Vital Chemtech Limited IPO : Company Info. and Financials

Vital Chemtech Limited initiated its business operation in 2013. The company is involved in manufacturing of Phosphorus Derivatives Products. It has three manufacturing facilities at Ahmedabad. One of them is located at Dahej, another one at GIDC and the third one is Sanand. The company deals into segments like Plastic Adhesives, Lifesciences, Textile Auxiliaries, Dyes, Speciality Chemicals, Crop Care etc.

IPO DETAILS

Vital Chemtech Limited IPO is set to launch on 31st Oct., 2022. The subscription timeline extends till 3rd Nov., 2022. The size for the IPO is 64.64 Crore Rs.. Shares issued through fresh issues are worth 64.64 Crore Rs. No Shares are issued through Offer For Sale mode. The lot size is 1200 shares and the price range is 95 to 101 Rs. The company is going to get listed at NSE SME. The face value per share is Rs. 10 and this is a book built issue. The registrar for the company is Skyline Financial Services Private Limited.

TABULAR REPRESENTATION OF IPO DETAILS

IPO OPENING DATE	31st Oct., 2022
CLOSING DATE FOR IPO	3rd Nov.., 2022
ISSUE TYPE	Book Built Issue
Face Value per share	10 Rs. per share
IPO price band	95 – 101 Rs.
LOT SIZE	1200 shares
MINIMUM ORDER QUANTITY	1200 shares
ISSUE SIZE	64.64 Crore Rs.
OFFER FOR SALE	No shares
FRESH ISSUE	64.64 Crore Rs.
LISTING AT	NSE SME
LISTING DATE	14th Nov., 2022

IMPORTANT DATES

IPO OPENING DATE	31st Oct., 2022
CLOSING DATE FOR IPO	3rd Nov., 2022
IPO ALLOTMENT DATE	9th Nov., 2022
REFUNDS	10th Nov., 2022
DEMAT A/C CREDITED ON	11th Nov., 2022
IPO LISTING DATE	14th Nov., 2022

Vital Chemtech Limited IPO begins for subscription from 31st Oct., 2022. The IPO subscription would continue till 3rd Nov., 2022. The allotment status for the shareholders who applied would come on 9th Nov., 2022. The refunds for the ones who did not get allotment would be initiated on 10th Nov., 2022. The DEMAT accounts of shareholders would be credited on 1qth Nov., 2022. The listing of the company would be accompanied on 12th Nov., 2022.

Lead Managers

The lead managers are :

• Beeline Capital Advisors Private Limited

The minimum lot size for the company is decided at  1200 shares. This holding accounts to 121200 Rs.. The maximum lot size is decided at 1200 shares. This amounts to 121200 Rs.. Hence the company’s final holdings would be set as :

	Shares	Amount
Minimum	1200 shares	121200 Rs.
Maximum	1200 shares	121200 Rs.

OBJECTIVES FOR THE IPO

• For General corporate purposes.
• The funds may also be used towards working capital requirements.

COMPANY FINANCIALS

Particularly (in Lakh Rs.)	2021-22	2020-21	2019-20
ASSETS	8094	3041	2318
Revenue	5787	4769	4161
PAT	671	294	105

The financials of the company are fascinating looking at the rapid increase in the asset base. The company’s assets were close to 2318 Lakh Rs in 2020. This increased to 3041 Lakh Rs in 2021. This hike was close to 45% itself. However in 2022 the assets increased to 8094 Lkh Rs. This is more than 1.5 times or 150% increase in the asset base. This means an astonishing increase in the working capacity of the firm. This can be noticed through the revenue rise. However the revenue of the company was 4161 Lakh Rs in 2020 which increased to a marginal amount of 4769 Lakh Rs. This was low in comparison to the increased asset base. However the revenue for 2022 was even low at 5787 Lakh Rs in comparison to the increased asset base of 8094 Lakh Rs.

On the other hand one can notice the improvement of the entire process in the parofts. The profits of the company were 105 Lakh Rs in 2020. This increased to 294 Lakh Rs despite COVID situation. In 2022 the company made a profit of 671 Lakh Rs. This is more than 1.2 Times the profit earned last year or 120% more than 2021. Thus the financials of the company are great looking at the current market situation. The profits justify the increased asset base and even the revenues can be expected to grow further with an increased asset base.

PROS

• The company has three manufacturing locations at Ahmedabad. They are located at GIDC, Sanand and Dahej.
• The company deals into segments like Plastic Adhesives, Lifesciences, Textile Auxiliaries, Dyes, Speciality Chemicals, Crop Care etc.

CONS

• The company works in a highly competitive Segment.

Vital Chemtech 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 :

1. Logging into Zerodha console through its website or KITE platform.
2. Clicking the IPO link present in the Portfolio section.
3. Click the Vital Chemtech Limited IPO button and press the BID button.
4. Entering the details asked for like UPI ID, Quantity and price.
5. Submit the application form for the IPO.
6. 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.