Dharmaj Crop Guard IPO

Current DRHP

Dharmaj Crop Guard IPO Subscription Details

  • Open Date 28 Nov
  • Close Date 30 Nov
  • Lot Size 60
  • IPO Size ₹ 251.15 Cr
  • IPO Price Range ₹ 216 to ₹237
  • Min Investment ₹ 4320
  • Listing Exchange BSE, NSE
  • Basis of Allotment 05 Dec
  • Refunds 06 Dec
  • Credit to Demat Account 06 Dec
  • Listing Date 08 Dec

Dharmaj Crop Guard IPO Subscription Status

Date QIB NII Retail TOTAL
28-Nov-22 0.35x 1.80x 2.60x 1.79x
29-Nov-22 0.76x 8.74x 7.753x 5.97x

Dharmaj Crop Guard IPO Synopsis

Dharmaj Crop Guard Ltd., an agrochemical company based out of Ahmedabad’s IPO opens on Nov 28, 2022, and closes on Nov 30, 2022. The issue worth ~Rs. 251 crores consist of fresh issue of equity shares worth up to Rs 216 crores with a face value of Rs 10 each and an offer-for-sale (OFS) of up to 14.83 lakh equity shares by existing shareholders. The price band is fixed between Rs. 261 and Rs. 237 per share while the lot size is set for 60 shares per lot. The listing date is set for 8th December and the shares will be allotted on 5th December.

Monarch Networth Capital and Elara Capital (India) are the book-running lead managers to the issue.

Objective of Dharmaj Crop Guard

The objective of the issue lies toward: 
1.    Rs 105 crore will be utilised for funding capital expenditure towards setting up of a manufacturing facility at Saykha Bharuch, Gujarat
2.    Rs 45 crore for funding incremental working capital requirements
3.    Rs 10 crore for the repayment or prepayment of borrowings 
4.    general corporate purposes
 

Dharmaj Crop Guard IPO Video

About Dharmaj Crop Guard

Dharmaj Crop is engaged in the business of manufacturing, distributing, and marketing of a wide range of agro chemical formulations such as insecticides, fungicides, herbicides, plant growth regulator, micro fertilizers and antibiotic to the B2C and B2B customers. Through its distribution network, the company also makes sale through engaging in the marketing and distribution of agrochemical products under brands in-licensed by it, owned by it and through generic brands, to Indian farmers. It also offers crop protection solutions to the farmer to assist them to maximize productivity and profitability.

The company has 392 registrations for agrochemical formulations from the CIB&RC, out of which 201 agrochemical formulations are for sale in India as well as for export, 191 agrochemical formulations are exclusively for exports, application for further 6 agrochemicals formulations is pending at various stages and has over 150 trademark registrations including its own branded products.
Its key customers include Atul Limited, Heranba Industries Limited, Innovative Agritech Private Limited, Meghmani Industries Limited, Bharat Rasayan Limited, Oasis Limited, United Insecticides Private Limited and Sadik Agrochemicals Co. Ltd.

The company exports its products to more than 20 countries in Latin America, East African Countries, Middle East and Far East Asia. The branded products are sold in 12 states through network comprising over 3,700 dealers having access to 8 stock depots in India. 

The company provides education to farmers in regards to the benefits of using the company’s products by conducting farmer training programs such as field demonstrations, field shows, meetings with group of farmers, jeep campaigns and participating in village level programmes to establish direct relationship with farmer communities all over India.

Profit and Loss

Balance Sheet

Particulars (in Rs. Crores) FY22 FY21 FY20
Revenue 394.2 302.4 198.2
EBITDA 46.2 32.0 18.6
PAT 28.7 21.0 10.8
Particulars (in Rs. Crores) FY22 FY21 FY20
Total Assets 219.5 128.9 92.6
Share Capital 24.7 16.5 16.5
Total Borrowings 36.9 26.9 20.2
Particulars (in Rs. Crores) FY22 FY21 FY20
Net cash generated from / (used in) operating activities 16.41 12.88 2.05
Net cash from / (used in) investing activities -23.87 -17.73 -14.65
Net cash flow from / (used in) financing activities 7.45 5.50 12.06
Net increase (decrease) in cash and cash equivalents 0.00 0.65 -0.54

