The Dhanlaxmi Crop Science IPO is set to open for subscription on December 9, 2024, and close on December 11, 2024. The allotment process will be finalized on December 12, 2024, with a tentative listing date of December 16, 2024, on the NSE SME platform. The IPO offers a price band of ₹52 to ₹55 per share, with a minimum lot size of 2,000 shares.
The minimum investment for retail investors is ₹110,000, while HNI investors need to invest in 2 lots (4,000 shares), amounting to ₹220,000. The Dhanlaxmi Crop Science IPO is a book-built issue with a total size of ₹23.80 crores, offering 43.28 lakh shares in a fresh issue.
The IPO allocation is divided into 35% retail, 50% QIB, and 15% HNI quotas. The company reported strong financial growth, with revenue increasing to ₹63.75 crores in 2024, up from ₹46.64 crores in 2023, and a profit of ₹4.65 crores in 2024, compared to ₹3.00 crores in 2023, making it an attractive long-term investment opportunity for IPO investors.
Overview of Contents
About Dhanlaxmi Crop Science Company
Incorporated in 2005, Dhanlaxmi Crop Science is a technology-driven seed company specializing in the development, production, processing, and sale of seeds for various field crops and vegetables. The company combines traditional breeding techniques with advanced biotechnological tools to create hybrid and open-pollinated varieties that offer higher yields, better product quality, and enhanced tolerance to pests and diseases.
Dhanlaxmi Crop Science operates across five states in India and produces seeds for 24 different crops, including cotton, wheat, maize, soyabean, mustard, gram, and many more. Cotton seeds, in particular, have been the key driver of the company’s revenue, contributing a significant portion to their operating profit in recent years. With a focus on quality and consistency, the company also boasts a robust research and development capability, an integrated seed processing unit, and a strong brand presence.
As of December 2, 2024, Dhanlaxmi Crop Science employs 56 people, with its growth continuing to show impressive results, including a 55.35% increase in profit after tax (PAT) and a 36.68% growth in overall business from FY 2023 to FY 2024. The company’s commitment to improving agricultural productivity while ensuring crop resilience makes it a key player in the Indian seed industry.
Dhanlaxmi Crop Science IPO Details
| IPO Details | Information |
|---|---|
| IPO Open Date | December 9, 2024 |
| IPO Close Date | December 11, 2024 |
| Listing Date | December 16, 2024 (Tentative) |
| Face Value | ₹10 per share |
| Price Band | ₹52 to ₹55 per share |
| Lot Size | 2000 shares |
| Total Issue Size | 4,328,000 shares (aggregating up to ₹23.80 Cr) |
| Fresh Issue | 4,328,000 shares (aggregating up to ₹23.80 Cr) |
| Issue Type | Book Built Issue IPO |
| Listing At | NSE SME |
| Pre-Issue Shareholding | 12,000,000 shares (approximately 100%) |
| Post-Issue Shareholding | 16,328,000 shares (after issue) |
| Market Maker Portion | 218,000 shares |
| Retail Quota | 35% of the total issue |
| QIB Quota | 50% of the total issue |
| HNI Quota | 15% of the total issue |
| IPO Issue Size (Amount) | ₹23.80 Cr (Fresh Issue) |
| Minimum Investment (Retail) | ₹110,000 (for 2,000 shares) |
| Minimum Investment (HNI) | ₹220,000 (for 4,000 shares) |
Dhanlaxmi Crop Science IPO Dates
| Event | Date | Additional Information |
|---|---|---|
| IPO Open Date | Monday, December 9, 2024 | The IPO opens for subscription |
| IPO Close Date | Wednesday, December 11, 2024 | Last day to submit IPO applications |
| Cut-off time for UPI mandate confirmation | 5 PM on Wednesday, December 11, 2024 | Final time for UPI mandate confirmation |
| Basis of Allotment | Thursday, December 12, 2024 | Allotment details finalized |
| Initiation of Refunds | Friday, December 13, 2024 | Refunds will be credited to investors' accounts |
| Credit of Shares to Demat Accounts | Friday, December 13, 2024 | Shares will be credited to Demat accounts |
| Listing Date | Monday, December 16, 2024 | Shares will be listed on NSE SME |
Dhanlaxmi Crop Science IPO Lot Size
Investors can apply for the Dhanlaxmi Crop Science IPO by bidding for a minimum of 2000 shares, with the possibility of applying in multiples of 2000 shares thereafter. Below is the breakdown of the minimum and maximum investment amounts for retail investors and High Net-Worth Individuals (HNIs):
| Application | Lots | Shares | Amount |
| Retail (Min) | 1 | 2000 | ₹110,000 |
| Retail (Max) | 1 | 2000 | ₹110,000 |
| HNI (Min) | 2 | 4000 | ₹220,000 |
Retail Investors: The minimum and maximum investment amount is the same for retail investors, set at ₹110,000 for 2000 shares.
