Bidding for Nirman Agri Genetics’ initial public offering (IPO) valued at Rs 20.30 crore will begin on March 15, 2023. The issue price is set at 99 cents. The face value of the final issue size of 2,050,800 shares is $10 per share.
The company manufactures, processes, and distributes high-quality hybrid seeds, insecticides, and bioorganic compounds. Kailash Bagal, the company’s promoter, holds a diploma in agriculture from the National Backward Krushi Vidyapeeth in Solapur, Maharashtra. The company was founded in 2020. across 2022, they began offering bio-pesticides, micronutrients, bio-fertilizers, fertiliser mixes, and plant growth regulators under the brand name “Nirman Agri Genetics” through a network of distributors and dealers
across Maharashtra, Madhya Pradesh, and Gujarat.
Nirman Agri Genetics Ltd. IPO Objective
- The company proposes to utilise the fund for strategic acquisition/joint venture.
- To buy computers and other hardware
- Cover issue expenses
- To meet working capital requirements
Why should you invest in Nirman Agri Genetics Ltd.?
These are your top reasons to invest in Nirman Agri Genetics Ltd.
- They work with a diverse spectrum of hybrid seeds to avoid reliance on a single product.
- An experienced promoter and management team are in charge.
- Nirman Agri Genetics is a well-known brand among farmers.
- Expansion into new markets in India’s north, south, and east.
Nirman Agri Genetics Ltd Company Financials
| Particulars | Period ending on October 31, 2022 (₹ lakh) | Year ending on March 31, 2022 (₹ lakh) | Year ending on March 31, 2021 (₹ lakh) |
|---|---|---|---|
| Revenue from Operation | 1,804.28 | 1,348.91 | 382.21 |
| Profit After Tax (PAT) | 230.44 | 256.02 | 5.47 |
| EBITDA | 312.93 | 342.43 | 7.40 |
| EBITDA Margin | 17.34% | 25.39% | 1.94% |
| EPS | 9.00 | 10.00 | 0.21 |
| ROE | 51.49% | 96.83% | 84.54% |
Know before investing
Strengths
- They have built research and development capacity to produce high-yielding hybrid seeds.
- Offers a wide range of products including high-quality high breed seeds for a wide range of crops.
- Strong distribution channel to reach out to the end customers, who are farmers.
Risks
- Outcomes of the legal proceedings pending against the company promoters may impact future profitability.
- The agricultural sector is highly seasonal, which may impact the operational results.
- The business is exposed to risks related to weather, disease, and pests.
Nirman Agri Genetics Ltd. Noteworthy highlights
- Nirman Agri Genetics Ltd. operates in a sector that stands to benefit from the government’s aggressive policy measures to boost agricultural output in the country.
- The government has permitted 100% FDI in food product marketing and e-commerce.
- The administration intends to increase the country’s food processing capacity from the present 10% level.
Nirman Agri Genetics IPO FAQs:
Q1. What is Nirman Agri Genetics Ltd. IPO?
Ans. Nirman Agri Genetics Ltd. IPO worth ₹20.30 crore will open for subscription on March 15, 2023. The IPO share price is fixed at ₹99 with a lot size of 1200 shares per lot. The subscription window will remain open from March 15-20, 2023.
Q2. When will Nirman Agri Genetics Ltd. IPO allotment available?
Ans. The basis of the allotment date is March 23, 2023.
Q3. What will be the Nirman Agri Genetics Ltd. IPO lot size?
Ans. One lot of Nirman Agri Genetics Ltd. IPO has 1200 shares.
Q4. When will Nirman Agri Genetics Ltd. IPO open for subscription?
Ans. The IPO will open on March 15, 2023.
Q5. What minimum lot size can retail investors subscribe to?
Ans. Retail investors can apply for a minimum of one lot.
Q6. When will Nirman Agri Genetics Ltd. list on exchanges?
Ans. The listing date of Nirman Agri Genetics Ltd. on NSE SME is March 28, 2023.
Q7. What would be the listing gains on the Nirman Agri Genetics Ltd. IPO?
Ans. Listing gain refers to the difference of the IPO’s opening and offer prices. The listing gain is influenced by changing investors’ interests, global parameters, and short vs long-term outlooks.
Q8. I have finished the application process for Nirman Agri Genetics Ltd. IPO, but the funds are not yet debited. What is the reason?
Ans. The bank initially blocks the amount you bid for an IPO. It will debit the money when the shares are allotted or unblock the amount after the UPI mandate expiry date.
Q9. How to approve the UPI mandate request for Nirman Agri Genetics Ltd. IPO?
Ans. Login to your UPI handle and approve the payment mandate to complete the IPO application process.
Q10. Can I submit more than one application for the public issue of Nirman Agri Genetics Ltd. using one PAN?
Ans. You can submit only one application using one PAN card.
Q11. What is the minimum order quantity for Nirman Agri Genetics Ltd. IPO?
Ans. The minimum size of the application will be one lot of 1200 shares.
