Indogulf Cropsciences Limited, a prominent Indian manufacturer of crop protection chemicals, plant nutrients, and biologicals, launched its Initial Public Offering (IPO) to raise ₹200.00 Crores. The issue is a Book Built Issue, comprising a Fresh Issue of ₹160.00 Crores (144.14 lakh shares) and an Offer for Sale (OFS) of ₹40.00 Crores (36.03 lakh shares).

The IPO opened on June 26, 2025, and will close on June 30, 2025, with shares scheduled for listing on both NSE and BSE on July 3, 2025. The IPO allotment date is set for July 1, 2025. Systematix Corporate Services Limited is the Book Running Lead Manager (BRLM), and Bigshare Services Private Limited is the Registrar to the Issue.

About Indogulf Cropsciences Limited

Founded with the mission to transform agricultural sustainability, Indogulf Cropsciences is engaged in manufacturing high-quality agrochemicals, including Spiromesifen (minimum purity 96.5%) and Pyrazosulfuron Ethyl (minimum purity 97%). It was among the first few indigenous manufacturers of these formulations in India, with commercial production beginning in 2018 and 2019 respectively.

The company exports its products to over 34 countries, establishing itself as a key player in the global agri-inputs market. With a robust product pipeline and global expansion plans, Indogulf Cropsciences is well-positioned to leverage both domestic and international growth opportunities.

IPO Details

• Issue Size: ₹200.00 Crores

• Fresh Issue: ₹160.00 Crores

• Offer for Sale: ₹40.00 Crores

• Price Band: ₹105 to ₹111 per equity share

• Market Capitalisation at ₹111/share: ₹701.54 Crores

• Lot Size: 135 shares

• Retail Minimum Investment: ₹14,985

• HNI Minimum Investment: 14 lots (1,890 shares) = ₹2,09,790

The funds raised will be used for the following:

IPO Objectives

1. ₹65.00 Crores to meet working capital requirements

2. ₹34.11 Crores for repayment or pre-payment of borrowings

3. ₹14.00 Crores for capital expenditure to set up an in-house dry flowable (DF) plant in Barwasni, Sonipat, Haryana

4. General Corporate Purposes

Financial Performance

Indogulf has demonstrated strong and steady financial growth over the past few fiscal years.

Revenue from Operations:

• FY2022: ₹4,902.30 Million

• FY2023: ₹5,521.89 Million

• FY2024: ₹5,557.87 Million

• 9 months ended Dec 31, 2024: ₹4,663.06 Million

EBITDA:

• FY2022: ₹502.63 Million

• FY2023: ₹515.73 Million

• FY2024: ₹592.97 Million

• 9 months ended Dec 31, 2024: ₹468.95 Million

Profit After Tax (PAT):

• FY2022: ₹262.68 Million

• FY2023: ₹227.35 Million

• FY2024: ₹284.03 Million

• 9 months ended Dec 31, 2024: ₹217.77 Million

The numbers reflect healthy operating margins, a growing export base, and consistent profitability.

Valuation Metrics

Based on FY24 and the post-issue financials, here are the key valuation indicators:

• Pre-Issue EPS: ₹11.94

• Post-Issue EPS: ₹4.49

• Annualised EPS: ₹4.59

• Pre-Issue P/E Ratio: 9.30x

• Post-Issue P/E Ratio: 24.70x

• Annualised P/E Ratio: 24.16x

• Industry P/E Benchmark: ~39x

• Return on Capital Employed (ROCE): 18.82%

• Return on Equity (ROE): 12.19%

• Return on Net Worth (RoNW): 12.19%

While the post-issue P/E ratio seems on the higher side, it is still moderate compared to the industry average, indicating a fairly priced offering, especially considering its growth outlook and export potential.

Grey Market Premium (GMP)

As of June 27, 2025, the Grey Market Premium (GMP) of Indogulf Cropsciences IPO is ₹11, suggesting a potential listing price of ₹122, translating to a premium of 9.90%. Though GMP is unofficial and not SEBI-regulated, it reflects market sentiment and interest among retail investors.

IPO Subscription Status

By 7:00 PM on June 27, 2025, the IPO was subscribed 0.94 times, with a strong final-day push expected. Retail and HNI participation is likely to accelerate on the last day, a trend typically observed in Indian IPO markets.

Anchor Investor Allocation

On June 25, 2025, the company successfully raised ₹58.19 Crores from anchor investors by allotting 52,43,242 equity shares at ₹111 per share. Participation from institutional anchors adds confidence in the IPO’s credibility and valuation.

Allotment and Listing Dates

• Allotment Date: July 1, 2025 (Tuesday)

• Listing Date: July 3, 2025 (Thursday)

• Registrar: Bigshare Services Pvt Ltd

Steps to Check IPO Allotment Status:

1. Visit Bigshare Services’ IPO allotment page

2. Select Indogulf Cropsciences IPO from dropdown

3. Enter PAN, application number, or DP ID

4. Click Submit to view status

Leadership and Promoter Background

The company is led by Om Prakash Aggarwal (Chairman) and Sanjay Aggarwal (Managing Director), both of whom bring over 30 years of industry experience. Their strategic insight and execution strength have helped Indogulf emerge as a formidable player in agrochemical exports.

Analyst View & Recommendation

Indogulf Cropsciences IPO reflects a moderately priced offering with a focus on exports, diverse product lines, and expansionary capital allocation toward capacity building. Given its strong promoter background, consistent profits, decent return ratios, and listing momentum reflected in GMP, the IPO presents a reasonable opportunity for listing gains.

However, the post-issue P/E ratio at ~24x suggests limited upside for long-term investors unless backed by continued margin and revenue expansion. Short-term investors and those with high risk appetite may consider applying for listing gains, while long-term investors should evaluate post-listing movement and earnings visibility.

Disclaimer:
This article is intended for informational and educational purposes only and does not constitute financial advice. Readers must assess their own risk tolerance, investment horizon, and consult with registered financial professionals before making any investment decision. IPO investments are subject to market risks, and past performance is not indicative of future results. All data presented is derived from public disclosures and market sources as of the publication date.

The Upcoming IPOs in this week and coming weeks are Travel Food Services, Cryogenic, Crizac, Silky Overseas, Vandan Foods, Pushpa Jewellers, Cedaar Textile, Marc Loire Fashions.

The Current active IPO are Neetu Yoshi, Adcounty Media India, Moving Media Entertainment, Valencia India, PRO FX Tech, Ace Alpha Tech, Indogulf Cropsciences.

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