Jaipur-Based Agrochemical Firm Plans NSE & BSE Listing With Fresh Issue IPO of Rs 135 Cr

Advance Agrolife Limited, a company situated in Jaipur, has submitted its Draft Red Herring Prospectus (DRHP) to the Securities and Exchange Board of India (SEBI) in order to seek funds through an initial public offering (IPO). A fresh offering of shares up to 19,285,720 with no offer-for-sale component, the IPO has a face value of Rs 10. The Rs. 135 crores in proceeds from the fresh issuance would be used for general business objectives and working capital requirements.

Not less than 15% and 35% of the net offer are given to non-institutional and retail individual bids, respectively, while no more than 50% of the net offer is given to eligible institutional buyers through the book-building procedure. A subscription reservation made by eligible staff members is also included in the offer, and eligible employees who bid in the employee reservation section will receive a discount.

From Rs 397.81 crore in Fiscal 2023 to Rs 455.90 crore in Fiscal 2024, Advance Agrolife Limited's operating revenue grew by 14.60%, mostly as a result of higher domestic sales. The profit after tax jumped from Rs 14.87 crore in Fiscal 2023 to Rs 24.73 crore in Fiscal 2024, a 66.34% growth. Net sales were Rs. 299.26 crore for the six months ending September 30, 2024, while profit after tax was Rs. 21.44 crore. The issue's registrant is KFin Technologies Limited, and the only book-running lead manager is Choice Capital Advisors Private Limited.

The equity shares of Advance Agrolife are proposed to be listed on the National Stock Exchange of India Limited and BSE Limited, as mentioned on the DRHP.

An agrochemical firm called Advance Agrolife Limited produces a variety of agrochemical products. The company's product line consists of plant growth regulators, fungicides, insecticides, and herbicides. Additionally, it produces various agrochemical products, including biofertilizers and micronutrient fertilizers. Domestically, the products are mostly offered to corporate customers directly on a business-to-business (B2B) basis throughout the nation, especially in the three union territories and 19 states. The products were shipped to seven nations, including the United Arab Emirates, Bangladesh, China (including Hong Kong), Turkey, Egypt, Kenya, and Nepal, in addition to the home market.

IFFCO MC Crop Science Private Limited, Indogulf Cropsciences Limited, Mankind Agritech Private Limited, HPM Chemicals and Fertilizers Limited, ULink AgriTech Private Limited, and DCM Shriram Limited are some of the company's most notable corporate clients. With 89,900 MTPA of installed capacity as of September 30, 2024, the company mainly operates through its three Jaipur-based production sites.

There were 676 contracted staff members and 256 employees on the company's payroll services as of December 31, 2024.