Prasol Chemicals Files DRHP for ₹500 Crore IPO

Mumbai, October 15, 2025: Parasol Chemicals Limited has announced that it has filed its Draft Red Herring Prospectus (DRHP), with the Securities and Exchange Board of India (SEBI) for raising ₹500 crore (₹5,000 million). The issue includes a fresh issue aggregating up to ₹800 million and an offer for sale (OFS) of shares worth ₹4,200 million by existing shareholders.

The listing of the shares is proposed on NSE and BSE. DAM Capital Advisors Ltd is the Book Running Lead Manager (BRLM), and KFin Technologies Ltd is the registrar of the issue. As per the DRHP, not more than 50% of the offer shall be reserved for Qualified Institutional Buyers (QIBs), not less than 15% for Non-Institutional Investors (NIIs), and at least 35% for Retail Individual Investors (RIIs).

The company will utilise the IPO proceeds mainly for repayment and prepayment of certain borrowings, and the balance for general corporate purposes.

Parasol Chemicals Limited is an Indian company that manufactures and exports specialty chemicals and phosphorus-based derivatives. The company was established in 1992, and is headquartered in Mumbai, Maharashtra.

Prasol Chemicals Revenue At ₹3,195.60 Million While PAT At ₹243.37 Million

Revenue from operations stood at ₹3,195.60 million in Q1 FY26, ₹10,124.94 million in FY25, ₹8,765.65 million in FY24, and ₹9,300.82 million in FY23. Operating EBITDA was ₹406.01 million in Q1 FY26, ₹877.66 million in FY25, ₹605.28 million in FY24, and ₹869.51 million in FY23. The EBITDA margin stood at 12.71% in Q1 FY26, 8.67% in FY25, 6.91% in FY24, and 9.35% in FY23.

Profit after tax came in at ₹243.37 million in Q1 FY26, ₹435.69 million in FY25, ₹181.31 million in FY24, and ₹485.88 million in FY23.

The PAT margin was 7.62% in Q1 FY26, 4.30% in FY25, 2.07% in FY24, and 5.22% in FY23. The net debt-to-equity ratio stood at 0.28x in Q1 FY26, 0.23x in FY25, 0.22x in FY24, and 0.53x in FY23. Adjusted RoCE stood at 7.08% in Q1 FY26, 14.95% in FY25, 12.61% in FY24, and 14.84% in FY23.

Overall, the company showed steady growth and margin recovery, with exports contributing around 28% of total revenue and operations spanning more than 50 countries.

Prasol Chemicals Comparison With Listed Peers

Parasol Chemicals reported a revenue of ₹1,012.5 crore and a net profit of ₹43.57 crore. Its Earnings Per Share (EPS) stood at ₹7.51, and its Return on Net Worth (RoNW) was 12.57%. When compared to its competitors, Aarti Industries had the highest revenue and profit at ₹8,423 crore and ₹610.8 crore, respectively, with a Price-to-Earnings (P/E) ratio of 32.34. Fine Organic Industries had a revenue of ₹7,271.3 crore, a profit of ₹354.8 crore, and a P/E of 41.41.

Galaxy Surfactants reported revenue of ₹3,950.4 crore, a profit of ₹306.6 crore, and had the highest Return on Net Worth of the group at 15.23%. Vinati Organics showed revenue of ₹2,242.2 crore, a profit of ₹308.4 crore, and had the highest P/E ratio at 43.10.

The upcoming IPO for Parasol Chemicals aims to achieve two main goals for the company: strengthening its financial position and increasing its brand recognition within the specialty chemicals industry. Additionally, the public listing will allow some of its current shareholders to sell a portion of their stake in the company.

REF: https://www.bseindia.com/corporates/download/322750/IPO Prior/PrasolChemicalsDRHP_20251015015709.pdf

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