Paradeep Phosphates Limited initiated its business operations in 1981. The company manufactures non-urea fertilisers in India. Paradeep Phosphates Limited is the second largest private sector player of Di-Ammonium Phosphate and no-urea fertilisers. Its two major brands are Navratna and Jai-Kisaan Navratna. Its manufacturing facilities are located in Odisha. Its business is spread across 14 states in India. The company’s network is 468 stock points, 11 regional marketing offices, 67150 retailers and 4761 dealers.
IPO DETAILS
Paradeep Phosphates Limited IPO is set to launch on 17th May, 2022. The subscription timeline extends till 19th May, 2022. The size for the IPO is 1501.73 Crore Rs.. Shares issued through Offer For Sale are worth Rs. 497.73. Shares issued through Fresh Issue are worth Rs. 1004 Crore. The lot size is 350 shares and the price range is 39 Rs. – 42 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 | 17th May, 2022 |
| CLOSING DATE FOR IPO | 19th May, 2022 |
| ISSUE TYPE | Book Built Issue |
| Face Value per share | 10 Rs. per share |
| IPO price band | 39 Rs. – 42 Rs. |
| LOT SIZE | 350 shares |
| MINIMUM ORDER QUANTITY | 350 shares |
| ISSUE SIZE | 1501.73 Crore Rs. |
| OFFER FOR SALE | 497.73 Crore Rs. |
| FRESH ISSUE | 1004 Crore Rs. |
| LISTING AT | NSE, BSE |
| LISTING DATE | 27th May, 2022 |
IMPORTANT DATES
| IPO OPENING DATE | 17th May, 2022 |
| CLOSING DATE FOR IPO | 19th May, 2022 |
| IPO ALLOTMENT DATE | 24th May, 2022 |
| REFUNDS | 25th May, 2022 |
| DEMAT A/C CREDITED ON | 26th May, 2022 |
| IPO LISTING DATE | 27th May, 2022 |
Paradeep Phosphates Limited IPO begins for subscription from 17th May, 2022. The IPO subscription would continue till 19th May, 2022. The allotment status for the shareholders who applied would come on 24th May, 2022. The refunds for the ones who did not get allotment would be initiated on 25th May, 2022. The DEMAT accounts of shareholders would be credited on 26th May 2022. The listing of the company would be accompanied on 27th May, 2022.
Lead Managers And Promoters
The lead managers are :
- Axis Capital Limited
- SBI Capital Markets Limited
- JM Financial Consultants Private Limited
- ICICI Securities Limited
The minimum lot size for the company is decided at 350 shares. This holding accounts to 14700 Rs.. The maximum lot size is decided at 4550 shares. This amounts to 191100 Rs.. Hence the company’s final holdings would be set as :
| Shares | Amount | |
| Minimum | 350 shares | 14700 Rs |
| Maximum | 4550 shares | 191100 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.
- Acquisition of a Goa Facility.
COMPANY FINANCIALS
| Particulars (in Million Rs.) | Dec. 2021 | 2020-21 | 2019-20 |
| ASSETS | 71863 | 44231 | 50135 |
| Revenue | 59737 | 51839 | 42278 |
| PAT | 3628 | 2333 | 1932 |
The company’s financials are in good shape. The assets were found in a depleting manner in 2021 as the same decreased by 6000 Million Rs. However the same increased by a rocketing 28000 Million Rs by December 2021. The revenue of the company has been increasing continuously regardless of the asset decrease. The revenue is increasing by an average of 8000 Million Rs every year. The revenue was 42278 Million Rs in 2020 which increased to 51839 Million Rs in 2021. This increased to almost 60000 Million Rs in 2021 Dec with a quarter’s result to come forth.Thus the financials are pretty good for Paradeep Phosphates currency.
On the other hand the company is profitable as well. The profit was close to 2000 Million Rs in 2020 which increased to 2333 Million Rs in 2021. However with the assets increasing the profits also boosted up in Dec 2021 at 3628 Million Rs. Hence the company is well placed according to the current financial track record.
PROS
- Paradeep Phosphates Limited is the second largest private sector player of Di-Ammonium Phosphate and no-urea fertilisers.
- The company’s network is 468 stock points, 11 regional marketing offices, 67150 retailers and 4761 dealers.
- The company’s two major brands are Navratna and Jai-Kisaan Navratna.
CONS
- Highly Competitive Market Segment.
Paradeep Phosphates 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 Paradeep Phosphates 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.