Peer Comparison

Name of the Company Total Revenue Basic EPS Nav Rs. per share PE RoNW%
Dharmaj Corp Guard Limited 220.9 7.44 40.99 NA 18.2%
Rallis India 2603.9 8.44 87.25 27.45 9.7%
India Pesticides 716.1 13.78 55.39 18.53 24.8%
Punjab Chemical & Corp Protection 933.5 68.07 184 17.51 37.0%
Bharat Rasayan 1301.2 423.52 1,853.11 24 22.9%
Astec Lifesciences 676.6 45.87 202.33 45.92 22.7%
Heranba Industries 1450.4 47.25 178.55 10.8 26.5%


Dharmaj Crop Guard IPO Key Points

  • Strengths

    1.    Diversified portfolio of the products and consistent focus on quality and innovation
    2.    Strong R&D capabilities with focus on innovation and sustainability.
    3.    Established distribution network with strong branded products and stable relationship with its institutional customers

  • Risks

    1.   Failure to successfully obtain required registrations or maintain statutory and regulatory permits and approvals required to operate, would affect the business and manufacturing facility operations
    2.   Failure to comply with the quality standards, technical specifications, regular inspections and audits prescribed by customers may lead to loss of business from such customers
    3.    The company does not generally enter into long-term agreements with majority of its customers
    4.    Inability to identify and understand evolving industry trends, technological advancements, customer preferences and develop new products to meet customers’ demands
    5.    The business is subject to climatic conditions and is cyclical in nature, thus, seasonal variations and unfavourable local and global weather patterns may have an adverse effect on the business
    6.    If the company fails to meet the standard norms laid by governments locally or globally, then the products are at a risk of being banned or suspended or become subject to significant compliance costs

How to apply for IPO?

  • Login to your 5paisa account and select the issue in the current IPO section

  • Enter the number of lots and price at which you wish to apply for

  • Enter your UPI ID and click on submit. With this, your bid will be placed with the exchange

  • You will receive a mandate notification to block funds in your UPI app

  • Approve the mandate request on your UPI and funds will be blocked

Dharmaj Crop Guard IPO FAQs

What is the lot size and investment required for the Dharmaj Crop IPO?

The lot size of Dharmaj Crop IPO is 60 shares and minimum investment required is Rs. 14220 for 60 shares

What is the price band of the Dharmaj Crop IPO?

The price band of Dharmaj Crop IPO is Rs. 216 to Rs. 237.

When does the Dharmaj Crop issue open and close?

Dharmaj Crop Guard IPO opens on Nov 28, 2022, and closes on Nov 30, 2022

What is the size of Dharmaj Crop IPO issue?

The IPO consists of fresh issue of equity shares worth up to Rs 216 crores with a face value of Rs 10 each and an offer-for-sale (OFS) of up to 14.83 lakh equity shares. 

Who are the promoters/key personnels of Dharmaj Crop?

Dharmaj Crop is promoted by Rameshbhai Ravajibhai Talavia, Jamankumar Hansarajbhai Talavia, Jagdishbhai Ravjibhai Savaliya and Vishal Domadia.

What is the allotment date of Dharmaj Crop IPO?

The allotment date of Dharmaj Crop IPO is 5th December        

What is the Dharmaj Crop IPO listing date?

The Dharmaj Crop IPO listing date is 8th December

Who are the book runners for Dharmaj Crop IPO?

Monarch Networth Capital and Elara Capital (India)are the book running lead managers to the issue.

What is the objective of the issue?

The proceeds from the issue will be used in the following manner:

1.    Rs 105 crore will be utilised for funding capital expenditure towards setting up of a manufacturing facility at Saykha Bharuch, Gujarat
2.    Rs 45 crore for funding incremental working capital requirements
3.    Rs 10 crore for the repayment or prepayment of borrowings 
4.    general corporate purposes
 

How to apply for the Dharmaj Crop IPO?

To apply for the IPO, follow the steps given below

•    Login to your 5paisa account and select the issue in the current IPO section
•    Enter the number of lots and price at which you wish to apply for
•    Enter your UPI ID and click on submit. With this, your bid will be placed with the exchange
•    You will receive a mandate notification to block funds in your UPI app
 

Contact Details of Dharmaj Crop Guard IPO

Contact Information

Address

Dharmaj Crop Guard Limited

Plot No. 408 to 411,
Kerala GIDC Estate, Off NH-8, At: Kerala,
Taluka Bavla, Ahmedabad – 382220
Phone: +91-79-29603735
Website: http://www.dharmajcrop.com/

Dharmaj Crop Guard IPO Register

Address

Link Intime India Private Ltd

Phone: +91-22-4918 6270
Email: dharmaj.crop@linkintime.co.in
Website: https://linkintime.co.in/

Dharmaj Crop Guard IPO Lead Manager

Elara Capital (India) Private
Monarch Networth Capital Ltd