Deepak Chemtex share price opens at 90% premium on BSE SME exchange. Touches upper circuit after listing

Deepak Chemtex IPO listing: Shares of Deepak Chemtex Limited listed on BSE at ₹152 per shrae levels, delivering 90 per cent listing gain to the allottees against the Deepak Chemtex IPO price band of ₹76 to ₹80 per equity share. However, the BSE SME stock didn't end after strong debut and went on to hit upper circuit after climbing to intraday high of ₹159.60 within few minutes of stock listing.

The book build issue had opened for subscription on 29th November 2023 and it ended on 1st December 2023.  The book build issue listed on BSE SME exchange during Wednesday deals.

Deepak Chemtex subscription

Deepak Chemtex IPO was a book-built issue worth ₹23.04 crores and it was entirely a fresh issue of 28.8 lakh shares. The public issue got subscribed 403.03 times. The public issue subscribed 475.36 times in the retail category, 96.80 times in QIB, and 642.25 times in the NII category.

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Deepak Chemtex IPO net proceeds

Deepak Chemtex intends to utilize the net proceeds from the IPO towards funding of capital expenditure pertaining to the installation of plant & machinery in its existing premises. Some part from the proceeds may also be utilised Investment in its subsidiary DCPL Speciality Chemicals Private Limited for financing its capital expenditure towards the installation of plant and machinery. Funding may also be used to meet working capital requirements and towards General Corporate Purpose.

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Deepak Chemtex, established in 1997, has its manufacturing capacities located in Lote Parshuram industrial Area, Lote in Ratnagiri District which is halfway from Mumbai to Goa.

Deepak Chemtex is primarily engaged in the business of manufacturing colorants finding its application in Food, Drug, Cosmetics, Cleaning compounds, Agriculture and other industries.