Agricon Nutritech IPO Details
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Schedule of Agricon Nutritech IPO
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Allotment of bids
Refund Initiation
Listing on exchange
About Agricon Nutritech IPO
Agricon Nutritech Limited IPO is an IPO of TBA. It consists of a fresh issue of 40,00,000 equity shares. The listing of shares will take place on TBA. The shares will be allotted on TBA. The credit of shares to the demat account will take place on TBA, and the initiation of refunds will take place on TBA.
Objective of Agricon Nutritech IPO
- Funding of capital expenditure towards civil construction work to set up a new manufacturing facility.
- Funding of capital expenditure towards the installation of new plant and machinery.
- To meet working capital requirements.
- General corporate purpose.
Agricon Nutritech IPO Valuation
| Detail | Information |
|---|---|
Upper Price Band (₹) | TBA |
Existing Shares to be Sold | -- |
Fresh Issue | 40,00,000 Equity Shares |
EPS (₹) For the year ended March 31, 2024 | 3.59 |
Agricon Nutritech IPO Share offer and Subscription Details
| Investor Category | Shares Offered |
|---|---|
QIBs Share Offered | Not more than 50% |
Non-Institutional Investors (NIIs) | Not less than 15% |
Retail Individual Investors | Not less than 35% |
Industry Outlook
The Indian fertiliser industry is on a robust growth trajectory, projected to reach US$1,658 crore (₹1,38,000 crore) by 2032, with a CAGR of 4.2% from 2024 to 2032. FY24 saw fertiliser production reach 4.52 crore tonnes, reflecting the success of government policies. As the world's second-largest producer of fruits and vegetables, India benefits from initiatives like PM-KISAN and PM-Garib Kalyan Yojana, which enhance farmer liquidity and fertiliser investment, supported by the United Nations Development Programme for their contributions to food security. The geopolitical landscape and domestic production focus, particularly on nano-liquid urea, have significantly influenced India's fertiliser market. The Union Minister of Health and Family Welfare, Mr Mansukh Mandaviya, announced plans to increase the number of nano-liquid urea plants to 13 by 2025, with a production target of 44 crore bottles of 500 ml nano urea and DAP. Aligning with AtmaNirbhar Bharat, urea imports declined by 7%, DAP by 22%, and NPKs by 21% in FY24. The government mandates 100% neem coating on subsidised urea to enhance efficiency and prevent misuse.
Company Information
Agricon Nutritech Limited specialises in supplying micronutrients for soil health solutions. They initially focused on providing micronutrients to sugar mills for sugarcane production, which helped avoid a variety of soil-borne diseases, including wilt disease. Under the leadership of their promoter, Narendra Laljibhai Ghelani, they have broadened their product portfolio to include micronutrients, soluble fertilisers, biofertilisers, and advanced biopesticides. Looking ahead, as they engage in the Nutritech farming approach, their commitment remains to producing organic, nutrient-rich superfoods and fortified foods for the future of sustainable agriculture. They have the advantage as one of the early movers in organic solutions and specialty plant nutrients, allowing them to provide value to their stakeholders. Agricon Nutritech Limited offers a diverse range of products to support various aspects of agriculture. These include soil health management solutions, crop nutrition products, biostimulants, and biopesticides. They offer an extensive range of 30+ products, including solutions for soil health management, crop nutrition, biostimulants, and biopesticides, all designed to support sustainable and productive farming practices with low pesticide residues. Emphasising eco-friendly practices, they promote sustainable agriculture by reducing chemical runoff and preserving soil fertility in the long term for the next generation.
Agricon Nutritech IPO Strengths
They have a wide product base for soil and crop-related issues.
Established distribution network.
Their products are the result of extensive research and production facilities by third-party manufacturers they engage.
Farmers who use their products benefit from their guidance and customized solutions, which ensure they achieve good yield for their crops.
Risks of Agricon Nutritech IPO
Any change in government policies towards the agriculture sector or a reduction in subsidies and incentives provided to farmers could adversely affect their business and results of operations.
Their business is seasonal in nature, and adverse weather conditions or other force majeure events could significantly impact their profitability.
Natural disasters, fires, epidemics, pandemics, acts of war, terrorist attacks, civil unrest and other events could materially and adversely affect their business.
All Financial Information about Agricon Nutritech IPO
Comparison with peers
| Parameter | Agricon Nutritech Ltd | Aries Agro Ltd | Basant Agro Tech (India) Ltd |
|---|---|---|---|
Total Income for the year ended March 31, 2024 (₹in crores) | 29.914 | 514.062 | 406.988 |
P/E | - | 14.44 | 42.48 |
EPS (Diluted) (₹) | 3.59 | 16.77 | 0.43 |
Return on Net Worth (%) | 47.72% | 9.18% | 2.27% |
Book Value (₹) | 7.53 | 190.54 | 19.22 |
Anchor Investor Information
The Anchor Investor Bid/ Issue Period shall be one Working Day prior to the Bid/ Issue Opening Date.
IPO Registrar and Book Running Lead Managers
Book running lead managers:
Getfive Advisors Private Limited
Registrar for the IPO is Maashitla Securities Private Limited
Business Model
The company earns its revenue through the following sources:
Procuring, distributing, and marketing a wide range of product categories consisting of (a) soil health management products like Organic Potash, Biological-Microbial inoculums, Soil Conditioners, Soil organic carbon, and humic acid-based products; (b) crop nutrition products like Primary Nutrients (NPK), Secondary Nutrients (Ca-Mg-S), Soil Application Mix micronutrients, Nutri kits, Single Micronutrient; (c) biostimulant products; (d) biopesticide products.
