On the first day of bidding, 28.77 times were subscribers to the Xcent Microcell IPO

 On the first day of bidding, 28.77 times were subscribers to the Xcent Microcell IPO

Xcent Microcell Initial Public Offering (IPO): Against the offer size of 56 lakh equity shares, investors have acquired 16.11 crore equity shares.

On December 8, the first day of bidding, investors responded to the Xcent Microcell IPO in a massive way. 28.77 times more equity shares (16.11 crore) were purchased by investors than the 56 lakh equity shares that were part of the offer.

High net worth individuals (HNIs) and retail investors seem to be rather positive about the firm that makes cellulose-based excipients for a variety of markets, including food, cosmetics, pharmaceuticals, and nutraceuticals. They exceeded the quota by 60 and 52.4 times, respectively.

There were 7.12 times as many subscribers to the section reserved for eligible institutional purchasers.

The Ahmedabad-based business plans to offer 56 lakh equity shares to the public at the top price band in an effort to collect Rs 78.40 crore. Since there is just one fresh issue component in the offer, the firm will get the whole issue money.

The price range of Rs 133–140 per share has been set for the sale that ends on December 12.

Xcent services clients in India as well as more than 45 other countries, including the US, Canada, Germany, UK, Japan, China, and Australia, from its two production sites in Gujarat.

For Rs 54.4 crore, it would establish a facility in Navagam Kheda to produce carboxymethyl cellulose, sodium starch glycolate, and croscarmellose sodium. General company costs will be the designated use for the remaining net issuance proceeds.

The firm that produces microcrystalline cellulose has shown strong financial results in the previous fiscal years. Net profit increased by more than two times to Rs 13.01 crore in the fiscal year that ended in March of FY23 from Rs 5.89 crore the year before. Over the same time period, operating revenue climbed from Rs 165.7 crore to Rs 204.2 crore.

Net profit for the fiscal year ending in June of FY2014 was Rs 7.05 crore on sales of Rs 58.8 crore, compared to net profit of Rs 4.8 crore on revenue of Rs 132.6 crore in FY2011.