Chemplast Sanmar shares made a weak debut on stock exchanges on Tuesday, 24 August 2021, even as BSE Sensex and Nifty 50 have been firm. Chemplast Sanmar shares started trading at Rs 525 apiece on BSE today, down practically 3 per cent from the upper finish of the IPO cost band of Rs 541 per share. Following this Chemplast Sanmar becomes the third current listing to trade at discount on listing day, just after CarTrade Tech and Nuvoco Vistas. While, it got listed at a premium on NSE, at Rs 550 apiece, up 1.66 per cent more than the concern cost. Chemplast Sanmar IPO was open throughout August 10-12. Chemplast Sanmar shares have relisted on the stock marketplace just after getting delisted from the exchanges practically a decade ago in 2012. The Rs 3,850-crore IPO was subscribed 2.17 occasions. At listing, Chemplast Sanmar had a marketplace capitalisation of Rs 8,300.75 crore.
Also study: Aptus Value Housing tends to make weak stock marketplace listing stock opens at discount to IPO cost
Upon profitable listing, Chemplast Sanmar has joined the likes of PI Industries, SRF, Finolex Industries and Navin Fluorine International. Chemplast Sanmar is a specialty chemical compounds manufacturer in India with focus on specialty paste PVC resin and custom manufacturing of beginning components and intermediates for pharmaceutical, agro-chemical and fine chemical compounds sectors.
The total production of specialty paste PVC resin in India in the economic year 2020 stood at 78 KTPA against a demand of 143 KTPA. In India, Grasim Industries Ltd. (such as Aditya Birla Chemicals), DCM Shriram Limited (DCM Shriram), Gujarat Alkalies and Chemicals Ltd.(GACL), and Reliance Industries Limited (RIL) have a combined capacity of more than 2800 KTPA. Chemplast Sanmar was delisted from BSE, NSE and MSE with impact from June 25, 2012, June 18, 2012, and June 25, 2012, respectively. Post-IPO, the promoter group shareholding in Chemplast Sanmar has dropped to 55 per cent from the one hundred per cent when the public shareholding improved to 45 per cent.
Analysts say that obtaining a sturdy marketplace position in specialty chemical compounds, the corporation is nicely-positioned to capture favourable market dynamics. Also, market in which the corporation enjoys leadership position has higher barriers to entry.