Clean Science and Technology Limited IPO - Strengths, Purpose, Financial Performance and IPO details

Manish Kothari
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Manish Kothari

Clean Science and Technology Limited IPO

Clean Science and Technology Limited is among the few companies focused globally entirely on producing innovative technologies using the in-house catalytic processes that are environment-friendly and cost-competitive as well. As per F&S reports, this has enabled the company to emerge as the largest global manufacturer of specialty chemicals in terms of manufacturing capacity as of 31 December 2020.

The company manufactures critical specialty chemicals like Pharmaceutical Intermediates including Guaiacol and DCC, Performance Chemicals including MEHQ, BHA, and AP, and FMCG Chemicals including  4-MAP and Anisole. Within 17 years of its inception, the company is now the largest manufacturer of MEHQ,  BHA,  Anisole, and  4-MAP globally in terms of manufacturing capacity.

Their specialty chemicals have diverse applications which cater to customers across industries. Their customers include distributors & manufacturers in India as well as other international markets like Europe, China, the USA, Taiwan, Japan & Korea. The revenue from operations of the company from sales outside India was around 68.76% & 65.36% of their total revenue from operations in the Fiscal Year 2020 and 9-months ended 31 December 2020. 

The promoter of the company is Ashok Ramnarayan Boob, Krishna Kumar Ramnarayan Boob, Siddhartha Ashok Sikchi, and Parth Ashok Maheshwari.

Strengths of the Company

  • Through its consistent R&D initiatives, the company has a good track record of strategic process innovation
  • Experienced senior management team & promoters with extensive knowledge
  • Strong relationships with key customers
  • The company is among the largest producers of critical specialty chemicals globally which is being used in various industries & across geographies
  • Strong record of financial performance
  • Automated facilities & processes with proven commercialization & design capabilities

Purpose of the IPO

As it is an offer for sale by promoters, the company will not be having any proceeds from IPO.

Financial Performance of the company

 For the 9-month period  ended 31st December 2020FY 2020FY 2019FY 2018
Total Revenue398.46430.16404.56247.23
Total Expenses202.64247.84268.02176.97
Profit After Tax145.26139.6397.6548.89
Total Assets571.18429.87327.47236.10

*All the values are in crores and as per DRHP.

Valuation of the Company:

 For the 9-month period ended 31st December 2020FY 2020FY 2019FY 2018
Basic Earnings per Share (EPS)13.6813.159.194.60
Diluted Earnings per Share (EPS)13.6813.159.194.60
Return on Net Worth (%)29.65%40.82%35.90%26.03%
Net Assets Value per Equity share46.1332.2125.6117.69

*As per DRHP. 

Clean Science and Technology Limited IPO

IPO details:

Face Value₹1 per equity share
Market Lot16 Shares
Minimum Order Quantity16 Shares
Price Band₹880- ₹900 per equity share
Issue typeBook Built Issue IPO
Issue Size₹1,546.62 Crores
Offer for Sale₹1,546.62 Crores
Listing NSE, BSE

Important IPO dates

Open Date07th July 2021
Close Date09th July 2021
Basis of Allotment Date14th July 2021
Initiation of Refunds15th July 2021
The credit of shares to Demat Account16th July 2021
Listing Date19th July 2021

Allocation Quota:

Qualified Institutional Buyers (QIBs)Not more than 50%
Non- Institutional Buyers (NIIs)Not less than 15%
Retail InvestorsNot less than 35%

Check your Clean Science and Technology Limited IPO allotment status here:

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