Ujin Pharma Files IPO Papers With Sebi

New Delhi: Chemical products supplier Ujin Pharma has filed preliminary papers with capital markets regulator Sebi to raise funds through an Initial Public Offering (IPO) in a move to expand its supply chain and chemical processing footprint.

The proposed IPO is a combination of a fresh issue of 1.18 crore shares along with an Offer For Sale (OFS) of 72.82 lakh shares by promoters — Jinesh Rasiklal Sheth and Umang Ketan Mehta, according to the Draft Red Herring Prospectus (DRHP) filed on Monday.

Of the proceeds from the fresh issue, the Mumbai-based Ujin Pharma plans to use Rs 61.7 crore and Rs 21.6 crore to invest in its associate firms — Altra Agro-Chem and Altra Pharma-Chem — respectively, by subscribing to equity shares and thereby making them subsidiaries.

Additionally, Rs 25 crore will be utilised for debt payment, and a portion would be used for general corporate purposes.

Ujin Pharma is primarily engaged in distributing and supplying a diversified portfolio of solvents, speciality chemicals, acids, pharmaceutical raw materials and nutraceuticals.

Its distribution business involves sourcing chemical products from domestic and international suppliers and supplying them to multiple end-use industries, including pharmaceuticals, agrochemicals,specialty chemicals, industrial and automotive, petrochemicals, paints and coatings, printing inks, and packaging.

SMC Capitals and Marwadi Chandarana Intermediaries Brokers have been appointed as book-running lead managers to assist the company with its public issue. The company’s shares will be listed on the National Stock Exchange (NSE) and the BSE.

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