Ambey Labs IPO Opens Today: Key Details

Synopsis: Ambey Laboratories' SME IPO opens for subscription from July 4 to July 8, 2024, aiming to raise Rs44.68 crore with shares priced at Rs65-68 each. Investors can apply for a minimum of 2,000 shares costing Rs1.36 lakh per lot. The grey market premium (GMP) suggests a potential 50% listing gain. Founded in 1985, Ambey Labs manufactures agrochemical products and reported a net profit of Rs6.08 crore on a revenue of Rs100.44 crore for the nine months ending January 31, 2023. Shares will list on the NSE Emerge platform on July 11, 2024.

The SME IPO of Ambey Laboratories, an agrochemical products manufacturer, opens for bidding today, July 4, 2024, and will remain open until July 8, 2024. The company aims to raise Rs44.68 crore through this offering, with shares priced between Rs65-68 each.

Investment Details

Investors can apply for a minimum of 2,000 equity shares, with each lot costing Rs1.36 lakh. Retail investors are limited to one lot, while non-institutional investors must apply for at least two lots, totaling Rs2.72 lakh. The grey market premium (GMP) for Ambey Labs has risen, indicating a potential 50% listing gain for investors, with the latest GMP at Rs33-35 per share.

Company Overview

Founded in 1985, Ambey Laboratories specializes in agrochemical products for crop protection and is known for its 2,4-D base chemicals. The company has a manufacturing facility in Behror, Rajasthan, certified by the Quality Research Organization and United Accreditation Foundation. It reported a net profit of Rs6.08 crore on a revenue of Rs100.44 crore for the nine months ending January 31, 2023.

IPO Structure

The IPO comprises a fresh issue of 62.58 lakh shares, raising Rs42.55 crore, and an offer for sale of 3.12 lakh shares by existing shareholders and promoters, totaling Rs2.12 crore. The company has reserved 3.30 lakh shares for market makers and allocated 50% of the net offer to qualified institutional buyers, 15% to non-institutional investors, and 35% to retail investors.

Anchor Investors and Listing

Ambey Labs raised Rs12.73 crore from anchor investors, including Vikasa India EIF-1 Fund and Saint Capital Fund, by allocating 18.68 lakh shares at Rs68 each. The shares are set to be listed on the NSE Emerge platform on July 11, 2024.

Disclaimer: Investing in IPOs involves risks; consider the company's fundamentals before applying.