As companies across sectors want to tap the current stock market momentum, another Mumbai-based specialty chemicals company, Laxmi Organics has filed the draft red herring prospectus (DRHP) with the SEBI on Wednesday for floating its public issue or IPO.
The company's public issue comprises of a fresh issue of Rs. 500 crore and an OFS by promoter Yellow Stone Trust of Rs. 300 crore.
The company in the year 1992 began its operations as a manufacturer of acetaldehyde and acetic acid and later has emerged as the largest ethyl acetate manufacturing company in India.
Laxmi Orgnaics will use the proceeds to set up a manufacturing unit for fluorospecialty chemicals, working capital requirements, purchase of plant and machinery, repayment of certain outstanding, upgrading existing units, and general corporate purposes, it said.
Axis Capital and DAM Capital Advisors have been appointed as the managers to the issue.