Dishman Pharmaceuticals & Chemicals IPO
Dishman Pharmaceuticals & Chemicals IPO — date, price band, lot size & details 2004
Dishman Pharmaceuticals & Chemicals listed on 22 Apr 2004 at ₹345, 97.1% above the ₹175 issue price.
Dishman Pharmaceuticals and Chemicals is a Gujarat based maker of QUATs, phase transfer catalysts, pharma intermediates and APIs, and also offers contract manufacturing and research. Its total income was Rs 104.39 crore in FY2003.
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 12 November.
- Open 29 Mar 2004
- Close 07 Apr 2004
- Allotment TBA
- Refund/credit TBA
- Listing 22 Apr 2004
Issue summary
The terms of the offer, as filed.
| IPO Dates | 29 Mar to 7 Apr, 2004 |
|---|---|
| Price Band | ₹155 – ₹175 |
| Face Value | ₹10 |
| Lot Size | 50 Shares |
| Issue Size | ₹60.09 Cr |
| Sale Type | Fresh capital only |
| Listing On | BSE, NSE |
| Registrar | MUFG Intime India Private Limited |
| Min Investment | ₹ 8,750 |
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 50 shares at the ₹175 cut-off. Drag to size your application.
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (min) | 1 | 50 | ₹8,750 |
| Retail (max) | 22 | 1,100 | ₹1,92,500 |
| S-HNI (min) | 23 | 1,150 | ₹2,01,250 |
| S-HNI (max) | 114 | 5,700 | ₹9,97,500 |
| B-HNI (min) | 115 | 5,750 | ₹10,06,250 |
Strengths & risks
Drawn from the offer document — the case for and against, side by side.
Strengths · 4
- 01Total income rose from Rs 80.39 crore in FY2001 to Rs 104.39 crore in FY2003.
- 02Profit after tax doubled from Rs 7.10 crore in FY2002 to Rs 14.26 crore in FY2003.
- 03As per the prospectus, no other listed company in India made QUATs, out of its 4 product segments.
- 04Rs 11.75 crore of the issue was for a GMP API plant and Rs 9.50 crore for a research centre.
Risks · 5
- 01Total borrowing was Rs 101.61 crore in FY2003, more than twice its net worth of Rs 46.37 crore.
- 02It planned to reduce its reliance on QUATs, so profit was Rs 5.56 crore in six months to September 2003 while the mix changed.
- 03Research spending was 2.07% of sales in the first half of FY2004, and new products may not succeed.
- 04Exports bring currency risk; return on net worth was 10.70%.
- 05The promoter group held 99.99% before the issue and 74.99% after it, so it controls the company.
Three years of numbers
All figures in ₹ crore, as reported in the Dishman Pharmaceuticals & Chemicals offer document.
| Metric | 30 Sep 2003 | 31 Mar 2003 | 31 Mar 2002 | 31 Mar 2001 |
|---|---|---|---|---|
| Total Income | 57.82 | 104.39 | 87.34 | 80.39 |
| Profit After Tax | 5.56 | 14.26 | 7.10 | 6.46 |
| NET Worth | 51.97 | 46.37 | 33.98 | 30.19 |
| Reserves and Surplus | 43.88 | 38.36 | 26.05 | 19.85 |
| Total Borrowing | 100.56 | 101.61 | 103.50 | - |
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 Dishman Pharmaceuticals & Chemicals RHP. EPS and P/E are post-issue — the table below carries the pre-issue comparison.
Dishman Pharmaceuticals & Chemicals IPO Valuation
How the issue prices the company before and after the fresh shares are created.
| Valuation Metric | Pre-Issue | Post-Issue |
|---|---|---|
| EPS (₹) | ₹13.84 | ₹8.10 |
| P/E Ratio (x) | 12.64 | 21.61 |
| Market Cap at Offer Price (₹ Cr) | ₹70.30 | ₹120.12 |
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 ₹175 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
₹52.50 Cr of the issue is earmarked to named objects.
About the company
It makes QUATs (phase transfer catalysts), specialty chemicals, intermediates and APIs, and offers contract manufacturing and research, from facilities at Bavla and Naroda in Gujarat.
The prospectus said no other listed company in India made QUATs. It had subsidiaries in Europe, including Dishman Europe, set up in 1997.
The IPO was Rs 60.09 crore and was entirely a fresh issue at Rs 175, the top of the Rs 155 to Rs 175 band. The money was for a GMP API plant, an intermediate plant, a research centre and expansion.
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.
Dishman Pharmaceuticals & Chemicals 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.
Axis Capital
255 issues handledBest listing: Latent View Analytics (+160.0%). Weakest: Shriram Properties (-23.7%).
HSBC InvestDirect Securities (India) Ltd
24 issues handledBest listing: Sobha Developers (+75.0%). Weakest: Bannari Amman Spinning Mills (-25.2%).
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 Dishman Pharmaceuticals & Chemicals?
The current Grey Market Premium is ₹0.
What is the Dishman Pharmaceuticals & Chemicals IPO price band?
₹155 to ₹175, on a face value of ₹10.
When is the allotment?
The basis of allotment is TBA, with listing on 22 April 2004.
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.