HNI Investors: For High Net-Worth Individuals, the minimum application involves bidding for 4,000 shares (2 lots), amounting to ₹220,000.
Dhanlaxmi Crop Science IPO Promoter Holding
The promoters of Dhanlaxmi Crop Science IPO are Mr. Kamleshkumar Jayantilal Patel, Mr. Alpeshbhai Jayantibhai Patel, and Mr. Meet Kamleshkumar Patel. The table below shows the company’s promoter holding before and after the issue:
| Share Holding Pre Issue | 76.70% |
|---|---|
| Share Holding Post Issue | 56.37% |
Dhanlaxmi Crop Science IPO Valuation – FY2024
| KPI | Values | Explanation |
|---|---|---|
| ROE (Return on Equity) | 33.82% | Indicates the company’s ability to generate profits from shareholders' equity. A high ROE is favorable. |
| ROCE (Return on Capital Employed) | 39.07% | Measures the efficiency of the company in using capital to generate profits. A high ROCE is considered good. |
| EBITDA Margin | 10.68% | Represents the company's earnings before interest, tax, depreciation, and amortization as a percentage of revenue. It indicates the profitability of core operations. |
| PAT Margin | 7.30% | Shows the percentage of profit after tax compared to revenue. A higher margin reflects better profitability. |
| Debt to Equity Ratio | 0.06 | Indicates the proportion of debt used to finance the company’s assets. A lower ratio is preferred, signaling less reliance on debt. |
| Earnings Per Share (EPS) | ₹3.88 (Basic) | Reflects the company’s profitability per outstanding share. A higher EPS typically suggests a better financial position. |
| Price/Earnings (P/E) Ratio | N/A | The P/E ratio is not available as the company is in the IPO stage, and it’s typically calculated for listed companies. |
| Return on Net Worth (RoNW) | 28.87% | Measures the profitability in relation to shareholders' equity. A high RoNW indicates strong financial returns for investors. |
| Net Asset Value (NAV) | ₹17.91 | The value of the company’s assets minus liabilities per share. It provides an indication of the company’s intrinsic value. |
Dhanlaxmi Crop Science Ltd Financial Information
Dhanlaxmi Crop Science Ltd has demonstrated impressive growth in recent years. Between the financial years ending on March 31, 2023, and March 31, 2024, the company reported a 37% increase in revenue and a 55% rise in profit after tax (PAT). The company’s strong performance is reflected in its rising assets, revenue, and net worth. Below is the detailed financial summary of Dhanlaxmi Crop Science Ltd for the recent periods:
| Period Ended | 30 Sep 2024 | 31 Mar 2024 | 31 Mar 2023 | 31 Mar 2022 |
|---|---|---|---|---|
| Assets (₹ in lakhs) | 5,137.91 | 3,496.15 | 2,002.73 | 2,086.33 |
| Revenue (₹ in lakhs) | 11,996.26 | 6,375.08 | 4,664.17 | 3,543.08 |
| Profit After Tax (PAT) (₹ in lakhs) | 820.81 | 465.36 | 299.55 | 58.28 |
| Net Worth (₹ in lakhs) | 2,432.3 | 1,612.07 | 1,139.63 | 617.26 |
| Reserves and Surplus (₹ in lakhs) | 1,232.3 | 712.07 | 739.63 | 439.76 |
| Total Borrowing (₹ in lakhs) | 768.61 | 104.24 | 258.32 | 913.16 |
Key Takeaways:
- Revenue Growth: The company’s revenue grew substantially from ₹3,543.08 lakhs in FY 2022 to ₹6,375.08 lakhs in FY 2024, reflecting a strong growth trajectory.
