Ambey Laboratories Sets IPO to Raise Rs 44.68 Crore

Agrochemical manufacturer Ambey Laboratories plans to raise Rs 44.68 crore through an IPO starting July 4. The price band for the issue is set at Rs 65-68 per share, with shares to be listed on NSE SME Emerge. The proceeds will be used for working capital and corporate purposes.

Agrochemical manufacturer Ambey Laboratories announced on Monday its intention to raise Rs 44.68 crore via an initial public offering (IPO) that will open for public subscription on July 4.

With a price band set between Rs 65-68 per share, the company disclosed that the public issue will conclude on July 8, 2021. At the higher end of the price range, Ambey Laboratories could raise up to Rs 44.68 crore.

The IPO comprises a fresh issue of 62.58 lakh equity shares valued at Rs 42.55 crore, in addition to an offer for sale of up to 3.12 lakh shares aggregating to Rs 2.12 crore by selling shareholder Sarina Gupta. The funds generated will support the company’s working capital needs, with remaining amounts allocated for various corporate purposes.

Investors have the option to bid for a minimum of 2,000 shares and any multiples beyond that. Founded in 1985, Ambey Laboratories specializes in producing agrochemical products for crop protection at its manufacturing facility located in Rajasthan. The company, promoted by Archit Gupta, Arpit Gupta, Sarina Gupta, and Rishita Gupta, currently holds a promoter equity stake of 94.97%.

Upon closing the fresh issue, the promoter holding will be reduced to 69.08%, according to the company’s statement. Fast Track Finsec is serving as the sole book-running lead manager for the issue, with Link Intime India acting as the registrar.