Clean science lists at 95 per cent premium over issue price

The IPO was launched in July 7 and concluded on July 9, besides the issue of GR Infraproj-FY21ects. As per reports, the IPO was subscribed by almost 93.41 times.

On Monday, Clean Science and Technology commenced with a strong debut on Dalal Street. The stock got listed at Rs 1784.40 on BSE, nearly 98.26 per cent premium to its issue size of Rs 900. While on NSE, it got listed at Rs 1,755, up 95 per cent.

The IPO was launched in July 7 and concluded on July 9, besides the issue of GR Infraproj-FY21ects. As per reports, the IPO was subscribed by almost 93.41 times. Clean Science and Technology gained total bids for 1,14,92,30,160 shares against 1,23,02,672 shares on offer. The quota which was reserved for qualified institutional buyers was subscribed around 156.37 times, non institutional investors subscribed by 206.43 times and the retail individual investors subscribed nearly 9 times.

The Pune based company, Clean Science and Technology develops critical specialty chemicals namely performance chemicals, pharmaceuticals intermediaries and FMCG chemicals. The company’s customers involves manufacturers and distributors in India along with other international markets like China, Europe, the US, Taiwan, Korea and Japan.

At the issue price, the stock put forward a PE value of 48.18 times. On the other hand, Vinati Organics and Fine Organics were trading at 73 times and 40 times respectively.

According to Analysts, Clean Science is the only company globally to deploy a vapor phase technology for developing Anisole from phenol with a better atom economy and only as effluent compared to the liquid phase manufacturing process.

Further, the company also established unconventional processes to manufacturer certain other specialty chemicals. According to the company, these developments have led to the company’s distinguished position as the most cost- competitive producer of critical products.

As far as the reports are concerned, the company’s  consolidated revenue increased by 14 per cent compounded annually. Its Ebitda grew around 38 per cent compounded annually over FY19-FY21. In the same period, its net profit soared up by 43 per cent annually while its Ebitda margin grew to 38.7 per cent in FY21 from 24.8 per cent in FY19.

The IPO wasv headed by Kotak Mahindra Capital Company, JM Financial and Axis Capital.

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