Heranba IPO GMP Today, Check Daily Movement

Republished By Plato

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For next week, investors have Heranba Industries IPO to look forward to. The IPO opens on 23 February and is priced in the range of INR626 – 627 per share. Unlike Nureca IPO where retail investors got only 10% allocation, 35% of the shares are reserved for small investors in Heranba IPO. The crop protection chemical player plans to raise INR625.24 crore at the upper end of the price band. It also helps that the company has attracted premium in the informal market. According to latest information, Heranba IPO GMP is around 30% of the IPO price, making it attractive for investors.

Heranba Industries IPO details

Subscription Dates	23 – 25 February 2021
Price Band	INR626 – 627 per share
Fresh issue	INR60 crore
Offer For Sale	90,15,000 shares (INR564.34 – 565.24 crore)
Total IPO size	INR624.34 – 625.24 crore
Minimum bid (lot size)	23 shares
Face Value	INR10 per share
Retail Allocation	35%
Listing On	NSE, BSE

The company is a leading producer of synthetic pyrethroids
like cypermethrin, alphacypermethrin, deltamethrin, permitherin, lambda
cyhalothrin in the domestic market. In addition, it exports its products to
over 60 countries in Latin America, CIS, Middle East, Africa, Asia and South
East Asia.

Heranba counts various domestic and multinational agrochemical companies among its clients including Sumitomo Chemical, Sulphur Mills, Biostadt India, Crystal Crop Protection, NACL Limited (Formerly Nagarjuna Agrichem Limited), Sharda Cropchem, Meghmani Organics, and PI Industries.

Heranba IPO GMP (Grey Market Premium) rates

Date	GMP (in INR)	Kostak (in INR)	Subject to Sauda (in INR)
4 Mar 2021	210	350	–
3 Mar 2021	220	350	3,500
2 Mar 2021	200	350	3,500
1 Mar 2021	180	300	3,000
27 Feb 2021	170	300	3,000
26 Feb 2021	140	–	–
25 Feb 2021	150	220	–
24 Feb 2021	130	200	–
23 Feb 2021	100	–	–
22 Feb 2021	160	250	–
20 Feb 2021	200	250	–
19 Feb 2021	200	250	–
18 Feb 2021	170	200	–
17 Feb 2021	185	250	–
16 Feb 2021	160	200	–

Chemical players are enjoying special attention in the stock
market, especially in the aftermath of China following a “Blue Sky” policy and shutdown
of several chemical plants. Late last year, Chemcon Specialty Chemicals
IPO listed with 115% gains underlining the growing valuation comfort for profitable
businesses.

Meanwhile, Heranba Industries has also shown a similar improvement in profitability and the government’s continued focus on agriculture sector is likely to be helpful for it.

Heranba Industries’ financial performance (in INR crore)

	FY2018	FY2019	FY2020	H1 FY2021
Revenue	750.4	1,011.8	967.9	619.2
Expenses	674.1	889.7	839.1	529.1
Net income	47.0	75.6	97.4	66.3
Net margin (%)	6.3	7.5	10.1	10.7