Indian Emulsifier Limited IPO: Price, Lot Size, Strengths and Risks

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Indian Emulsifier Limited IPO will open for subscription from 13th May 2024 to 16th May 2024. This is an SME IPO and the shares will be listed only at NSE Emerge on 22nd May 2024 tentatively.

Started in December 2020, Indian Emulsifier Limited is a speciality chemical manufacturer and supplier which offers products for different industries such as textiles, mining, oilfields, agriculture, food, cosmetics, pharmaceuticals and others. 

The offer price of this IPO is between Rs. 125 and Rs. 132 per equity share. If you want to get more information on this IPO, read this blog carefully.

Additional ReadUpcoming IPOs in May 2024

IPO Details

These are the most important details of Indian Emulsifier Limited IPO:

IPO Launch Date

13th May 2024 to 16th May 2024

Issue Type

Book Built IPO

Face Value

Rs. 10 per share

Price Band

Rs. 125 to Rs. 132 per share

Minimum Lot Size

1,000 equity shares

Total Issue Size

Amount aggregating up to Rs. 42.39 crore

About the Company

Indian Emulsifier Limited is a speciality chemical manufacturer and supplier for different industries such as personal care, minings, textiles, metal cleaning, paint, agriculture, etc. The company has a state-of-the-art manufacturing facility, located 225 kilometres south of Mumbai. 

The factory has advanced technologies such as computerised controls, R&D centres and quality control labs. It has a production capacity of 6,000 metric tons per annum. 

The company is launching its IPO this month, without any portion for OFS. Through this IPO, none of the existing shareholders are selling their stakes. 

The total size of Indian Emulsifier Limited IPO is Rs. 42.39 crore and up to 32,11,000 shares will be offered in this public issue. 

Additional ReadHow to Invest in an IPO Online

IPO Timeline

Here are the important timelines of the Indian Emulsifier Limited IPO that you should know before applying:

IPO Open Date 

13th May 2024, Monday

IPO Close Date 

16th May 2024, Thursday

Cut-off Time for UPI Mandate Confirmation

16th May 2024 at 5 PM

Basis of Allotment Date 

17th May 2024, Friday

Initiation of Refunds Date 

21st May 2024, Tuesday 

Credit of Shares to Accounts Date  

21st May 2024, Tuesday 

Listing Date 

22nd May 2024, Wednesday

Indian Emulsifier Limited IPO Lot Size

Follow this table to know the lot size of the issue:

Application

Lots

Shares

Amount

Retail Investor (Minimum)

1

1,000

Rs. 1,32,000

Retail Investor (Maximum)

1

1,000

Rs. 1,32,000

HNI (Minimum)

2

2,000

Rs. 2,64,000

Company Financials

The following is the financial statement of Indian Emulsifier Limited for the previous 3 years.

Particulars

For the Financial Year Ending (Rs. In Lakhs)

 

March 31, 2023

March 31, 2022

March 31, 2021

Total Assets

3,432.26

1,910.22

59.72

Total Liabilities

2,227.91

1,095.28

59.09

Total Expenses

3,654.63

1,756.28 

0.37

Total Revenue

4,118.35 

1,768.31

-

Profit/Loss After Tax

389.44 

4.31 

(0.37)

EBITDA

786.19

79.49

(0.37)

Strengths of the Company

These are some of the strengths of Indian Emulsifier Limited:

  • Indian Emulsifier Limited has experienced management groups and promoters which helps to make its business successful. The promoters have a solid experience in the sector of speciality chemicals. With this team, the company can beat its competitors across India and outside countries.

  • The company has a scalable, customer-centric and order-driven business model that only requires an optimum utilisation of its existing resources and assurance of customer satisfaction to grow.

  • The company has different types of products for textile, mining, food, personal care, etc. It also manufactures and supplies various chemical products like esters, phosphate esters, speciality emulsifiers, imidazolines, succinimides, and sulfosuccinates. It also supplies customised products based on customer/client requirements. 

  • Indian Emulsifier Limited has enough experience, resources and network to launch new products in the future. Additionally, it has an in-house manufacturing facility which helps towards quality control and R&D facility.

Additional ReadDifference Between NFO and IPO

Risks Involved

These are some of the risks you should know before investing in Indian Emulsifier Limited IPO:

  • There are some ongoing legal proceedings against the company. Any negative outcome can impact its business, reputation and revenue.

  • The company’s revenue mostly depends on customers from 4 particular industries (Textile- 13.99%, Rubber/PVC- 20.99%, Personal Care- 24.02%, Mining- 27.02%). If any negative event occurs in these industries or the company fails to complete its orders on time, its business will face a negative impact.

  • The primary operations or storage place of Indian Emulsifier Limited is not a company property. If it fails to renew the rent or legal agreement on time, it will be a huge risk for the company. 

  • The company is highly dependent on its manufacturing facilities. Any shutdown, slowdown or strike at those facilities due to high wage demand can negatively impact its financial conditions, operations and quarterly results.

Summing Up

Indian Emulsifier Limited IPO is an SME IPO with a minimum investment amount of Rs. 1,32,000. You can place your bid between 13th May 2024 and 16th May 2024 for this IPO. Make sure to read all the details from the RHP doc before applying.

Additionally, note that IPO application is only possible if you have your demat account. In case you do not have one, you can open your demat and trading account with Bajaj Broking at zero cost. For more details on the upcoming IPOs, stay tuned to our website! 

Disclaimer: Investments in the securities market are subject to market risk, read all related documents carefully before investing.

This content is for educational purposes only. Securities quoted are exemplary and not recommendatory.

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Frequently Asked Questions

What is the size of the Indian Emulsifier Limited IPO?

Answer Field

The size of Indian Emulsifier Limited IPO is worth Rs. 42.39 crore.

Who is the book-running lead manager and registrar of Indian Emulsifier Limited IPO?

Answer Field

Ekadrisht Capital Private Limited is the book-running lead manager and  Maashitla Securities Private Limited is the registrar of the Indian Emulsifier Limited IPO.

What is the price band of the Indian Emulsifier Limited IPO?

Answer Field

Indian Emulsifier Limited IPO price range will start from Rs. 125 to Rs. 132 per equity share.

What is the minimum investment amount for retail investors in the Indian Emulsifier Limited IPO?

Answer Field

The minimum investment amount is Rs. 1,25,000 (at the lower price band) or Rs. 1,32,000 (at the upper price band) for retail investors in Indian Emulsifier Limited IPO.

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