Godavari Biorefineries IPO

Godavari Biorefineries IPO is a book-built issue of Rs 554.75 crores. The issue is a combination of a fresh issue of 0.92 crore shares aggregating to Rs 325.00 crores and an offer for sale of 0.65 crore shares aggregating to Rs 229.75 crores.

The IPO opens for subscription on October 23, 2024, and closes on October 25, 2024. The price band for the IPO is set at ₹334 to ₹352 per share and the minimum lot size for an application is 42 Shares.

Company Summary

Incorporated in 1956, Godavari Biorefineries Limited manufactures ethanol-based chemicals in India. As of June 30, 2024, the company operates an integrated biorefinery with a capacity of 570 KLPD for ethanol production.

As of March 31, 2024, the company is the largest producer of MPO in the world based on installed capacity. It is one of only two manufacturers of natural 1,3-butanediol and the only company in India that makes bioethyl acetate.

The company’s product portfolio includes bio-based chemicals, sugar, various grades of ethanol, and power. These products are used in industries such as food, beverages, pharmaceuticals, flavors and fragrances, power, fuel, personal care, and cosmetics

As of October 2024, the company has obtained 18 patents and received 53 registrations for these products/processes across various countries.

The company’s client base includes marquee players such as Hershey India Pvt Ltd, Hindustan Coca-Cola Beverages Private Limited, M/s Karnataka Chemical Industries, M/s Techno Waxchem Pvt Ltd, LANXESS India Private Limited, IFF Inc., Ankit Raj Organo Chemicals Limited, Escorts Chemical Industries, Khushbu Dye Chem Pvt Ltd, Privi Speciality Chemicals Limited, Shivam Industries, and major oil marketing companies.

The company serves customers in over twenty countries, including Australia, China, Germany, France, Italy, Japan, Kenya, the Netherlands, Singapore, the United Kingdom, the United Arab Emirates, Indonesia, and the United States.

As of June 30, 2024, the company has 1,583 permanent employees, out of which 437 employees are semiskilled and unskilled.

Company Financials

Period Ended30 Jun 202431 Mar 202431 Mar 202331 Mar 2022
Assets1,554.621,991.661,743.52

1,733.54

Revenue525.271,701.062,023.081,709.98
Profit After Tax-26.1112.3019.64

19.10

Net Worth233.84260.25249.01232.57
Reserves and Surplus432.34458.74447.51431.06
Total Borrowing703.75663.27738.01636.72

Amount in ₹ Crore

Objectives of the IPO
The Company intends to utilize the Net Proceeds from the Fresh Issue towards funding the following objects
1. Repayment/pre-payment, in full or in part, of certain outstanding borrowings availed by the Company
2. General corporate purposes.

Promoters of the company
The Promoters of our Company are:
1. Samir Shantilal Somaiya
2. Lakshmiwadi Mines and Minerals Private Limited
3. Sakarwadi Trading Company Private Limited
4. Somaiya Agencies Private Limited

The Promoters hold 27,112,386 Equity Shares in the aggregate, representing 64.64% of the pre-offer issued, subscribed, and paid-up Equity Share capital of the Company.

IPO details

IPO DateOctober 23, 2024 to October 25, 2024
Listing DateWednesday, October 30, 2024
Face Value₹10 per share
Price Band₹334 to ₹352 per share
Lot Size42 Shares
Total Issue Size15,759,938 shares (aggregating up to ₹554.75 Cr)
Fresh Issue9,232,955 shares (aggregating up to ₹325.00 Cr)
Offer for Sale6,526,983 shares of ₹10 (aggregating up to ₹229.75 Cr)
Issue TypeBook Built Issue IPO
Listing AtBSE, NSE

Lot Allocation details

ApplicationLotsSharesAmount
Retail (Min)142₹14,784
Retail (Max)13546₹192,192
S-HNI (Min)14588₹206,976
S-HNI (Max)672814₹990,528
B-HNI (Min)682856₹1,005,312

Allotment Schedule

Basis of AllotmentMonday, October 28, 2024
Initiation of RefundsTuesday, October 29, 2024
The credit of Shares to DematTuesday, October 29, 2024
Listing DateWednesday, October 30, 2024
Cut-off time for UPI mandate confirmation5 PM on October 25, 2024

IPO Reservation

Investor CategoryShares Offered
QIB Shares OfferedNot more than 50% of the Net Issue
Retail Shares OfferedNot less than 35% of the Net Issue
NII (HNI) Shares OfferedNot more than 15% of the Net Issue

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