Archean Chemical Industries IPO
Archean Chemical Industries IPO — date, price band, lot size & details 2022
Archean Chemical Industries listed on 21 Nov 2022 at ₹450, 10.6% above the ₹407 issue price.
Archean Chemical Industries is a speciality marine chemicals maker and India's largest exporter of bromine and industrial salt. Its revenue from operations was Rs 1,130.44 crore in FY2022.
Stock price
Archean Chemical Industries is listed — here is the live share price.
Researched & reviewed by
Abhishek Vohera,
Founder, IPO Guru
Last updated
Figures sourced from the RHP, BSE & NSE
Timetable
Key dates from opening to listing. Today is 11 November.
- Open 09 Nov 2022
- Close 11 Nov 2022
- Allotment 16 Nov 2022
- Refund/credit 17 Nov 2022
- Listing 21 Nov 2022
Issue summary
The terms of the offer, as filed.
| IPO Dates | 9 to 11 Nov, 2022 |
|---|---|
| Price Band | ₹386 – ₹407 |
| Face Value | ₹2 |
| Lot Size | 36 Shares |
| Issue Size | ₹1462.3 Cr |
| Sale Type | Fresh capital cum OFS |
| Listing On | BSE, NSE |
| Registrar | MUFG Intime India Private Limited |
| Min Investment | ₹ 14,652 |
Share of the offer set aside for each investor category, as stated in the offer document.
What will it cost me?
Bidding is in multiples of 36 shares at the ₹407 cut-off. Drag to size your application.
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (min) | 1 | 36 | ₹14,652 |
| Retail (max) | 13 | 468 | ₹1,90,476 |
| S-HNI (min) | 14 | 504 | ₹2,05,128 |
| S-HNI (max) | 68 | 2,448 | ₹9,96,336 |
| B-HNI (min) | 69 | 2,484 | ₹10,10,988 |
Strengths & risks
Drawn from the offer document — the case for and against, side by side.
Strengths · 5
- 01Revenue from operations rose from Rs 608.17 crore in FY2020 to Rs 1,130.44 crore in FY2022, as per the RHP.
- 02The company turned from a loss of Rs 36.22 crore in FY2020 to a profit of Rs 188.58 crore in FY2022.
- 03The source puts the EBITDA margin at 42.42%.
- 04All Rs 805.00 crore of fresh capital was planned for redeeming NCDs, which cuts debt.
- 05The pre-issue P/E was 22.29 at the upper band of Rs 407, based on EPS of Rs 18.26.
Risks · 5
- 01Total borrowing was Rs 915.58 crore on 30 June 2022, far above net worth of Rs 345.44 crore.
- 02Net worth was only Rs 5.99 crore on 31 March 2020, after losses.
- 03Bromine and salt prices are global and cyclical, and most sales go to 18 overseas customers in 13 countries.
- 04Rs 657.31 crore of the Rs 1,462.30 crore issue was offer for sale by investors and a promoter.
- 05Promoters held 65.58% before the issue, as per the RHP.
Three years of numbers
All figures in ₹ crore, as reported in the Archean Chemical Industries offer document.
| Metric | 30 Jun 2022 | 31 Mar 2022 | 31 Mar 2021 | 31 Mar 2020 |
|---|---|---|---|---|
| Revenue from Operations | 400.27 | 1,130.44 | 740.76 | 608.17 |
| Profit After Tax | 84.41 | 188.58 | 66.61 | -36.22 |
| NET Worth | 345.44 | 261.07 | 72.38 | 5.99 |
| Total Borrowing | 915.58 | 921.87 | 978.82 | 929.26 |
See how this IPO compares — view listing performance of all mainboard IPOs.
Valuation & key ratios
Ratios are for the latest full financial year reported in the Archean Chemical Industries RHP. EPS and P/E are post-issue — the table below carries the pre-issue comparison.
Archean Chemical Industries IPO Valuation
How the issue prices the company before and after the fresh shares are created.
| Valuation Metric | Pre-Issue | Post-Issue |
|---|---|---|
| EPS (₹) | ₹18.26 | ₹27.44 |
| P/E Ratio (x) | 22.29 | 14.83 |
| Market Cap at Offer Price (₹ Cr) | ₹1,881.43 | ₹1,252.00 |
Pre-issue figures use the shareholding reported in the RHP; post-issue figures use the shareholding once the fresh issue has created new shares. The two differ because of that dilution and because post-issue earnings per share are often annualised, so the change can run in either direction. Market capitalisation is calculated at the ₹407 offer price. Compare the post-issue P/E against listed peers before deciding — a premium there is growth you are paying for in advance.
Where the money goes
₹840.03 Cr of the issue is earmarked to named objects.
About the company
It was India's largest exporter of bromine and industrial salt in Fiscal 2021, exporting 2.7 million MT of industrial salt that year. It is the only maker of sulphate of potash in India.
It sells on a business-to-business basis to 18 global customers in 13 countries and 24 domestic customers.
The IPO was Rs 1,462.30 crore, with Rs 805.00 crore of fresh issue and Rs 657.31 crore of offer for sale. All of the Rs 805.00 crore was planned for redeeming NCDs.
Interested in this IPO? Check the live subscription status or browse all upcoming mainboard IPOs.
The bankers & the filings
Who is running the book, and the documents this page is built from.
Archean Chemical Industries IPO Documents
Read the filings this page is built from.
Lead Manager Track Record
How the book-running lead managers on this issue have priced their past IPOs, measured on listing day.
JM Financial Ltd.
125 issues handledBest listing: Tata Technologies (+140.0%). Weakest: ACME Solar Holdings (-13.1%).
ICICI Securities
133 issues handledBest listing: Latent View Analytics (+160.0%). Weakest: Shriram Properties (-23.7%).
IIFL Capital Services Limited
116 issues handledBest listing: Unicommerce eSolutions (+117.6%). Weakest: Rategain Travel Technologies (-15.3%).
Listing gain compares the listing-day opening price with the issue price, using the IPOs on IPO Guru that this lead manager has taken to market. A strong record reflects how the banker has priced past issues — it is not a forecast for this one. See every issue they have handled on the lead managers page.
Company contact
Frequently asked
What is the GMP of Archean Chemical Industries?
The current Grey Market Premium is ₹90, or 22% over the issue price.
What is the Archean Chemical Industries IPO price band?
₹386 to ₹407, on a face value of ₹2.
When is the allotment?
The basis of allotment is 16 November 2022, with listing on 21 November 2022.
How do I check allotment status?
On the IPO Guru allotment page or on the registrar's site — MUFG Intime India Private Limited.
Every number here traces back to a filing.
IPO Guru tracks GMP, subscription and allotment for every Mainboard and SME issue. Every number on this page is sourced from the RHP, BSE & NSE.
Not investment advice. Grey market premium is an unofficial, unregulated indicator and is not a forecast.
