Neogen Chemicals IPO Oversubscribed 41 Times

On its final day of bidding, the Neogen Chemicals IPO (Initial Public Offering) received an overwhelming response from investors.

The Rs 132-crore IPO offer that was open between 24 April and 26 April received bids for 17.82 crore equity shares as against the total issue size of 43.29 lakh shares, as per data available on NSE.

The portion reserved for qualified institutional buyers was subscribed 30.49 times and non-institutional investors 113.88 times. The retail category was oversubscribed by 16.06 times.

The Neogen Chemicals IPO comprises a fresh issue of up to Rs 70 crore and an offer of sale (OFS) of up to 16,99,600 and 12,00,400 equity shares by promoters Haridas Thakarshi Kanani and Beena Haridas Kanani respectively.
The issue price band was fixed at a range of Rs 212-215 a share. The minimum lot size for bids was 65 equity shares and in multiples of 65 equity shares thereafter.

Inga Advisors Private Limited and Batlivala & Karani Securities India Private Limited are the book running lead managers to the offer. Equity shares of the company are proposed to be listed on BSE and NSE.

Neogen Chemicals is a 27-year-old manufacturer of bromine-based, and lithium-based, specialty chemicals. Its client base include pharmaceutical, agrochemical and other specialty chemical companies in India, Europe and Japan.