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Prasol IPO Sees Strong Grey Market Buzz
8 Sep
Summary
- Prasol Chemicals IPO is open for bidding until September 10th.
- Anchor investors allocated nearly ₹150 crore prior to IPO.
- Brokerages recommend a 'Subscribe for Long Term' rating.
The initial public offering for Prasol Chemicals commenced its bidding process on Tuesday, September 8th, and will conclude on September 10th. Ahead of the IPO, the company secured close to ₹150 crore from anchor investors, who were allocated equity shares at ₹676 each. This pre-IPO investment underscores strong backing from institutional players.
Prasol Chemicals is positioned as a forward-integrated manufacturer specializing in acetone and phosphorus-based specialty chemicals. The company's business benefits from high entry barriers due to lengthy customer approval cycles and complex chemistry, fostering customer loyalty and long-term revenue visibility. Analysts have lauded the company's product depth and R&D-driven innovation.
Brokerage firms have recommended a 'Subscribe for Long Term' rating for the IPO. They highlight impressive projected compound annual growth rates for revenue (18.6%), EBITDA (51.7%), and adjusted PAT (97.8%) from FY24 to FY26. The IPO price band is set between ₹643 and ₹676 per share, with a lot size of 22 shares.