Company Growth Trajectory
Total income for the financial year 2023-24 stood at ₹29.91 crores as compared to ₹26.08 crores in the financial year 2022-23, representing an increase of 14.72%. During the financial year 2023-24, the revenue from operations of the company increased to ₹29.91 crores as against ₹26.01 crores in the financial year 2022-23, representing an increase of 15.01%. During the financial year 2023-24, the other income of the company decreased to ₹0.0011 crores as against ₹0.067 crores in the financial year 2022-23, representing a decrease of 98.42%. Restated Profit After Tax (PAT) for the financial year 2023-24 was ₹3.72 crores as compared to restated profit after tax of ₹0.30 crores during the financial year 2022-23.
Company Market Position
Under the leadership of their Promoter, Narendra Laljibhai Ghelani, they have broadened their product portfolio which includes micronutrients, soluble fertilisers, biofertilisers, and advanced biopesticides.
Currently, the company offers a diverse range of over 100 agri-input products and maintains a strong distribution network with more than 1100+ distributors solely in Gujarat. Looking ahead, they plan to expand their reach to pan-India, aiming to serve a broader base of farmers and enhance productivity through education and support.
As of 31st March 2024, the company’s Revenue from Operations, EBITDA and Profit After Tax was ₹ 29.914 crores, ₹ 5.128 crores, and ₹ 3.717 crores, respectively.
Agricon Nutritech IPO Company Profit & Loss
| Parameter | FY22 | FY23 | FY24 |
|---|---|---|---|
Revenue from operations (₹crores) | 20.235 | 26.009 | 29.914 |
Profit Before Tax (₹crores) | 0.322 | 0.414 | 4.978 |
Net profit / (loss) (₹crores) | 0.241 | 0.300 | 3.717 |
EBITDA (₹crores) | 0.466 | 0.828 | 5.128 |
EPS (₹) | 0.23 | 0.29 | 3.59 |
Agricon Nutritech IPO Cash Flow
| Parameter | FY22 | FY23 | FY24 |
|---|---|---|---|
Profit before tax (₹crores) | 0.322 | 0.414 | 4.978 |
Net Cash from Operating Activities (₹crores) | 0.643 | 0.680 | (0.741) |
Net Cash from Investing Activities (₹crores) | 0.053 | (0.020) | (0.050) |
Net Cash from Financing Activities (₹crores) | (0.763) | 0.367 | 0.131 |
Cash and Cash Equivalents (₹crores) | 0.008 | 1.035 | 0.374 |
How To Check Allotment Status of Agricon Nutritech IPO?
You can check the allotment status of shares either on the website of the National Stock Exchange (NSE) or on the website of the registrar Maashitla Securities Private Limited. To check the status on the NSE website:
- Visit the NSE website
- Click on “Investor Services” and choose “Application Status Check”
- Choose the issue type — Equity or Debt (Equity in this case)
- Select the Issue Name from the drop-down. The issue name is the company’s name, which is Agricon Nutritech Limited
- Enter your application number or PAN number
- Check the box which says “I’m not a Robot” and click on “Search” to know the allotment status
Follow these steps to know the allotment status on the registrar’s website:
- Visit the Maashitla Securities Private Limited website
- Choose “Public Issues” from the “Investor Services” drop-down
- Select Agricon Nutritech Limited from the drop-down
- Enter your PAN number or Application number
- Click on “Submit” to know the allotment status
How to Apply for Agricon Nutritech IPO?
To apply for this IPO:
- Step 1: Log in to your Kotak Securities Demat account: Log in to your Demat account to access IPO investments. Next, select the current IPO section
- Step 2: Specify IPO details: Enter the number of lots and the price you wish to apply for
- Step 3: Enter UPI ID: After entering your UPI ID, click submit. This will place your bid with the exchange
- Step 4: Mandate Notification: Your UPI app will receive a mandate notification to block funds
- Step 5: Approve Request: Your funds will be blocked once you approve the mandate request on your UPI
This article is for informational purposes only and does not constitute financial advice. It is not produced by the desk of the Kotak Securities Research Team, nor is it a report published by the Kotak Securities Research Team. The information presented is compiled from several secondary sources available on the internet and may change over time. Investors should conduct their research and consult with financial professionals before making any investment decisions. Read the full disclaimer here.
Investments in the securities market are subject to market risks, read all the related documents carefully before investing. Please read the SEBI-prescribed Combined Risk Disclosure Document before investing. Brokerage will not exceed SEBI’s prescribed limit.
Agricon Nutritech IPO FAQs
What is the Agricon Nutritech Limited IPO?
The Agricon Nutritech Limited IPO has an issue size of TBA. The IPO opens for subscription on TBA and closes on TBA.
Who is the Registrar for Agricon Nutritech Limited IPO?
Maashitla Securities Private Limited is the registrar for this IPO.
Where can I read more about Agricon Nutritech Limited business?
You may read more about Agricon Nutritech Limited and its IPO from the company’s draft red herring prospectus (DRHP) here.
