Aether IPO

Aether Industries Ltd.

₹14,030 /23 sharesMinimum Investment

Aether IPO Listing Details

Listed OnIssue PriceListing PriceListing Gains
BSE & NSE₹642.00₹704.00₹62.00 (9.66%)

Aether IPO Details

Bidding DatesMin. InvestmentLot SizePrice Range
24 May ‘22 - 26 May ‘22₹14,03023₹610 - ₹642
Issue SizeIPO Doc
808.00Cr
RHP PDF

Subscription Status As on 26 May '22, 5:00 PM

  • Retail Individual Investor
    1.14x
  • Non-Institutional Investor
    2.52x
  • Qualified Institutional Buyers
    17.57x
  • Employees
    1.06x
  • Total
    6.26x

About Aether

Aether Industries is ​​a specialty chemical manufacturer. It produces advanced intermediates and specialty chemicals involving complex and differentiated chemistry and technology core competencies. The business started in 2013 while revenue generation commenced in the financial year 2018. Currently, it is one of the fastest-growing specialty chemical companies in India, growing at a CAGR of around 60% between Fiscals 2018 and 2021. (Source: F&S Report*) ;
Parent Organisation
Aether Industries Ltd.
Founded
2013
Managing Director
Ashwin Jayantilal Desai

Strengths & Risks

  • High growth industry - the global chemicals market is expected to grow at a CAGR of 6.2% from 2020 to 2025.
  • Differentiated portfolio of products
  • In-house research and development capabilities
  • Long-standing relationships with a diversified customer base
  • Business models focused on large-scale manufacturing, contract research and manufacturing services, and contract manufacturing.
  • Automated manufacturing facilities
  • Revenue from operations have increased at a CAGR of 49.53% from Rs 201.18 crore in the financial year 2019 to Rs 449.82 crore in the financial year 2021.
  • Received certificate of ISO 14001 for Environment and ISO 45001 for Occupational Safety and ISO 27000 certification.
  • Subject to certain risks consequent to operations involving the manufacture, usage, and storage of various hazardous substances.
  • The company derives a significant part of its revenue from major customers and it does not have long-term contracts with all of these customers.
  • Reliance on certain industries for a significant portion of sales could have an adverse effect on the business.
  • Exchange rate fluctuations may adversely affect the results of operations as sales from exports and a portion of the company’s expenditures are denominated in foreign currencies.
  • The company does not have long-term agreements with raw material suppliers.
  • All manufacturing facilities are located in Gujarat exposing the company to regulatory and other geography-specific risks.
  • Pending litigations against the company and certain of its directors.
  • The company is entitled to certain export incentives for a specified period of time - expiry or early withdrawal can affect the business.
  • The company has unsecured loans which are repayable on demand.
  • The company has in the past entered into related party transactions and may continue to do so in the future.
  • After the completion of the IPO, promoters will continue to collectively hold substantial shareholding in the company.
  • *The company commissioned and paid for an industry report from Frost & Sullivan (F&S) specifically for the purpose of the IPO.

Financials

*All values are in Rs. Cr
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