Yasons Chemex Care IPO Final Subscription Status

The IPO of Yasons Chemex Care Ltd closed on Wednesday, 26th July 2023. The IPO had opened for subscription on 24th July 2023. Let us look at the final subscription status of Yasons Chemex Care Ltd at the close of subscription on 26th July 2023.

Quick note on Yasons Chemex Care IPO

The ₹20.57 crore IPO of Yasons Chemex Care IPO comprises entirely of a fresh issue of shares. The fresh issue component of the IPO of Yasons Chemex Care Ltd entails issue of 51.42 lakh shares at which at the fixed IPO price of ₹40 per share aggregates to ₹20.57 crore. Since there is no offer for sale (OFS) component, the fresh issue size is also the total size of the IPO. The stock has a face value of ₹10 and retail bidders can bid in minimum lot size of 3,000 share each. Thus, the minimum investment of ₹120,000 in the IPO is the base limit. That is also the maximum that a retail investor can apply for in the IPO.

HNIs can invest in 2 lots of 6,000 shares worth ₹240,000 as the bare minimum investment. There is no upper limit for the HNI / NII category. Yasons Chemex Care Ltd will deploy the funds for working capital needs of the company and for general corporate purposes. Post the IPO, the promoter equity in the company will get diluted from 70.16% to 51.47%. The issue is lead managed by Fedex Securities Private Ltd, while KFIN Technologies Ltd will be the registrars to the issue. Let us now turn to the final subscription details of the IPO as of the close of subscription on 26th July 2023.

Final subscription status of Yasons Chemex Care IPO

Here is the final subscription status of the Yasons Chemex Care Ltd IPO as at close on 26th July 2023, at 17.30 hours.

The issue was only open for retail investors and for the HNI / NIIs. There was a broad quota designed for each of the segments viz. the QIBs, the retail and the HNI NII. The table below captures the allocation reservation done for each of the categories out of the total number of shares offered in the IPO.

Since there is no anchor portion in the IPO and also no specific QIB allocation, the entire issue, other than the 5.25% allocated to the market makers (Nikunj Stock Brokers in this case), were for the public issue only. The market maker uses the shares to offer buy and sell quotes on the counter post listing so as to keep the counter liquid and reduce the basis risk of trading in the stock.

The oversubscription of the IPO was dominated by the retail investors followed by the HNI / NIIs in that order. The table below captures the day-wise progression of the subscription status of Yasons Chemex Care Ltd IPO.

It is clear from the above table that while the retail portion got fully subscribed on the first day of the IPO itself, the HNI / NII portion got fully subscribed only on the second day. There was no dedicated QIB portion in this IPO. However, the overall IPO was fully subscribed on the first day itself although most of the traction was seen on the last day from the retail investors as well as the NII / HNI investors. Both the categories of investors viz., HNIs / NIIs and the retail categories saw good traction and build up of interest on the last day of the IPO. There is an allocation of 270,000 shares to Nikunj Stock Brokers Ltd for market making, which has been carved out separately from the overall IPO quota.

The IPO of Yasons Chemex Care Ltd opened for subscription on 24th July 2023 and closed for subscription on 26th July 2023 (both days inclusive). The basis of allotment will be finalized on 31st July 2023 and the refunds will be initiated on 01st August 2023. In addition, the demat credits are expected to happen on 02nd August 2023 and the stock is scheduled to list on 03rd August 2023 on the NSE SME segment. This is the segment, in contrast to the mainboard, where IPOs of small and medium enterprises (SMEs) are incubated.

A quick word on Yasons Chemex Care Ltd and the SME IPO

Yasons Chemex Care IPO on the NSE which has opened for subscription on 24th July 2023. The company, Yasons Chemex Care Ltd, was incorporated in in the year 2017 to manufacture dyes and pigment paste and other related FMCG products. Under the dyes segment, Yasons Chemex Care Ltd manufactures a wide spectrum of dyes including basic dyes, reactive dyes, food colourants, direct dyes, and VAT dyes. They even offer multiple shades of these dyes. Yasons Chemex Care Ltd is into the manufacture and supply of natural dyes, synthetic dyes, and synthetic organic dyes.

The FMCG segment of the company also manufactures products such as hair oil, perfumes, deodorant, handmade soap, and sanitizers under its proprietary brand name PLXO. It also trades in dyes, pigment, and pigment paste for meeting customer requirements. Yasons Chemex Care Ltd has 2 manufacturing facilities in Gujarat. It manufactures dyes and pigment paste at GIDC, Vatva, Ahmedabad with 650 MTPA capacity. FMCG products are made at its Sanand facility with installed capacity of 350 LTR per annum. The fresh funds will be used by the company to fund its working capital needs and general corporate purposes.