Citichem India Ltd IPO

About Company

Citichem India Limited is a company primarily involved in the buying, procuring, and supplying organic and inorganic chemicals, bulk drugs, and food chemicals to the pharmaceutical industry. They also trade speciality chemicals and intermediates with wide applications in various industries such as aluminium, steel, textiles, paper, dairy, paints, dyes and intermediates, soap making, pharma, food, and adhesive industries. The company also supplies food preventives and chemicals under its brand name. The Citchem India Limited IPO opening and closing dates are yet to be announced.

Citichem India Limited IPO Details

Citichem India Limited IPO is a 100% fresh issue of 18,00,000 equity shares with a face value of ₹10 each. The IPO will list on the NSE exchange; the date is yet to be announced. 

Citichem India Limited IPO Objective 

The objectives of Citichem India Limited's IPO are listed below:

• For funding working capital requirements.
• Purchase of transportation vehicles and accessories. 
• For general corporate purposes.
• To meet issue expenses.

Should you invest in Citichem India Limited?

Here are a few important reasons to consider before investing in the IPO:

• Citichem Limited has a scalable business model, which is customer-centric and order driven, and requires optimum utilisation of the company’s existing resources. This assures quality supply and achieves consequent economies of scale.
• Furthermore, the promoters have a clear vision for the company's growth prospects, aiming to expand and diversify their procurement sources. This vision, coupled with its market expertise, positions Citichem India Limited for continued success in the industry.
• There are outstanding actions and litigation proceedings against the company, promoter and directors. Any adverse outcome in such proceedings may have a negative impact on the company’s reputation, business, financial condition, results of operations and cash flows. 

Competitive Peers

Shankar Lal Rampal DyeChem Limited and Vinyl Chemicals Limited are the peer companies listed in India engaged in the same business line. 

Highlights of Citichem India Ltd

• Citichem India is a leading manufacturer of industrial chemicals and dyes, and its products are used in a variety of industries, including textiles, plastics, and pharmaceuticals.
• The management team of Citichem India Limited possesses a diverse set of skills and knowledge across various areas such as industry understanding, regulatory affairs, sales, marketing, and finance. This collective expertise enables the company to capitalise on current market opportunities and adapt to future trends effectively. The team's ability to navigate regulatory complexities, market the products efficiently, and manage financial aspects ensures a competitive edge in the industry.
• The company’s business model is customer-centric and order driven, and requires optimum utilisation of its existing resources, assuring quality supply and achieving consequent economies of scale.