Aether Limited initiated its business operations in 2013. The company operates to provide specialised chemicals. It is the sole manufacturer of multiple chemicals in India. It operates its business in three models : Contract Research and manufacturing services, Large scale manufacturing of intermediaries and specialised chemicals and contract manufacturing. The company has two manufacturing facilities and both of them are located in Surat, Gujarat. Its product portfolio is expanded to over 25 products. Alongside this the company also dals into export business. It has ongoing business terms with more than 34 companies in 18 countries.
IPO DETAILS
Aether Industries Limited IPO is set to launch on 24th May, 2022. The subscription timeline extends till 26th May, 2022. The size for the IPO is 808.04 Crore Rs.. Shares issued through Offer For Sale are worth Rs. 181.04. Shares issued through Fresh Issue are worth Rs. 627.00 Crore. The lot size is 58 shares and the price range is 610 Rs. – 642 Rs./ share. The company is going to get listed at both the exchanges NSE and BSE. The face value per share is Rs. 10 and this is a book built issue. The registrar for the company is Link Intime India Private Limited.
TABULAR REPRESENTATION OF IPO DETAILS
| IPO OPENING DATE | 24th May, 2022 |
| CLOSING DATE FOR IPO | 26th May, 2022 |
| ISSUE TYPE | Book Built Issue |
| Face Value per share | 10 Rs. per share |
| IPO price band | 610 Rs. – 642 Rs. |
| LOT SIZE | 23 shares |
| MINIMUM ORDER QUANTITY | 23 shares |
| ISSUE SIZE | 808.04 Crore Rs. |
| OFFER FOR SALE | 181.04 Crore Rs. |
| FRESH ISSUE | 627.00 Crore Rs. |
| LISTING AT | NSE, BSE |
| LISTING DATE | 3rd June, 2022 |
IMPORTANT DATES
| IPO OPENING DATE | 24th May, 2022 |
| CLOSING DATE FOR IPO | 26th May, 2022 |
| IPO ALLOTMENT DATE | 31st May, 2022 |
| REFUNDS | 1st June, 2022 |
| DEMAT A/C CREDITED ON | 2nd June, 2022 |
| IPO LISTING DATE | 3rd June, 2022 |
Aether Industries Limited IPO begins for subscription from 24th May, 2022. The IPO subscription would continue till 26th May, 2022. The allotment status for the shareholders who applied would come on 31st May, 2022. The refunds for the ones who did not get allotment would be initiated on 1st June, 2022. The DEMAT accounts of shareholders would be credited on 2nd June, 2022. The listing of the company would be accompanied on 3rd June, 2022.
Lead Managers And Promoters
The lead managers are :
- Kotak Mahindra Capital Company Limited
- HDFC Bank Limited
The minimum lot size for the company is decided at 23 shares. This holding accounts to 14776 Rs.. The maximum lot size is decided at 299 shares. This amounts to 191958 Rs.. Hence the company’s final holdings would be set as :
| Shares | Amount | |
| Minimum | 23 shares | 14776 Rs |
| Maximum | 299 shares | 191958 Rs. |
OBJECTIVES FOR THE IPO
- The money in the IPO would be used for general corporate purposes.
- For meeting the production and inventory expenses. The money will also be used for further business expansion purposes.
COMPANY FINANCIALS
| Particularly (in Million Rs.) | Dec. 2021 | 2020-21 | 2019-20 |
| ASSETS | 7095 | 4529 | 3004 |
| Revenue | 4493 | 4537 | 3037 |
| PAT | 829 | 711 | 400 |
The financial records of the company look decent. It has more than 7000 Million Rs of assets before entering 2022. Aether Industries has been expanding rapidly since the last 1,5 years. This is showcased in how the company increased its asset base by more than 80% in 2021-22. With a quarter to go the assets are already above 7000 Million Rs. The revenues of the firm have been a bit steady and unconvincing. The company needs to generate more revenue from its recently brewed asset base. The revenues in 2021 was 4537 Million Rs and the same at the end of Dec 2021 is 4493 Million Rs.
The company’s profitability has been amazing regardless of its lack of revenue growth. The profits have soared to 829 Million Rs which is more than the previous year’s profit of 711 Million Rs. WIth one quarter to go the profits can be expected to cross 900 Million Rs or even achieve the milestone of 1000 Million Rs.
PROS
- The company has a uniqueness of manufacturing some specialised chemicals domestically.
- Aether Industries deals with more than 34 global companies in 18 countries across the globe.
- The company has 2 manufacturing facilities and both are located in Surat.
- Aether Industries has a product portfolio of more than 25 products and it deals with more than 150 companies domestically.
CONS
- The company has various borrowings that need to be paid off using the IPO money.
Aether Industries Limited IPO APPLICATION PROCESS WITH ZERODHA
It is very easy to apply for an IPO now if you have a DEMAT account with Zerodha. Follow the steps below for the same :
- Logging into Zerodha console through its website or KITE platform.
- Clicking the IPO link present in the Portfolio section.
- Click the Aether Industries Limited IPO button and press the BID button.
- Entering the details asked for like UPI ID, Quantity and price.
- Submit the application form for the IPO.
- Visiting the application of UPI for approving the transaction.
Now, applying for an IPO online is possible with most of the Discount and online brokers.