- PAT Increase: The profit after tax (PAT) saw a notable increase from ₹58.28 lakhs in FY 2022 to ₹465.36 lakhs in FY 2024, demonstrating improved profitability.
- Net Worth: The company’s net worth has more than doubled over the past two years, from ₹617.26 lakhs in FY 2022 to ₹1,612.07 lakhs in FY 2024.
- Reserves and Surplus: The company has consistently increased its reserves, providing a cushion for future expansion.
- Debt Management: Total borrowing has significantly reduced from ₹913.16 lakhs in FY 2022 to ₹104.24 lakhs in FY 2024, indicating effective debt management.
Objects of the Issue for Dhanlaxmi Crop Science IPO
| Objective | Details |
|---|---|
| To meet Working Capital Requirements | Funds raised will be used to fulfill the working capital needs of the company, ensuring smooth business operations. |
| To meet the Issue Expenses | A portion of the proceeds will be allocated to cover the expenses associated with the IPO process. |
| General Corporate Purposes | The remaining funds will be utilized for general corporate purposes, supporting overall business growth and expansion. |
Dhanlaxmi Crop Science IPO Registrar
- Bigshare Services Pvt Ltd
- Phone: +91-22-6263 8200
- Email: ipo@bigshareonline.com
- Website: https://ipo.bigshareonline.com/ipo_status.html
Company Address
- Dhanlaxmi Crop Science Ltd
- Survey No. 24, Opp. Arts and Commence College,
- Shamlaji High Way, N.H. No.8,
- Motipura, Sabar Kantha, Himatnagar, – 383001
- Phone: +91 27 7224 4033
- Email: cs@dhanlaxmiseeds.com
- Website: https://dhanlaxmiseeds.com/
Dhanlaxmi Crop Science IPO – Frequently Asked Questions (FAQs)
What is Dhanlaxmi Crop Science IPO?
It’s the IPO of Dhanlaxmi Crop Science Ltd., a seed company offering shares to raise funds for working capital and other purposes.
When does the Dhanlaxmi Crop Science IPO open and close?
The IPO opens on December 9, 2024, and closes on December 11, 2024.
What is the price band for the IPO?
The price band is ₹52 to ₹55 per share.
What is the lot size for the IPO?
The lot size is 2000 shares.
What is the minimum investment for retail investors?
The minimum investment is ₹110,000 for 1 lot of 2000 shares.
What is the total issue size of the IPO?
The total issue size is ₹23.80 crores (4,328,000 shares).
When will the allotment be finalized?
The allotment will be finalized on December 12, 2024.
When is the listing date for the IPO?
The listing date is December 16, 2024.
What are the objectives of the IPO?
To meet working capital requirements, issue expenses, and general corporate purposes.
Who are the promoters of the company?
The promoters are Kamleshkumar Jayantilal Patel, Alpeshbhai Jayantibhai Patel, and Meet Kamleshkumar Patel.
What is the promoter’s holding pre and post-issue?
Pre-issue: 76.70%, Post-issue: 56.37%.
What are the key financials?
Revenue FY 2024: ₹63.75 crores, PAT FY 2024: ₹4.65 crores.
How can I apply for the IPO?
Apply through stockbrokers or UPI via ASBA.
What is the minimum and maximum investment for HNIs?
Minimum: 2 lots (4000 shares), ₹220,000.