Heranba Industries IPO
Heranba Industries IPO — date, price band, lot size & details 2021
Heranba Industries listed on 5 Mar 2021 at ₹900, 43.5% above the ₹627 issue price.
Heranba Industries makes crop protection chemicals in Vapi, Gujarat, and is one of the leading domestic producers of synthetic pyrethroids. Its total income was Rs 967.91 crore in FY2020.
Stock price
Heranba 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 14 November.
- Open 23 Feb 2021
- Close 25 Feb 2021
- Allotment 02 Mar 2021
- Refund/credit 03 Mar 2021
- Listing 05 Mar 2021
Issue summary
The terms of the offer, as filed.
| IPO Dates | 23 to 25 Feb, 2021 |
|---|---|
| Price Band | ₹626 – ₹627 |
| Face Value | ₹10 |
| Lot Size | 23 Shares |
| Issue Size | ₹625.24 Cr |
| Sale Type | Fresh capital cum OFS |
| Listing On | BSE, NSE |
| Registrar | Bigshare Services Private Limited |
| Min Investment | ₹ 14,421 |
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 23 shares at the ₹627 cut-off. Drag to size your application.
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (min) | 1 | 23 | ₹14,421 |
| Retail (max) | 13 | 299 | ₹1,87,473 |
| S-HNI (min) | 14 | 322 | ₹2,01,894 |
| S-HNI (max) | 69 | 1,587 | ₹9,95,049 |
| B-HNI (min) | 70 | 1,610 | ₹10,09,470 |
Strengths & risks
Drawn from the offer document — the case for and against, side by side.
Strengths · 6
- 01Total income rose from Rs 750.41 crore in FY2018 to Rs 967.91 crore in FY2020.
- 02Profit after tax rose from Rs 46.88 crore in FY2018 to Rs 97.75 crore in FY2020.
- 03Profit after tax was Rs 66.31 crore in the six months to 30 September 2020 alone.
- 04Total borrowing fell from Rs 75.99 crore on 31 March 2018 to Rs 38.02 crore on 30 September 2020.
- 05Net worth grew from Rs 157.32 crore on 31 March 2018 to Rs 381.26 crore on 30 September 2020.
- 06The pre-issue P/E was 25.05 at the upper band of Rs 627, based on EPS of Rs 25.03.
Risks · 6
- 01Rs 565.24 crore of the Rs 625.24 crore issue was offer for sale, so most of the money went to selling shareholders.
- 02Total income fell from Rs 1,011.84 crore in FY2019 to Rs 967.91 crore in FY2020.
- 03All 3 manufacturing units are in Vapi, Gujarat, so a local disruption could hit output.
- 04Exports to more than 60 countries add currency and foreign regulatory risk.
- 05Only Rs 60.00 crore of fresh money came to the company, of which Rs 50.00 crore went to working capital.
- 06Promoter holding fell from 98.85% before the issue to 74.15% after it.
Three years of numbers
All figures in ₹ crore, as reported in the Heranba Industries offer document.
| Metric | 30 Sep 2020 | 31 Mar 2020 | 31 Mar 2019 | 31 Mar 2018 |
|---|---|---|---|---|
| Assets | 788.12 | 624.76 | 560.44 | 450.47 |
| Total Income | 619.21 | 967.91 | 1,011.84 | 750.41 |
| Profit After Tax | 66.31 | 97.75 | 75.40 | 46.88 |
| EBITDA | 100.14 | 145.88 | 138.81 | 93.13 |
| NET Worth | 381.26 | 320.85 | 228.18 | 157.32 |
| Reserves and Surplus | 342.20 | 281.79 | 189.12 | 149.51 |
| Total Borrowing | 38.02 | 43.08 | 49.87 | 75.99 |
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 Heranba Industries RHP. EPS and P/E are post-issue — the table below carries the pre-issue comparison.
Heranba Industries IPO Valuation
How the issue prices the company before and after the fresh shares are created.
| Valuation Metric | Pre-Issue | Post-Issue |
|---|---|---|
| EPS (₹) | ₹25.03 | ₹33.14 |
| P/E Ratio (x) | 25.05 | 18.92 |
| Market Cap at Offer Price (₹ Cr) | ₹1,661.06 | ₹1,254.57 |
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 ₹627 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
₹57.48 Cr of the issue is earmarked to named objects.
Heranba Industries IPO Anchor Investors
18 anchor investors across 9 fund houses committed ₹187.50 Cr a day before the issue opened.
Anchor investors bid a day before the issue opens and are locked in after allotment, so a book weighted towards domestic mutual funds is generally read as a stronger signal than one filled by short-horizon funds. Browse every anchor investor scheme or fund house we track.
About the company
It is one of the leading domestic producers of synthetic pyrethroids such as cypermethrin, alphacypermethrin, deltamethrin and lambda cyhalothrin. Its range covers insecticides, herbicides, fungicides and public health products for pest control.
The company has 3 manufacturing units in Vapi with a combined capacity of 14,024 MTPA. In India it had 8600 dealers across 16 states and 1 union territory, and it exports to more than 60 countries.
The IPO was Rs 625.24 crore, with Rs 60.00 crore of fresh issue and Rs 565.24 crore of offer for sale. Rs 50.00 crore of the proceeds was planned for working capital. The promoters are Sadashiv K. Shetty and Raghuram K. Shetty.
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.
Heranba 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.
Emkay Global Financial Services
8 issues handledBest listing: Behari Lal Engineering (+63.2%). Weakest: Innovision (-14.7%).
Batlivala & Karani Securities India Pvt. Ltd
2 issues handled2 of their issues have listed so far, and 2 opened above the issue price (average +9.5%). That is too small a sample to read as a hit rate.
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 Heranba Industries?
The current Grey Market Premium is ₹210, or 33% over the issue price.
What is the Heranba Industries IPO price band?
₹626 to ₹627, on a face value of ₹10.
When is the allotment?
The basis of allotment is 2 March 2021, with listing on 5 March 2021.
How do I check allotment status?
On the IPO Guru allotment page or on the registrar's site — Bigshare Services 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.
