The Citichem India IPO opens for subscription on December 27, 2024, and closes on December 31, 2024. The allotment is expected to be finalized on January 1, 2025, and the IPO will list on the BSE SME platform on January 3, 2025.
This fixed-price issue is valued at ₹12.60 crores, comprising a fresh issue of 18.00 lakh shares at a price of ₹70 per share. Retail investors can apply with a minimum lot size of 2,000 shares, requiring an investment of ₹1,40,000, while HNIs must invest in at least two lots, totaling ₹2,80,000. The IPO allocation is split equally between retail investors (50%) and HNIs (50%), with no quota for Qualified Institutional Buyers (QIBs).
The company reported a revenue of ₹19.61 crores in 2024, compared to ₹20.94 crores in 2023, with profits growing significantly from ₹0.36 crores in 2023 to ₹1.12 crores in 2024, making it a promising option for long-term investors.
Overview of Contents
Citichem India IPO Overview
| Detail | Information |
|---|---|
| IPO Date | December 27, 2024 to December 31, 2024 |
| Listing Date | January 3, 2025 |
| Face Value | ₹10 per share |
| Issue Price | ₹70 per share |
| Lot Size | 2,000 Shares |
| Minimum Investment (Retail) | ₹1,40,000 |
| Minimum Investment (HNI) | ₹2,80,000 (2 lots) |
| Total Issue Size | 18,00,000 shares (aggregating up to ₹12.60 Cr) |
| Fresh Issue | 18,00,000 shares (aggregating up to ₹12.60 Cr) |
| Issue Type | Fixed Price Issue IPO |
| Listing At | BSE SME |
| Retail Allocation | 50% |
| HNI Allocation | 50% |
| Market Maker Portion | 92,000 shares |
| Pre-Issue Shareholding | 50,00,000 shares |
| Post-Issue Shareholding | 68,00,000 shares |
| Company Revenue (2024) | ₹19.61 crores |
| Company Profit (2024) | ₹1.12 crores |
| Company Revenue (2023) | ₹20.94 crores |
| Company Profit (2023) | ₹0.36 crores |
| Promoter Shareholding (Post-Issue) | Approximately 73.5% |
| DRHP Draft Prospectus | Click here |
| RHP Draft Prospectus | Click here |
Citichem India IPO Dates
| Event | Date | Additional Information |
|---|---|---|
| IPO Open Date | Friday, December 27, 2024 | Investors can start applying from this date. |
| IPO Close Date | Tuesday, December 31, 2024 | Last day to submit IPO applications. |
| Cut-off Time for UPI Mandate | 5 PM on December 31, 2024 | Ensure UPI mandates are confirmed before this deadline. |
| Basis of Allotment | Wednesday, January 1, 2025 | Finalization of allotment to successful applicants. |
| Initiation of Refunds | Thursday, January 2, 2025 | Refunds begin for unsuccessful applications. |
| Credit of Shares to Demat | Thursday, January 2, 2025 | Shares credited to Demat accounts of successful applicants. |
| Listing Date | Friday, January 3, 2025 | Trading starts on BSE SME platform from this date. |
Citichem India IPO Market Lot
| Application Type | Lot Size | Shares | Amount (₹) |
|---|---|---|---|
| Retail Minimum | 1 | 2,000 | ₹1,40,000 |
| Retail Maximum | 1 | 2,000 | ₹1,40,000 |
| S-HNI Minimum | 2 | 4,000 | ₹2,80,000 |
Citichem India IPO Promoter Holding
| Shareholding | Percentage |
|---|---|
| Pre-Issue | 83.25% |
| Post-Issue | 61.21% |
About Citichem India IPO
Established in 1987, Citichem India Limited is one of the largest distributors of industrial chemicals. The company has grown significantly under the leadership of Mr. Arif Merchant and Mr. Hashim Merchant, who bring vast experience and expertise to the business. Their guidance has been instrumental in overcoming challenges and driving the company’s success.
Core Business Focus
Citichem India specializes in the direct supply of specialty chemicals, bulk drugs, and intermediate products. The company operates in a variety of sectors, including industries such as aluminum, steel, textiles, paper, dairy, paints, dyes, soap making, pharmaceuticals, food, and adhesives. Citichem also supplies food preservatives and chemicals under its own brand, ensuring safe and efficient delivery through its dedicated distribution team.
Product Range
The company offers a wide array of products, including:
- Caustic Soda Flakes
- Caustic Soda Lye
- Citric Acid Monohydrate
- Hydrogen Peroxide
And other specialty chemicals for diverse industrial applications.
Business Divisions
- Specialty Chemicals, Intermediates & Active Pharmaceutical Ingredients (API): Citichem specializes in sourcing, indenting, make-to-order outsourcing, and supplying chemicals, bulk drugs, and APIs to clients across the pharmaceutical, paint, and food industries.
- Food Chemicals: The company is involved in the repackaging, retail distribution, and marketing of food chemicals.
- Laboratory Chemicals: Citichem offers a comprehensive range of laboratory chemicals for various research and industrial applications.
