Godavari Biorefineries IPO GMP Today, Date, Price, Subscription Status

Godavari Biorefineries IPO  Overview

Godavari Biorefineries IPO is a book built issue of Rs 554.75 crores. The issue is a combination of fresh issue of 0.92 crore shares aggregating to Rs 325.00 crores and offer for sale of 0.65 crore shares aggregating to Rs 229.75 crores.

Godavari Biorefineries IPO opens for subscription on October 23, 2024 and closes on October 25, 2024. The allotment for the Godavari Biorefineries IPO is expected to be finalized on Monday, October 28, 2024. Godavari Biorefineries IPO will list on BSE, NSE with tentative listing date fixed as Wednesday, October 30, 2024.

Godavari Biorefineries IPO opens on October 23, 2024, and closes on October 25, 2024.

Equirus Capital Private Limited and SBI Capital Markets Limited are the book running lead managers of the Godavari Biorefineries IPO, while Link Intime India Private Ltd is the registrar for the issue.

Refer to Godavari Biorefineries IPO RHP for detailed information

 

Godavari Biorefineries IPO  Important dates

Godavari Biorefineries IPO opens on October 23, 2024, and closes on October 25, 2024.

IPO Open Date	Wednesday, October 23, 2024
IPO Close Date	Friday, October 25, 2024
Basis of Allotment	Monday, October 28, 2024
Initiation of Refunds	Tuesday, October 29, 2024
Credit of Shares to Demat	Tuesday, October 29, 2024
Listing Date	Wednesday, October 30, 2024
Cut-off time for UPI mandate confirmation	5 PM on October 25, 2024

Godavari Biorefineries IPO   Financial Performance

Godavari Biorefineries Limited’s revenue decreased by -15.92% and profit after tax (PAT) dropped by -37.37% between the financial year ending with March 31, 2024 and March 31, 2023.

Godavari Biorefineries IPO  Key Performance Indicator

The market capitalization of Godavari Biorefineries IPO is Rs 1801.39 Cr.

Godavari Biorefineries IPO  Objectives

The Company intends to utilize the Net Proceeds from the Fresh Issue towards funding the following objects (the”Objects”):

1. Repayment/pre-payment, in full or in part, of certain outstanding borrowings availed by the Company; and
2. General corporate purposes.

Godavari Biorefineries IPO  Lot Size

Investors can bid for a minimum of 42 shares and in multiples thereof. The below table depicts the minimum and maximum investment by retail investors and HNI in terms of shares and amount.

Application	Lots	Shares	Amount
Retail (Min)	1	42	₹14,784
Retail (Max)	13	546	₹192,192
S-HNI (Min)	14	588	₹206,976
S-HNI (Max)	67	2,814	₹990,528
B-HNI (Min)	68	2,856	₹1,005,312

Godavari Biorefineries IPO  Details

IPO Date	October 23, 2024 to October 25, 2024
Listing Date	[.]
Face Value	₹10 per share
Price Band	₹334 to ₹352 per share
Lot Size	42 Shares
Total Issue Size	15,759,938 shares (aggregating up to ₹554.75 Cr)
Fresh Issue	9,232,955 shares (aggregating up to ₹325.00 Cr)
Offer for Sale	6,526,983 shares of ₹10 (aggregating up to ₹229.75 Cr)
Issue Type	Book Built Issue IPO
Listing At	BSE, NSE
Share holding pre issue	41,943,023
Share holding post issue	51,175,978

Godavari Biorefineries  Company Overview and Services

Incorporated in 1956, Godavari Biorefineries Limited is a leading manufacturer of ethanol-based chemicals in India. By June 30, 2024, the company operated an integrated biorefinery with a production capacity of 570 KLPD for ethanol.

As of March 31, 2024, Godavari Biorefineries holds the title of the world’s largest producer of MPO, based on installed capacity. It is one of only two global manufacturers of natural 1,3-butanediol and the sole producer of bio ethyl acetate in India.

The company’s diverse product portfolio includes bio-based chemicals, sugar, ethanol in various grades, and power, catering to industries such as food, beverages, pharmaceuticals, personal care, cosmetics, flavours and fragrances, power, and fuel.

Godavari Biorefineries has three R&D facilities registered with the Department of Scientific and Industrial Research (DSIR). These facilities are located at Sakarwadi, Sameerwadi, and Navi Mumbai. As of June 30, 2024, the company employs 52 permanent research staff, including 8 PhD-level scientists.

With 18 patents and 53 registrations across different countries as of October 2024, Godavari Biorefineries continues to innovate and lead in its industry.

The company’s notable clients include Hershey India Pvt Ltd, Hindustan Coca-Cola Beverages Private Limited, LANXESS India Private Limited, and IFF Inc. among others. They serve customers in over 20 countries, including Australia, China, Germany, France, the UK, the US, and more.

