Tatva Chintan Pharma Receives Sebi Nod For Rs 450 crore IPO
Tatva Chintan Pharma has received approval from the market regulator Sebi to launch its Rs 450 crore initial public offering (IPO). The IPO will consist of fresh issuance of shares worth Rs 225 crore and an offer of sale worth Rs 225 crore by existing promoters and shareholders. The shares are likely to be listed on NSE and BSE.
The specialty chemical manufacturing company had approached Sebi with its draft papers in April. It obtained the market regulator’s observations on June 30, an update on the Sebi website shows. Sebi’s observations are necessary for any company to launch public issues, including IPOs, follow-on public offers and rights issues.
Tatva Chintan will utilise proceeds from the fresh issue to fund its capital expenditure requirements, expand its Dahej manufacturing facility and upgrade the R&D facility in Vadodara, and for general corporate purposes, as per its draft red herring prospectus.
Tatva Chintan is a specialty chemical manufacturing company based in Vadodara. It was promoted by Ajaykumar Mansukhlal Patel, Chintan Nitinkumar Shah and Snehkar Rasiklal Somani. The company exports its products to more than 25 countries, including the United States, China, Germany, Japan, South Africa and United Kingdom.
ICICI Securities and JM Financial book running lead managers to the issue, whereas Link Intime India is the registrar to the issue.