ipos next week: IPO Calendar: The primary market continues to be vibrant – 2 new issues and 6 quotations next week

The primary market remains vibrant even in the face of the general election, as reflected in the strong reactions to some IPOs launched in the previous weeks. The momentum will continue next week despite overall market uncertainty.

In the motherboard segment, the Rs 130-crore Kronox Lab Sciences offering will open next week, while the Sattrix Information Security edition will open in the SME segment.

In addition to two new public offerings, six companies will also appear on the D-Street exchanges next week.

Looking ahead, analysts say the market may see a wave of IPOs from both new-age companies and traditional sectors.

“We are optimistic about the post-election results of the primary market. There are several factors that lead us to believe this. First, there was an increase in domestic capital. Subsequently, management practices are improving and the Indian entrepreneurial spirit is flourishing, along with government policy support, especially when it comes to FDI,” said Mahavir Lunawat, Managing Director, Pantomath Capital.Here’s what’s on the IPO table next week:

The initial public offering (IPO) of Kronox Lab Sciences will open for subscription on June 3 and close on June 5. The company has set a price band of Rs 129-136 per share at which investors can bid for 110 shares in one tranche.

The issue is a total offer for sale of 95.7 lakh shares, through which the company plans to raise around Rs 130 crore.

The offering is being made through a book-building process under which 50% of the offering will be available for allocation to qualified institutional buyers, 15% to non-institutional investors and 35% to retail investors.

As a manufacturer of high purity specialty chemicals, Kronox products find use in a broad spectrum of industries for diverse applications such as pharmaceutical formulations, active pharmaceutical ingredients, biotechnology, scientific research and testing, nutraceuticals, personal care, agrochemicals, animal health, metallurgy, among others .

Operating completely debt-free, Kronox achieves an after-tax profit margin of over 15%. Interestingly, Kronox has an impressive track record of two share buybacks and a bonus issue over the last four financial years.

In FY2023, Kronox generated consolidated revenue from operations of Rs 95.6 crore, growing at a CAGR of 24% over FY2021-2023. The company achieved an EBITDA of Rs 22 crores and an EBITDA margin of 23%.

Pantomath Capital Advisors is the lead book-running manager for the Kronox Lab Sciences IPO, and Kfin Technologies is the registrar.

SME segment

In the SME segment, the Sattrix Information IPO will launch on June 5 and will be available for public subscription until June 7.

The IPO, priced at Rs 121 apiece, is a completely new equity sale of 18 lakh shares.

Sattrix Information Security is dedicated to developing customer-centric cybersecurity solutions to protect customers from cyberattacks. The company offers security management, assessment and consulting services as well as professional services tailored to client needs.

Isk Advisors is the lead book-running manager of SattrixIPO, while Bigshare Services is the registrar.