Nova AgriTech IPO price band fixed at Rs 39-41 per share. Check details

Nova AgriTech IPO price band fixed at Rs 39-41 per share. Check details

Nova AgriTech has set the price band for its upcoming initial public offer (IPO) at Rs 39-41 per share. The issue will open for subscription on January 22 and close on January 24.

The floor price of the issue is 19.50 times the face value of the equity share while the cap price is 20.50 times the face value.

Investors can subscribe to the issue for a minimum of 365 shares in one lot and its multiples thereafter.

The allocation to anchor investors will be done on January 19.

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The company had filed its draft papers in March last year and received approval from the regulator in May 2023.

Nova AgriTech IPO Size

The IPO comprises a fresh equity issue worth Rs 112 crore and an offer for sale (OFS) of 77.5 lakh shares.

Under the OFS, Nutalapati Venkatasubbarao is the sole selling shareholder.

Nova AgriTech IPO Structure

About 50% of the will be available for allocation to qualified institutional buyers (QIBs), 15% to non-institutional investors (NIIs), and 35% to retail investors.

About Nova AgriTech

Nova AgriTech is an agri-input manufacturer offering soil health management, crop nutrition and crop protection products focused on a tech-based farmer-driven solution approach, wherein it mainly offers ecologically sustainable and nutritionally balanced products based on R&D.

As of November 2023, it has received a total of 720 product registrations comprising 7 registrations in the soil health management category, 176 in the crop nutrition category, 4 in biopesticide category, 7 in technical indigenous manufacturing and 526 in the crop protection category.

Nova AgriTech IPO Objective

Out of the proceeds from the fresh issuance, Rs 14 crore will be utilized for investment in its subsidiary, Rs 10 crore for funding capex, Rs 26 crore for funding working capital requirements and the rest for investment in the subsidiary Nova Agri Sciences.

Nova AgriTech Financials

In FY23, the company’s revenue from operations jumped 13% year-on-year to Rs 210 crore, while profit after tax (PAT) surged 50% to Rs 20.48 crore. In the six months ended September 2023 period, revenue stood at Rs 103 crore and profit was at Rs 10.3 crore.

Nova AgriTech IPO BRLM

Keynote Financial Services and Bajaj Capital are the book-running lead managers and Bigshare Services is the registrar to the offer.

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