Company Overview
As of June 30, 2024, Citichem India employs 9 dedicated professionals. The company’s mission is driven by its commitment to quality and innovation, ensuring a scalable business model that meets the ever-evolving needs of its clients across industries.
Competitive Strengths
- Experienced Promoters and Management Team
- Scalable Business Model
- Focus on Quality and Innovation
- Location Advantage
- Cordial Relationships with Suppliers & Customers
- Dedicated After-Sales Network
Citichem India’s reputation for excellence in the distribution of industrial chemicals and its extensive network make it a leading player in the market, with a promising future in both domestic and international markets.
Citichem India IPO Company Financial Report
Over the past few years, Citichem India Limited has seen a decline in revenue from ₹85.28 crore in 2022 to ₹19.61 crore in 2024. Despite the decrease in revenue, the company has shown growth in profit after tax, increasing from ₹0.24 crore in 2022 to ₹1.12 crore in 2024. The total assets of the company have gradually decreased from ₹91.43 crore in 2022 to ₹69.33 crore in 2024, reflecting some contraction in business operations. The steady improvement in profit after tax despite lower revenue indicates improved cost management and operational efficiency.
| Period Ended | Revenue (₹ Cr) | Expense (₹ Cr) | Profit After Tax (₹ Cr) | Assets (₹ Cr) |
|---|---|---|---|---|
| 2022 | 85.28 | 84.96 | 0.24 | 91.43 |
| 2023 | 20.94 | 20.43 | 0.36 | 79.73 |
| 2024 | 19.61 | 17.96 | 1.12 | 69.33 |
| June 2024 | 1.49 | 1.21 | 0.20 | 68.52 |
Citichem India IPO Valuation – FY2024
| KPI | Values |
|---|---|
| ROE: | 15.42% |
| ROCE: | 21.47% |
| EBITDA Margin: | 9.14% |
| PAT Margin: | 5.70% |
| Debt to equity ratio: | 0.15 |
| Earning Per Share (EPS): | ₹2.24 (Basic) |
| Price/Earning P/E Ratio: | 31.30 |
| Return on Net Worth (RoNW): | 15.42% |
| Net Asset Value (NAV): | ₹14.50 |
Peer Group Comparison
| Company | EPS | PE Ratio | RoNW % | NAV | Income |
|---|---|---|---|---|---|
| Shankar Lal Rampal DyeChem Ltd | 1.02 | 91.33 | 6.59 | 15.40 | 287.73 Cr. |
| Vinyl Chemicals (I) Ltd | 11.91 | 30.31 | 18.71 | 63.66 | 597.01 Cr. |
Objects of the Issue
- For Capital expenditure for acquisition of Property
- For purchasing of Transportation Vehicles and accessories
- For General Corporate Purposes
- For meeting the Issue Expenses.
Citichem India IPO Registrar
KFin Technologies Limited
Phone: 04067162222, 04079611000
Email: [email protected]
Website: https://kosmic.kfintech.com/ipostatus/
IPO Lead Managers aka Merchant Bankers
- Horizon Management Private Limited
Company Address
Citichem India Limited
7, Floor-1, Plot-96,
Dharam Jyoti, Kazi Sayed Street, Khand Bazar,
Masjid Station, Mandvi, Mumbai 400003
Phone: +91- 9223278100
Email: [email protected]
Website: https://www.citichemindia.com/
Citichem India IPO FAQs
What is the Citichem India IPO issue size?
The Citichem India IPO is a fixed price issue of ₹12.60 crores, offering 18,00,000 fresh shares.
When does the Citichem India IPO open and close for subscription?
The Citichem India IPO opens for subscription on December 27, 2024, and closes on December 31, 2024.
What is the price of Citichem India IPO shares?
The price of each share in the Citichem India IPO is ₹70.
What is the minimum lot size for retail investors?
The minimum lot size for retail investors is 2,000 shares, with a minimum investment of ₹1,40,000.
What is the market maker portion for Citichem India IPO?
The market maker portion for the Citichem India IPO is 92,000 shares.
When is the allotment date for Citichem India IPO?
The allotment for the Citichem India IPO is expected to be finalized on January 1, 2025.
When is the Citichem India IPO listing date?
The Citichem India IPO is expected to list on the BSE SME on January 3, 2025.
What is the minimum investment required for HNI investors?
The minimum investment for HNI investors is ₹2,80,000, which equals 2 lots or 4,000 shares.
What is the price band for the Citichem India IPO?
The price band for the Citichem India IPO is fixed at ₹70 per share.
Who are the promoters of Citichem India?
The promoters of Citichem India are Mr. Arif Esmail Merchant, Mr. Hashim Arif Merchant, Mrs. Fozia Arif Esmail Merchant, and Mrs. Saima Hashim Merchant.
What is Citichem India’s business focus?
Citichem India is focused on the direct supply of specialty chemicals, bulk drugs, and intermediate products to various industries like pharmaceuticals, food, textiles, and more.
What are the key competitive strengths of Citichem India?
Citichem India’s key competitive strengths include experienced promoters and management, scalable business model, focus on quality, strong relationships with suppliers and customers, and a dedicated after-sales network.