Laxmi Organic Industries IPO
Laxmi Organic Industries IPO — date, price band, lot size & details 2021
Laxmi Organic Industries listed on 25 Mar 2021 at ₹155.5, 19.6% above the ₹130 issue price.
Laxmi Organic Industries makes acetyl intermediates and specialty intermediates, and is among India's largest makers of ethyl acetate. Its total income was Rs 1,538.62 crore in FY2020.
Stock price
Laxmi Organic 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 15 Mar 2021
- Close 17 Mar 2021
- Allotment 22 Mar 2021
- Refund/credit 23 Mar 2021
- Listing 25 Mar 2021
Issue summary
The terms of the offer, as filed.
| IPO Dates | 15 to 17 Mar, 2021 |
|---|---|
| Price Band | ₹129 – ₹130 |
| Face Value | ₹2 |
| Lot Size | 115 Shares |
| Issue Size | ₹600 Cr |
| Sale Type | Fresh capital cum OFS |
| Listing On | BSE, NSE |
| Registrar | MUFG Intime India Private Limited |
| Min Investment | ₹ 14,950 |
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 115 shares at the ₹130 cut-off. Drag to size your application.
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (min) | 1 | 115 | ₹14,950 |
| Retail (max) | 13 | 1,495 | ₹1,94,350 |
| S-HNI (min) | 14 | 1,610 | ₹2,09,300 |
| S-HNI (max) | 66 | 7,590 | ₹9,86,700 |
| B-HNI (min) | 67 | 7,705 | ₹10,01,650 |
Strengths & risks
Drawn from the offer document — the case for and against, side by side.
Strengths · 6
- 01It has about 30% of the Indian ethyl acetate market and about 55% of the diketene derivatives market.
- 02Total income rose from Rs 1,396.08 crore in FY2018 to Rs 1,538.62 crore in FY2020.
- 03Total borrowing fell from Rs 215.06 crore on 31 March 2018 to Rs 158.84 crore on 31 March 2020.
- 04Net worth was Rs 471.45 crore on 30 September 2020, against borrowing of Rs 192.18 crore.
- 05Customers include Alembic Pharmaceuticals, Laurus Labs, Granules India and UPL, spread over 30 countries.
- 06Total income was Rs 814.36 crore in the six months to 30 September 2020, over half of the FY2020 figure.
Risks · 6
- 01Profit after tax slipped from Rs 75.70 crore in FY2018 to Rs 70.21 crore in FY2020.
- 02The pre-issue P/E was 44.52 at the upper band of Rs 130, based on EPS of Rs 2.92.
- 03Total income fell from Rs 1,574.32 crore in FY2019 to Rs 1,538.62 crore in FY2020.
- 04Both of its 2 plants are in Mahad, Maharashtra, so a local disruption could hit output.
- 05Rs 300.00 crore of the Rs 600 crore issue was offer for sale, so half of the money went to the selling shareholder.
- 06Promoter holding fell from 89.5% before the issue to 72.92% after it.
Three years of numbers
All figures in ₹ crore, as reported in the Laxmi Organic Industries offer document.
| Metric | 30 Sep 2020 | 31 Mar 2020 | 31 Mar 2019 | 31 Mar 2018 |
|---|---|---|---|---|
| Assets | 1,037.13 | 1,070.63 | 1,014.49 | 894.73 |
| Total Income | 814.36 | 1,538.62 | 1,574.32 | 1,396.08 |
| Profit After Tax | 45.48 | 70.21 | 72.39 | 75.70 |
| EBITDA | 86.34 | 143.71 | 158.62 | 154.41 |
| NET Worth | 471.45 | 425.96 | 448.89 | 378.37 |
| Reserves and Surplus | 427.39 | 381.90 | 399.80 | 369.31 |
| Total Borrowing | 192.18 | 158.84 | 175.33 | 215.06 |
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 Laxmi Organic Industries RHP. EPS and P/E are post-issue — the table below carries the pre-issue comparison.
Laxmi Organic Industries IPO Valuation
How the issue prices the company before and after the fresh shares are created.
| Valuation Metric | Pre-Issue | Post-Issue |
|---|---|---|
| EPS (₹) | ₹2.92 | ₹3.45 |
| P/E Ratio (x) | 44.52 | 37.68 |
| Market Cap at Offer Price (₹ Cr) | ₹2,024.79 | ₹1,713.74 |
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 ₹130 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
₹479.99 Cr of the issue is earmarked to named objects.
About the company
It works in two segments. Acetyl intermediates include ethyl acetate, acetaldehyde and fuel-grade ethanol. Specialty intermediates include ketene and diketene derivatives, a business it entered in Fiscal 2010 by buying Clariant's diketene business.
It has about 30% of the Indian ethyl acetate market and is the only maker of diketene derivatives in India, with about 55% of that market by revenue in Fiscal 2020. Its two plants are in Mahad, Maharashtra, and it has customers in 30 countries.
The IPO was Rs 600 crore, split equally between Rs 300.00 crore of fresh issue and Rs 300.00 crore of offer for sale. Planned uses included a new facility through its subsidiary YFCPL, expansion of the specialty intermediates plant and repaying borrowings.
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.
Laxmi Organic 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.
Axis Capital
126 issues handledBest listing: Latent View Analytics (+160.0%). Weakest: Shriram Properties (-23.7%).
Dam Capital Advisors Ltd
44 issues handledBest listing: Go Colors (+89.9%). Weakest: Metro Brands (-12.6%).
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 Laxmi Organic Industries?
The current Grey Market Premium is ₹60, or 46% over the issue price.
What is the Laxmi Organic Industries IPO price band?
₹129 to ₹130, on a face value of ₹2.
When is the allotment?
The basis of allotment is 22 March 2021, with listing on 25 March 2021.
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.
