Sigachi Industries Limited IPO

 

Sigachi Industries IPO

Incorporated in 1989, Sigachi Industries is one of the leading manufacturers of pharmaceutical excipients in India. The company is well-known for its Microcrystalline Cellulose, used in a host of medicinal, food, cosmetics, and nutraceuticals purposes. Sigachi Industries manufactures MCCs of different grades starting from 15 to 250 microns. Additionally, the company markets these products under the brands AceCel, and HiCel. Currently, the company has manufacturing units in Gujarat and Hyderabad capable of producing MCCs of 59 grades. It also has an in house research and development team capable of creating new products. Sigachi Industries has 3 manufacturing units, one in Hyderabad and two in Gujarat. As of March 2021, the company has a total manufacturing capacity of 13,128 MTPA spreading across 3 locations.

Furthermore, Sigachi Industries exports about 60% of its total production in markets spreading over more than 40 countries across the globe. Also, the company has a subsidiary in the USA, operating under the name of Sigachi US Inc.

Sigachi Industries IPO Objectives

- To expand the production capacity of Dahej unit in Gujarat by investing Rs. 28.15 crores

- To increase the production capacity of Jhagadia facility by investing Rs. 29.24 crores

- Meeting the capital expenditure requirements to produce CCS at the proposed unit by investing Rs. 32.29 crores

- Meeting general corporate purposes

Sigachi Industries IPO - Details

The speciality Microcrystalline Cellulose manufacturer is planning to gather about Rs. 125 crores through an initial public offering. This IPO will include 7,695,000 fresh issue equity shares at a face value of Rs. 10 per share. This IPO will go live on 1 November 2021 and close on 3 November 2021. You can find the entire IPO timeline in the table mentioned below. Sigachi Industries have appointed Saffron Capital Advisors Private Limited as its book running lead manager. Additionally, Bigshare Services Private Limited is the registrar of this public issue.

Opening Date: Nov 1, 2021

Closing Date: Nov 3, 2021

Price Band: ₹161 to ₹163 per equity share

Issue Size: ₹ 125.43 Cr

Face Value: ₹ 10per equity share

Market Lot: 90 Shares

Listing at NSE, BSE

Sigachi Industries IPO Important Dates

IPO Open Date	Nov 1, 2021
IPO Close Date	Nov 3, 2021
Basis Of Allotment Date	Nov 10, 2021
Initiation Of Refunds	Nov 11, 2021
Credit Of Shares To Demat ACcount	Nov 12, 2021
IPO Listing Date	Nov 15, 2021

 

Why Should You Invest in Sigachi Industries IPO?

Here are some reasons to invest in the public issue of Sigachi Industries –

1. Sigachi Industries is a leader in its business vertical, i.e. producing Microcrystalline Cellulose.
2. The company has been in operations for 30 years, serving a clientele spreading across the world.
3. Along with an experienced management team, it also houses a strong research and development team helping it to cater to new demands.
4. With the IPO, Sigachi Industries plan to increase the production capacity of its units in Dahej and Jhagadia by 3,600 MTPA. It will increase their capacity to 7,890 MTPA, and 5,760 MTPA, respectively.
5. Sigachi Industries has a diverse product portfolio, producing MCCs of 59 grades.

How to apply for IPO?

You can apply for the IPO in these ways:

UPI
Link your bank account to a reliable UPI ID and register it with your Angel One account. Proceed to book PolicyBazaar IPO shares using the ID, confirm the payment on the UPI app, and block the amount for allotment.

Demat Account

1. If you’re a new investor open demat account for free with Angel One using link https://tinyurl.com/k79bdf4z to begin your investment journey.