The Unilex Colours and Chemicals Limited IPO, part of the SME category, will open for public subscription from September 25 to September 27, 2024. This IPO provides investors with the opportunity to invest in a company that specialises in pigments, chemicals, and food dyes, making it a significant player in the industry.
In this blog, we will discuss the key details of the Unilex Colours and Chemicals Limited IPO, including its timeline, financials, strengths, challenges, and whether it is an IPO investment worth considering.
The Unilex Colours and Chemicals Limited IPO aims to raise ₹31.32 crores by issuing 3,600,000 shares in the price band of ₹82 to ₹87 per share. The IPO is entirely a fresh issue and will be listed on the NSE SME exchange. Hem Securities Limited is the lead manager for the issue, with Link Intime India Private Ltd serving as the registrar. The market maker is Hem Finlease.
Below are the critical details regarding the Unilex Colours and Chemicals Limited IPO, including the lot size and minimum and maximum investments:
| Application | Lots | Shares | Amount |
| Retail (min) | 1 | 1600 | ₹1,39,200 |
| HNI (min) | 2 | 3200 | ₹2,78,400 |
Here is the tentative schedule for the IPO:
| Event | Date |
| Colours and Chemicals Limited IPO open date | September 25, 2024 |
| Colours and Chemicals Limited IPO close date | September 27, 2024 |
| Basis of allotment | September 30, 2024 |
| Initiation of refunds | October 1, 2024 |
| Credit of shares to Demat | October 1, 2024 |
| Listing date | October 3, 2024 |
Unilex Colours and Chemicals Limited was incorporated in March 2001. The company primarily manufactures pigments and trades in chemicals, catering to both domestic and international markets under the brand name “Unilex.” Its product portfolio includes more than 100 products, and its manufacturing unit, located in Palghar, Maharashtra, is ISO 9001:2015 certified. The company’s products are exported to numerous countries, including Vietnam, Brazil, Mexico, Nigeria, Russia, and others.
The company’s pigments are used in various industries, and it operates a highly diversified product line, including Pigment Green-7, Pigment Middle Chrome, Pigment Violet 23 & 27, and Ultramarine Blue. The firm also provides specialised packaging solutions like multi-layer paper bags and jumbo bags.
| Face value | ₹10 per share |
| Price band | ₹82 to ₹87 per share |
| Lot size | 1600 Shares |
| Total issue size | 3,600,000 shares (aggregating up to ₹31.32 Cr) |
| Fresh issue | 3,600,000 shares (aggregating up to ₹31.32 Cr) |
| Issue type | Book built issue IPO |
| Listing at | NSE SME |
| Share holding (pre-issue) | 10,017,000 |
| Share holding (post-issue) | 13,617,000 |
| Market maker portion | 192,000 shares |
| Market maker | Hem Finlease |
Unilex Colours and Chemicals Limited has shown stable financial growth over the years. Below is a summary of the company’s financial performance:
| Period ended | 31 Mar 2024 | 31 Mar 2023 | 31 Mar 2022 |
| Assets (₹ lakhs) | 9,068.35 | 7,072.31 | 7,669.84 |
| Revenue (₹ lakhs) | 14,932.88 | 14,441.84 | 15,156.73 |
| Profit after tax (₹ lakhs) | 616.67 | 497.07 | 471.17 |
| Net worth (₹ lakhs) | 3,686 | 3,202.89 | 2,805.98 |
| Reserves and surplus (₹ lakhs) | 2,684.3 | 2,868.99 | 2,472.08 |
Here are some strengths of the Unilex Colours and Chemicals Limited IPO:
Here are some challenges of the Unilex Colours and Chemicals Limited IPO:
When considering the Unilex Colours and Chemicals Limited IPO, it’s crucial to weigh the company’s strengths against its challenges. The firm has a diversified product portfolio, a strong international presence, and has consistently delivered solid financial performance. However, it operates in a competitive industry and is somewhat dependent on external market factors such as the global demand for pigments and chemical products.
From an investment perspective, the IPO offers an entry point into a company with a growing global footprint and a wide range of product offerings. As an SME IPO, the risks are slightly higher, but the returns can be significant for those willing to take calculated risks in the upcoming IPOs to invest in.
If you're an investor interested in IPO investments, the Unilex Colours and Chemicals Limited IPO offers a mix of opportunity and risk. The company’s financial stability and growth trajectory make it a viable option for those looking to invest in an established player in the pigment and chemicals industry.
The Unilex Colours and Chemicals Limited IPO, set to open from September 25, 2024, to September 27, 2024, offers investors a chance to invest in a company with a well-established global presence and a diverse product portfolio. While the company has demonstrated consistent financial growth, potential investors should carefully assess the associated risks, including market competition and reliance on exports.
When will the Unilex Colours and Chemicals Limited IPO be listed?
The IPO is expected to be listed on the NSE SME exchange on October 3, 2024.
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