Valiant Laboratories IPO to open on Sept 27; check price band, lot size and other details

The initial public offering (IPO) of Valiant Laboratories will open for bidding on Wednesday, September 27. The company is offering its shares in the fixed price band of Rs 133-140 per share with a lot size of 105 equity shares and its multiples thereof. The three-day bidding will conclude on Friday, September 29.

Incorporated in 1980, Valiant Laboratories is a pharmaceutical ingredient manufacturing company in India having focused on manufacturing Paracetamol. Its manufacturing unit is located in Palghar (Maharashtra) which is spread across 2,000 square meters with an aggregate annual total installed capacity of 9,000 MT per annum.

The company is eyeing to raise Rs 152.46 crore from its primary stake sale, which entirely consists of 1,08,90,000 fresh equity shares with a face value of Rs 10 each. The anchor book for the issue will open on Tuesday, September 26.

Valiant Laboratories also has an R&D Facility, equipped with an analytical laboratory and infrastructure for developmental activities in existing products.

The net proceeds from the issue shall be utilized towards the investment in its wholly owned subsidiary, Valiant Advanced Sciences (VASPL) for part-financing its capital expenditure requirements in relation to the setting up of a manufacturing facility for specialty chemicals at Saykha Industrial Area, Bharuch, Bharuch, Gujarat; working capital requirements and general corporate purposes.

Valiant Laboratories imports para–amino phenol, the raw material for the manufacture of Paracetamol from China and Cambodia. Unistone Capital is the sole manager to the issue, while Link Intime India is the registrar to the issue. Shares of the company will be listed on both BSE and NSE.

For the year ended on March 31, 2023, Valiant Laboratories reported a net profit of Rs 29 crore with a revenue of Rs 338.77 crore. However, its profit after tax came in at Rs 27.5 crore with a revenue at Rs 293.47 crore in the financial year ended in March 2023.

The company has reserved half of the issue or 50 per cent shares for the qualified institutional bidders (QIBs), while the non-institutional investors (NIIs) will have 15 per cent of reservation in the issue. Retail investors will get remaining 35 per cent shares reserved for them.

Also read: Vedanta shares in news today as board approves raising Rs 2,500 cr via NCDs

Also read: India Canada row: JSW Steel shares in focus on Teck coal unit report