Shanti Inorganics Files DRHP for NSE Emerge IPO; Fresh Issue of 50 Lakh Shares

Ahmedabad | October 1, 2025 – Shanti Inorganics Limited, a specialist in chemicals, submitted its Draft Red Herring Prospectus (DRHP) to the capital markets regulator to launch an initial public offering (IPO) on the NSE Emerge platform. The issue comprises a 100% book-built fresh issue of up to 50,00,000 equity shares of face value ₹10 each.

The price band, subscription window and total fund mobilisation in rupee terms will be announced ahead of the launch. Vivro Financial Services Pvt Ltd is the Book Running Lead Manager (BRLM), and KFin Technologies Ltd will serve as the registrar.

Shanti Inorganics IPO Snapshot

The forthcoming IPO comprises a fresh issue of up to 50 lakh equity shares, all of which will be 100% book-built, with a face value of ₹10 each. The issue price band, opening date, and closing date have not been disclosed yet. The equity shares will be listed on the NSE Emerge platform with Vivro Financial as the BRLM and KFin Technologies as the registrar.

Shanti Inorganics IPO Fund Utilisation

The IPO proceeds will be utilized mainly to invest in a greenfield project at Bavla, Ahmedabad, for the production of sodium metabisulfite, sodium bisulfite powder, and ammonium bisulfite. Of the ₹10,770.88 lakh cost of the project, ₹4,300 lakh will be funded by IPO proceeds, and the rest will be financed through loans, private placement, and internal accruals. The project is likely to be completed by August 2026. The balance will be utilized for the company’s general corporate purposes.

Shanti Inorganics IPO Financials (FY25)

In FY25, the company recorded a total income of ₹5,845.96 lakh and a profit after tax of ₹825.90 lakh, delivering a strong 38% return on equity. With a net worth of ₹2,586.33 lakh, borrowings of ₹2,538.03 lakh, and EPS of ₹8.12, the firm showcased consistent profitability, healthy margins, and growing export-driven demand.

Shanti Inorganics IPO Shareholding

Promoters Manojkumar Jayantilal Patel and Avnish Manojkumar Patel jointly hold 74.85% of pre-issue equity. Including the wider promoter group, the figure stands at 83.65%. Shareholding will dilute post-IPO.

Shanti Inorganics IPO Key Watchpoints

• Completion of the Bavla expansion on or before August 2026.
• Fluctuation in sulphur prices and the ability to pass through costs.
• Reliance on export markets and exposure to foreign exchange risks.
• Environmental and safety compliance across our operations.

Vivro Financial Services Pvt Ltd is acting as the Book Running Lead Manager in pursuance of the IPO process, whereas KFin Technologies Ltd is the registrar to the issue.

Shanti Inorganics Limited, founded in 2010 and renamed in May 2025, produces sulphur-based inorganic chemicals, serving industries such as oil drilling, pharmaceuticals, food, paper, and water treatment. It operates plants at Vatva (16,200 MTPA) and Bavla (18,000 MTPA), with Bavla Phase II adding 31,200 MTPA to boost exports and capacity.

REF: http://nsearchives.nseindia.com/emerge/corporates/content/Registration_26092025222323_SILDRHP.pdf

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