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Dhanlaxmi Crop Science IPO: Things Smart Investors Need to Know

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Dhanlaxmi Crop Science Ltd, established in 2005, operates as a technology-driven seed company specializing in hybrid and open-pollinated seed varieties for field crops and vegetables. The company integrates traditional breeding techniques with biotechnology, catering to the agricultural demands of farmers across five Indian states. Its cotton seed portfolio alone contributes significantly to operating profits, underscoring its market position.

With a robust product range and state-of-the-art facilities, the company enjoys a strong foothold in the seeds market. Its R&D capabilities and long-standing customer relationships further strengthen its competitive edge. Explore more about the Dhanlaxmi Crop Science IPO.

Dhanlaxmi Crop Science IPO Details and Objectives

Particulars

Details

IPO Date

December 9–11, 2024

Listing Date

December 16, 2024 (Tentative)

Price Band

₹52 to ₹55 per share

Issue Size

₹23.80 crore

Lot Size

2000 shares

Listing At

NSE SME

Issue Type

Book Built Issue

Fresh Issue

4,328,000 shares

Purpose of the IPO

  • Meet working capital requirements.
  • Cover IPO-related expenses.
  • Address general corporate purposes.

Timeline of Dhanlaxmi Crop Science IPO

Event

Date

IPO Open Date

December 9, 2024

IPO Close Date

December 11, 2024

Allotment Date

December 12, 2024

Refund Initiation

December 13, 2024

Shares Credited to Demat

December 13, 2024

Listing Date

December 16, 2024

Pricing & Lot Size of Dhanlaxmi Crop Science IPO

Price Band for the IPO

  • ₹52 to ₹55 per share.

Minimum Lot Size and Application Details

  • Minimum investment: ₹110,000 for 2000 shares.
  • HNI investment: ₹220,000 for 4000 shares (2 lots).

How to Apply for the Dhanlaxmi Crop Science IPO?

Online Application Process

      Log in to Your Trading Account

  •  Access your Bajaj Broking account using your credentials.

      Navigate to the IPO Section

  •  Click on the 'IPO' option in the main menu to explore available offerings.

       Select the Dhanlaxmi Crop Science IPO

  •  Locate the IPO under the 'Open IPOs' tab and click 'Apply.'

       Enter Application Details

  •  Choose the number of shares in lots.
  • Specify the bid price within the given range (₹52–₹55 per share).

       Provide Your UPI ID

  •  Input your UPI ID to authorize the transaction.
  • Ensure sufficient balance in your bank account.

       Review and Submit

  •  Confirm your details and submit the application.
  • Approve the UPI mandate in your UPI app to finalize your application.

Financial Health and Performance

Key Financial Metrics

  • Revenue surged by 37% from ₹4,664.17 lakh (FY 2023) to ₹6,375.08 lakh (FY 2024).
  • Profit After Tax (PAT) increased by an impressive 55%, reaching ₹465.36 lakh in FY 2024 compared to ₹299.55 lakh in FY 2023.
  • Total assets grew to ₹5,137.91 lakh as of September 30, 2024, marking consistent financial growth.
  • The company's Net Worth rose to ₹2,432.30 lakh as of September 2024, showcasing strong financial stability.
  • Debt-to-equity ratio significantly reduced to 0.06, reflecting improved financial health.

Recent Performance and Growth Prospects

  • Revenue for the half-year ending September 30, 2024, recorded at ₹11,996.26 lakh, indicating robust business momentum.
  • Diversified portfolio comprising 24 crops strengthens market positioning and reduces dependency on a single product.
  • Strong focus on R&D ensures high-yield seeds, supporting sustainable agricultural practices.
  • The company maintains a proven track record of generating consistent operating profits from cotton seed sales, contributing 76.78% of profits in FY 2024.

Investment Risks and Opportunities

Potential Risks of Investing in the IPO

  • Dependence on a single product segment (cotton seeds).
  • Market volatility impacting demand for agricultural products.

