Nova Agritech is into Agriculture Agri-input Manufacturing and is looking raise funds through Fresh Issue and Offer For Sale
Nova Agritech IPO is a public offering of shares by Suraksha Agri Retails (India) Private Limited, Malathi S, Kiran Kumar Atukuri and Yeluri Family Trust.. The IPO will open on January 22 and will close on January 24. The price band is ₹39 to ₹41 per share and the lot size is 365 shares. The issue size is ₹143.81 crore. The shares are expected to be listed on NSE, BSE on January 30 (^). Some additional information that you may find useful are: Company's business model is a) Direct-to-farm sales through a network of distributors and retailers b) Contract manufacturing for domestic and international agrochemical companies c) Value-added services like soil testing, crop management advice, and weather forecasting: (**) - based on higher price band (^) indicative date
Key Pointers of Nova Agritech IPO:
Promoters of the company are Suraksha Agri Retails (India) Private Limited, Malathi S, Kiran Kumar Atukuri and Yeluri Family Trust. Currently promoters hold 84.27% stake in the company. While post-equity promoters stake will be 59.39%
- Company aims to raise between Rs 142 to 144 crs through this IPO.
- The net proceeds of the issue will be utilized to Investment in the subsidiary, Funding Capital Expenditure, Funding working Capital
- Anchor bidding is expected to commence one day prior to the IPO dates. Tentative anchor bidding date would be 19-Jan-24.
- Price band for the IPO has been fixed at Rs 39 to 41 per share and bid lot are in multiple of 365 shares. The implied market cap post-issue at Rs 366 to 379 crs.
- As per the tentative schedule, allotment date of this IPO is most likely on January 25 and share are expected to be listed on NSE, BSE on January 30.
- Company has direct competition in the Agriculture space with listed peers like Aries Agro, Aimco Pesticides, Basant Agrotech, Best Agrolife, Bhagiradha Chemicals & Industries, Heranba Industries, India Pesticides, Madras Fertilizers and Dharmaj Crop Guard amongst others.
- Keynote Financial Services, Bajaj Capital has been appointed as Merchant Banker to the issue. Bigshare Services Pvt. Ltd. has been appointed as official registrar of the issue.
About Nova Agritech Limited
Nova Agritech LimitedNova Agritech established in 2007, is agri-input manufacturer offering soil health management, crop nutrition and crop protection products focused on tech-based farmer driven solutions and R&D. It manufacture, distribute and market product categories consisting of (a) soil health management products; (b) crop nutrition products; (c) bio stimulant products; (d) bio pesticide products (e) Integrated Pest Management (IPM) products; (f) new technologies; and (g) crop protection products.
Company received a total of 629 product registrations comprising of 7 registrations in the soil health management category, 168 registrations in the crop nutrition category, 4 registrations in bio pesticide category and 450 registrations in the crop protection category.
Company has total dealer network comprising of approximately 10,900 dealers spread across 16 states and 2 in Nepal.
Company's manufacturing facilities are situated at, Singannaguda Village, Mulugu Mandal in Siddipet District ofTelangana and spread over an area of 12.05 acres. Company has a team of 9 employees in its R&D division.
Company's business model is a) Direct-to-farm sales through a network of distributors and retailers b) Contract manufacturing for domestic and international agrochemical companies c) Value-added services like soil testing, crop management advice, and weather forecasting
About Industry
Primary industry in which company operates is Crop nutrition industry primarily consists fertilizers (chemical, organic an d bio-fertilizers) and bio-stimulants. Fertilizer is any material of natural or synthetic origin that is applied to plant tissues or soil to supply plant nutrients. For most modern agricultural practices, fertilization focuses on three main macro nutrients: Nitrogen (N), Phosphorous (P) and Potassium (K). Fertilizers are mainly classified as – i. Chemical fertilizers ii. Organic fertilizers iii. Biofertilizers.
| Source: SEBI, BSE, NSE, DRHP, IPO Status, Industry Data |
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Disclaimer: Above article only publishes details about the IPO for educational purpose and doesn't solicit or invite any interest to invest. Please visit respective sources to verify and know more details about the IPO. We advise investors to take opinion from certified/SEBI registered experts before taking any investment decisions.
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