Crystal Crop Protection files DRHP for Rs. 1,000 crore IPO

Agrochemical company Crystal Crop Protection filed its draft papers with the market regulator SEBI to raise an initial public offering worth Rs. 1,000 crore.

The IPO will include a fresh issue of up to Rs. 545 crore and an offer for sale of up to Rs. 455 crore from its promoter and shareholders including Everstone Capital, said the company in a regulatory filing. The stock is likely to have a face value of Rs. 10 per share, however, the price band has not been decided.

The company is likely to utilize the funds raised from the IPO for the repayment of working capital facilities, acquisitions, strategic operations and other corporate purposes.

The IPO of the company will be managed by ICICI Securities, Axis Capital, HSBC Securities and Capital Markets, Nomura Financial Advisory and Securities, and SMC Capitals.

The company is engaged in diversifies business operations including manufacturing, marketing domestic agrochemicals; manufacturing and distribution of seeds, agri-equipment distribution and export of agri-chemical products. Agriculture stocks are likely to bolster up in the current fiscal on the back of normal monsoon and the government’s thrust on doubling rural income by 2020.