 crore.
The initial public offering (IPO) is a fresh issuance aggregating to Rs 500 crore and an offer for sale of face value of Rs 2 each by promoter selling shareholder Yellow Stone Trust aggregating to Rs 300 crore.
Net proceeds from the issue will be utilised for funding its capital expenditure planned towards setting up a manufacturing facility for fluorospecialty chemicals, working capital requirements, purchase of plant and machinery, prepayment or repayment of all or a portion of certain outstanding, upgrading existing units besides general corporate purposes.
Axis Capital and DAM Capital Advisors are appointed as book running lead managers to the issue.
Laxmi Organic's plans to go-to-market takes steam after the recent success and fund-raising by specialty chemical companies like Rossari Biotech and Chemcon Specialty Chemicals which were subscribed almost 80 times and 149 times respectively.
Laxmi Organics has a diverse product portfolio into varied chemistries in specialty intermediates and has a share of 30 per cent in ethyl acetate market and 55 per cent in diktene derivatives market. (ANI)