Godavari Biorefineries operates two manufacturing facilities, one in Bagalkot, Karnataka, and the other in Ahmednagar, Maharashtra. As of June 2024, the company employs 1,583 permanent employees, including 437 semi-skilled and unskilled workers.

Godavari Biorefineries IPO  SWOT Analysis

Strengths:

1. Industry Leadership: Godavari Biorefineries is the world’s largest producer of MPO, highlighting its dominant position in the market.
2. Product Diversification: The company offers a diverse range of products, including bio-based chemicals, ethanol, sugar, and power, serving industries such as food, pharmaceuticals, personal care, and cosmetics.
3. R&D Capabilities: With three DSIR-registered R&D facilities and a strong research team of 52 employees, including 8 PhD-level scientists, Godavari Biorefineries is well-equipped for innovation and product development.
4. Global Clientele and Reach: The company serves marquee clients like Hershey India, Hindustan Coca-Cola, and LANXESS, and operates in over 20 countries, enhancing its global footprint.
5. Patents and Registrations: With 18 patents and 53 product/process registrations across various countries, the company demonstrates strong intellectual property and innovation.

Weaknesses:

1. Dependence on Raw Materials: As a producer of ethanol-based chemicals, the company may face challenges related to the availability and pricing of raw materials like sugarcane, impacting production costs.
2. Limited Manufacturing Locations: Operating only two manufacturing facilities (Karnataka and Maharashtra) could pose risks related to regional disruptions or limitations in scalability.
3. High Workforce in Semi/Unskilled Labor: Of the 1,583 employees, 437 are semi-skilled or unskilled, which could pose a challenge in terms of efficiency, skill development, and innovation capacity.

Opportunities:

1. Rising Demand for Bio-Based Chemicals: With increasing global interest in sustainable and eco-friendly products, the demand for bio-based chemicals, ethanol, and green energy solutions is likely to grow, providing expansion opportunities.
2. Expanding into New Markets: The company’s presence in over 20 countries can be further expanded into new markets, leveraging its strong product portfolio and established reputation.
3. Innovation in Renewable Energy: With its focus on bioethanol and green chemicals, Godavari Biorefineries can capitalize on trends in renewable energy and sustainable practices, leading to potential growth in the clean energy sector.
4. Patents and R&D Expansion: With a strong R&D backbone, the company can further leverage its patents and scientific talent to develop new products and improve existing ones, especially in high-growth industries like personal care and pharmaceuticals.

Threats:

1. Market Competition: Intense competition from global players in the bio-chemicals and ethanol markets could pressure pricing and market share.
2. Regulatory Changes: Changes in government regulations regarding ethanol production, biofuel policies, or environmental regulations could impact operations or profitability.
3. Volatility in Raw Material Supply: Dependence on agricultural products like sugarcane subjects the company to risks from fluctuating raw material availability, weather conditions, or pricing, which could affect production stability.
4. Economic Uncertainty: Global economic fluctuations, trade policies, or disruptions in key markets (e.g., the US, Europe) may impact export revenues and operational costs.

Godavari Biorefineries IPO GMP Details

What is IPO GMP?

The grey market premium (GMP) reflects the unofficial trading price of an IPO before its listing, offering insights into its potential market performance. A positive GMP indicates that the IPO may yield profits, while a negative GMP suggests a possible discount upon listing. However, it’s essential to recognize that IPO GMP can be highly volatile. Therefore, investors should not make decisions solely based on the GMP but should thoroughly assess all relevant factors before investing.

Godavari Biorefineries IPO Subscription status 

Godavari Biorefineries IPO subscribed 0.56 times. The public issue subscribed 1.00 times in the retail category, 0.00 times in QIB, and 0.27 times in the NII category by October 24, 2024 7:02:07 PM.

Total Application : 1,02,719

Note:

• *: “Shares Offered” and “Total Amount” are calculated based on the upper price of the issue price range.

• **: The portion of anchor investors (or market makers) is not included in the total number of shares offered.

Godavari Biorefineries IPO  Allotment status

The allotment status of Godavari Biorefineries IPO is expected to be available on October 28, 2024.

Godavari Biorefineries Contact Details

Godavari Biorefineries Limited
Somaiya Bhavan,
45/47, M.G. Road
Fort, Mumbai – 400001
Phone: +91 22 6170 2177
Email: investors@somaiya.com
Website: https://www.godavaribiorefineries.com/

Disclaimer: Investing in Initial Public Offerings (IPOs) involves substantial risk, and financial returns are not guaranteed. The information provided should not be construed as financial or investment advice. Prospective investors are advised to consider their financial situation, investment objectives, and risk tolerance before participating in an IPO. It is recommended to consult with a qualified financial advisor or professional before making any investment decisions. Past performance is not indicative of future results. Investments in IPOs may be subject to market risk, including the potential loss of principal.

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