Paramesu Biotech IPO: Files DRHP to SEBI for Upcoming IPO

Paramesu Biotech Limited has filed its DRHP with SEBI to prepare for its upcoming public issue. This upcoming IPO is offering a fresh issue of equity share worth up to Rs 520 cr and an Offer for sale of equity shares worth up to Rs 80 cr.

The total aggregate size of a public issue in rupees is up to Rs 600 cr, whereas the total no. of equity shares that will be issued by the company is not yet disclosed.

This IPO will follow the book-building process, with not more than 50% of the offer reserved for Qualified Institutional Buyers (QIBs), not less than 15% for Non-Institutional Investors (NIIs), and not less than 35% for retail investors is reserved.

Paramesu Biotech IPO open date and close date is not yet declared. The price band & lot size will be revealed soon by the company. The Shares to be offered through the Red Herring Prospectus are proposed by the company to be listed on the BSE and NSE exchange.

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About Paramesu Biotech Limited

Paramesu Biotech Limited, established in 2011, is a leading manufacturer of maize-based speciality products in India. The diversified portfolio of the company includes maize starch, corn gluten meal, and several others. Such a diversified portfolio will cater to diverse industries, including food, pharmaceuticals, paper, and animal nutrition. Coupled with its state-of-art facility in Andhra Pradesh, Paramesu promises assured high-quality production, as it meets strict standards and certifications as ISO 9001:2015 and FSSAI. The company is committed to sustainability and innovation towards effectively meeting global market demands. Recently accredited as a "Great Place to Work, "Paramesu Biotech maintains its continued expansion into an international footing on customer satisfaction and stakeholder value.

Paramesu Biotech IPO Objectives 

The company plans to utilize the Net Proceeds from the issue to fund capital expenditures for setting up a new 1200 TPD plant in Mohasa – Babai, District Narmadapuram, Madhya Pradesh, with an estimated investment of ₹330 crore. Additionally, ₹85 crore will be allocated for the repayment or prepayment of certain borrowings. The remaining funds will be used for general corporate purposes.

Paramesu Biotech Limited Financials Performance

Paramesu Biotech financials show decent performance for the FY ended 2024, compared to FY 2023:

1.  Assets increased from Rs 319.17 crores in March 2023 to Rs 439.68 crores in March 2024, a 37.76% increase.

2.  Revenue increased from Rs 623.93 crores to Rs 627.85 crores, a 0.63% increase.

3.  Profit After Tax (PAT) increased from Rs 32.52 crores to Rs 40.34 crores, a 24.02% increase.

4.  Total Borrowing increased from Rs 140.56 crores to Rs 205.88 crores, a 20.85% increase.

Lead manager(s) and Registrar of Paramesu Biotech IPO

The IPO is managed by Pantomath Capital Advisors Private Limited, which is the book-running lead manager for this public issue. The company has appointed Bigshare Services Private Limited as the registrar for this public issue.

Promoters of Paramesu Biotech Limited

Unimark Business Solutions Private Limited, Speedfast Tracom Limited, Ananda Swaroop Adavani, Mani Swetha Tetali And Himabindu Tetali identifiable promoter (s). They collectively hold 91.68% of the company's shares. However, post-IPO changes in their shareholding have not yet been disclosed in the Prospectus filed by the company with SEBI. To read the full DRHP, click here.

Also Read:

• What is DRHP?
• What is IPO GMP?
• What is IPO?