Opportunities and Growth Potential

  • Strong market presence and robust financials.
  • Expanding footprint in under-penetrated regions.

Key Performance Indicator (KPI)

Metric

Value

ROE

33.82%

ROCE

39.07%

Debt/Equity

0.06

PAT Margin

7.3%

P/BV

3.07

Dhanlaxmi Crop Science IPO Registrar & Lead Managers

Entity

Details

Registrar

Bigshare Services Pvt Ltd

Lead Manager

Finshore Management Services Limited

Company Address of Dhanlaxmi Crop Science Ltd

Dhanlaxmi Crop Science Ltd
Survey No. 24, Opp. Arts and Commerce College,
Shamlaji Highway, N.H. No.8,
Motipura, Sabar Kantha, Himatnagar, - 383001
Phone: +91 27 7224 4033
Email: cs@dhanlaxmiseeds.com

Conclusion

Dhanlaxmi Crop Science IPO provides investors with an option to explore a company engaged in agricultural innovations. With its diverse product portfolio and financial growth, the IPO offers insights into the company’s plans for capital deployment. Reviewing the IPO details, including pricing, financial metrics, and market position, can help investors make informed choices.

Interested in more opportunities? Check out our Upcoming IPO section for new listings, and don’t forget to check your IPO allotment status for Jungle Camps India IPO.

Disclaimer: Investments in the securities market are subject to market risk, read all related documents carefully before investing.

This content is for educational purposes only. Securities quoted are exemplary and not recommendatory.

For All Disclaimers Click Here: https://bit.ly/3Tcsfuc

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Frequently Asked Questions

Who is the CEO of Dhanlaxmi Crop Science Ltd

Answer Field

Mr. Kamleshkumar Jayantilal Patel serves as the CEO of Dhanlaxmi Crop Science Ltd, steering the company’s growth with his leadership and industry expertise.

When will the Dhanlaxmi Crop Science IPO open for subscription?

Answer Field

The Dhanlaxmi Crop Science IPO will open for subscription on December 9, 2024, and will close on December 11, 2024.

What is the company’s core business, and how sustainable is its business model in the long term?

Answer Field

Dhanlaxmi Crop Science Ltd focuses on developing and selling hybrid seeds. Its R&D-backed sustainable practices ensure higher crop yields, making its business model viable for the long term.

What is the issue size of Dhanlaxmi Crop Science IPO?

Answer Field

The issue size of the Dhanlaxmi Crop Science IPO is ₹23.80 crore, consisting entirely of a fresh issue of 4,328,000 equity shares.

What is pre-apply for Dhanlaxmi Crop Science IPO?

Answer Field

'Pre-apply' allows investors to submit their IPO applications before the official opening date, ensuring early participation in the Dhanlaxmi Crop Science IPO.

When will I know if my Dhanlaxmi Crop Science IPO order is placed?

Answer Field

Your order for the Dhanlaxmi Crop Science IPO is confirmed once you approve the UPI mandate request linked to your application.

What is the lot size and minimum order quantity of the Dhanlaxmi Crop Science IPO?

Answer Field

The minimum lot size for the Dhanlaxmi Crop Science IPO is 2000 shares, requiring a minimum investment of ₹110,000.

What is the allotment date for the Dhanlaxmi Crop Science IPO?

Answer Field

The allotment date for the Dhanlaxmi Crop Science IPO is expected to be finalized on December 12, 2024.

Who is the registrar of Dhanlaxmi Crop Science IPO?

Answer Field

Bigshare Services Pvt Ltd is the registrar for the Dhanlaxmi Crop Science IPO, managing application processing and allotments.

Are there any governance issues or red flags in the company’s leadership or board structure?

Answer Field

As per the RHP, there are no governance issues or red flags identified in the leadership or board structure of Dhanlaxmi Crop Science Ltd.

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