Petro Carbon & Chemicals Limited (PCC), a manufacturer of industrial chemicals, has announced its plans to enter the public market through an Initial Public Offering (IPO). The IPO is set to open for subscription on June 25th, 2024, and will close on June 27th, 2024.
The company has set the price band for the IPO at ₹162 to ₹171 per equity share. This means that investors can bid for shares within this price range. Each share is valued at ₹10.
Those interested in investing can place bids for a minimum of 800 shares. This translates to a minimum investment amount ranging from ₹129,600 (at ₹162 per share) to ₹136,800 (at ₹171 per share). The shares are proposed to be listed on the National Stock Exchange (NSE) SME platform, with a tentative listing date set for July 2nd, 2024.
The price band provides a range within which investors can express their interest in buying the company’s shares. The final price at which the shares will be allotted will be determined based on investor demand during the subscription period.
PCC has reported a strong financial performance in recent years. Their revenue climbed by 84.92% between March 2022 and March 2023, while their profit after tax (PAT) also saw an increase of 17.8%. This growth indicates the company’s potential for future success.
When compared to listed companies in the same sector, such as Goa Carbon Ltd (P/E of 8.76) and India Carbon Ltd (P/E of 13.85), PCC’s price band reflects a slightly higher valuation. Investors should consider this comparison alongside the company’s growth prospects before making their decision.
Next Steps for Investors
Those interested in participating in the IPO should consult with their financial advisors for personalized guidance. Carefully review the company’s DRHP (Draft Red Herring Prospectus) to understand its financial health, future plans, and potential risks involved.
Key Points to Remember
- Petro Carbon and Chemicals IPO opens for subscription on June 25th and closes on June 27th, 2024.
- The price range per share is set between ₹162 and ₹171.
- Minimum investment amount ranges from ₹129,600 to ₹136,800.
- Listing is expected on the NSE SME platform on July 2nd, 2024.
By understanding these details, potential investors can make an informed decision about whether to participate in the Petro Carbon and Chemicals IPO.