Technichem Organics stock makes muted market debut, lists at 4% premium on BSE SME

Technichem Organics IPO Listing: Technichem Organics made a muted debut on Dalal Street on Tuesday, January 7, with its shares listing at ₹57.25 each on the BSE SME, a 4% premium over the issue price of ₹55. The stock, however, gained momentum after listing, reaching ₹60.10, which is 9.27% higher than the IPO price.

The SME IPO, valued at ₹25.25 crore, was open for subscription from December 31, 2024, to January 2, 2025, at a price band of ₹52 and ₹55 per share. It consisted solely of a fresh issue of 45.90 lakh newly issued shares, without any offer-for-sale component.

The IPO received a healthy response, with an overall subscription of 425 times. Non-institutional equities investors showed significant interest, subscribing 1,078 times, while retail investors also displayed strong enthusiasm with a subscription of 329 times. The QIB portion was booked 101.49 times, as per the exchange data.

The net proceeds of the fresh issue are proposed to be utilised to fund the capital expenditure requirements towards the setting up of a new plant, repayment or prepayment, in full or in part, of certain borrowings availed by the company from banks, financial institutions, and non-banking financial companies, and general corporate purposes.

About Technichem Organics

The company is mainly engaged in the business of manufacturing a wide range of chemicals, including pyrazoles, pyrazolones, specialty chemicals, pigment & dye intermediates, and air oxidation chemistry that serves multiple industries, including pharmaceuticals, agriculture, coatings, pigments, dyes, and others.

The company boasts a global presence, operating in around 11 countries, with a significant portion of its exports directed towards China. The company in its RHP report said that it is consistently expanding its product portfolio through research and development of Pyrazoles, Pyrazolones, Speciality Chemicals, Pigment & Dye Intermediates and Air Oxidation Chemistry.

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