Prasol Chemicals Ltd. experienced a subdued market debut, with its shares slipping nearly 10% below their initial public offering (IPO) price on the day of listing. The specialty chemical manufacturer's stock opened at Rs 611 on the BSE, marking a 9.61% decline from its IPO issue price of Rs 676 per share.
The weak opening saw Prasol Chemicals' market capitalization drop to Rs 3,744 crore. On the National Stock Exchange (NSE), the shares also fell 10% to Rs 610 against the IPO price. While the stock initially saw a slight recovery on the BSE, rising 2.75% to Rs 626 against its listing price of Rs 611, the overall trend remained a dip from the IPO valuation.
IPO Details and Subscription
The IPO for Prasol Chemicals was open for subscription from September 8 to September 10, with a price band set between Rs 643 and Rs 676 per equity share. Investors could bid in lots of 22 shares. The company successfully raised Rs 500 crore through the IPO.
The public issue recorded an overall subscription of 3.30 times, attracting approximately 1.83 lakh applications. Individual subscription figures were:
- Qualified Institutional Bidders (QIBs): 7.22 times
- Non-Institutional Investors (NIIs): 1.80 times
- Retail Investors: 1.70 times
DAM Capital Advisors served as the sole book-running lead manager for the issue, with Kfin Technologies acting as the official registrar.
About Prasol Chemicals
Prasol Chemicals is a prominent player in the specialty chemicals sector, known for manufacturing a diverse range of over 150 specialty chemicals. Their extensive product portfolio includes acetone-based chemicals, phosphorous-based chemicals, and various other complex specialty chemicals such as surfactants, esters, and acids. The company currently produces 21 acetone-based chemicals, 53 phosphorous-based chemicals, and 76 other specialty chemicals.