Accent Microcell Limited IPO (Accent Microcell IPO)

Accent Microcell’s Initial Public Offering (IPO) is a book-built issue totaling Rs. 78.40 crores, consisting entirely of fresh issue shares, amounting to 56 lakh shares.

Scheduled to open for subscription on December 8, 2023, the Accent Microcell IPO subscription period concludes on December 12, 2023. The allotment process is anticipated to be finalized by Wednesday, December 13, 2023. Following this, Accent Microcell IPO is set to list on NSE SME, with a tentative listing date slated for Friday, December 15, 2023.

The price band for the Accent Microcell IPO ranges between Rs. 133 to Rs.140 per share. Retail investors are required to apply for a minimum lot size of 1000 shares, equating to a minimum investment of Rs.140,000. High Net Worth Individuals (HNI) are advised to invest in at least 2 lots (equivalent to 2,000 shares), totaling Rs. 280,000.

Corporate Capitalventures Pvt Ltd operates as the book running lead manager for the Accent Microcell IPO, while Kfin Technologies Limited serves as the issue’s registrar. Prabhat Financial Services has been appointed as the market maker for the Accent Microcell IPO.

For a comprehensive understanding of the IPO details, interested parties are directed to refer to the Accent Microcell IPO RHP (Red Herring Prospectus) for detailed information.

Accent Microcell IPO Details

The IPO for Accent Microcell is scheduled to occur from December 8, 2023, to December 12, 2023. The anticipated listing date for the IPO is yet to be specified.

Face Value: Rs. 10 per share

Price Band: Rs.133 to Rs.140 per share

Lot Size: 1000 Shares

Total Issue Size: 5,600,000 shares (amounting to Rs. 78.40 Cr)

Issue Type: Book Built Issue IPO

Listing Exchange: NSE SME

Pre-issue Shareholding: 15,443,000 shares

Post-issue Shareholding: 21,043,000 shares

Market Maker Portion: 280,000 shares

Once the subscription period concludes, the listing date will be announced, facilitating trading on the NSE SME platform. The IPO includes a fresh issue of 5,600,000 shares, contributing to the total issue size and aggregating to Rs. 78.40 Cr. Investors can consider participating in this Book Built Issue IPO within the specified date range for potential investment opportunities.

Accent Microcell IPO Timeline (Tentative Schedule)

The tentative schedule for the Accent Microcell IPO is as follows:

IPO Open Date: Friday, December 8, 2023

IPO Close Date: Tuesday, December 12, 2023

Basis of Allotment: Wednesday, December 13, 2023

Initiation of Refunds: Thursday, December 14, 2023

Credit of Shares to Demat: Thursday, December 14, 2023

Listing Date: Friday, December 15, 2023

Cut-off time for UPI mandate confirmation: 5 PM on December 12, 2023

Investors interested in participating in the IPO can do so within the specified timeline, with the IPO opening on December 8, 2023, and concluding on December 12, 2023. The basis of allotment is anticipated to be finalized on December 13, 2023, followed by the initiation of refunds and the credit of shares to demat accounts on December 14, 2023. The IPO is scheduled to be listed on the NSE SME platform on December 15, 2023. Please note that the cut-off time for UPI mandate confirmation is set for 5 PM on December 12, 2023.

Accent Microcell IPO Key Performance Indicator

P/E (Price/Earnings Ratio): 13.92x

ROE (Return on Equity): 34.11%

ROCE (Return on Capital Employed): 26.46%

Debt/Equity Ratio: 0.52

EPS (Earnings Per Share): Rs. 10.06

RoNW (Return on Net Worth): 29.44%

These metrics offer insights into the company’s financial health and performance. A P/E ratio of 13.92x suggests the market valuation in relation to earnings, while ROE, ROCE, and RoNW depict profitability concerning equity and capital employed. A Debt/Equity ratio of 0.52 signifies the proportion of debt to equity in the company’s capital structure, while EPS reflects earnings available per share. These KPIs are crucial for investors to evaluate a company’s financial standing and make informed investment decisions.

Grey Market Premium (GMP) Accent Microcell IPO

The latest Grey Market Premium (GMP) for Accent Microcell SME IPO stands at Rs. 110 as of the latest update on December 4th, 2023, at 06:31 PM. Considering the IPO’s price band of Rs. 140.00, the estimated listing price for Accent Microcell SME IPO is calculated at Rs. 250 (the cap price plus today’s GMP). This indicates an expected percentage gain/loss per share of 78.57%.

Furthermore, the Retail Subject to Sauda for Accent Microcell SME IPO is at Rs. 83,600. The GMP updates on a daily basis, and based on the trends from the last three sessions, the current GMP indicates an upward movement, forecasting a robust listing. The observed GMP ranges between Rs. 100 as the lowest and Rs. 110 as the highest.

Investors and stakeholders are encouraged to stay updated with our daily price trend analysis of Accent Microcell SME IPO GMP to monitor the ongoing market sentiment and anticipated listing price for potential insights into the IPO’s performance.

Accent Microcell Limited IPO Company Profile

Accent Microcell Limited, established on April 10, 2012, specializes in the production of premium cellulose-based excipients catering primarily to Pharmaceutical, Nutraceutical, Food, Cosmetic, and various other industries. Renowned for its high-quality cellulose-based excipients meeting global standards, the company operates cutting-edge manufacturing units located at Pirana Road in Ahmedabad and Dahej SEZ in Bharuch.

These state-of-the-art facilities have facilitated the establishment of a robust global sales network, extending services to clientele across India and spanning more than 45 countries worldwide. Notable markets include the USA, Canada, Germany, UK, Japan, China, Australia, Korea, Netherlands, Turkey, Vietnam, Italy, Indonesia, Poland, Egypt, France, Thailand, New Zealand, Brazil, Russia, Mexico, Chile, Zimbabwe, Denmark, and Greece.

Accent Microcell specializes in the production of Microcrystalline Cellulose (MCC), a refined form of cellulose derived from meticulously purified wood pulp. This odourless, fine white powder serves various purposes as a texturizer, anticaking agent, binder, lubricant, bulking agent, and diluent.

Its applications span diverse industries, including Pharmaceutical, Nutraceutical, Food, Cosmetic, and others. The company manufactures 22 grades of MCC, featuring particle sizes ranging from 20 microns to 180 microns. Among the key products marketed by the company, “accel” represents the major brand for MCC. Additional product lines include “acrocell,” “maccel,” and “Vincel,” contributing to the company’s diverse product portfolio and market presence.

Accent Microcell Limited IPO lot size and investment details

This table illustrates the minimum and maximum investment criteria for both retail investors and High Net Worth Individuals (HNI) in terms of shares and corresponding amounts for the Accent Microcell IPO.

Promoter holding details Accent Microcell Limited IPO

The Promoters of Accent Microcell are Mr. Vasant Vadilal Patel, Mr. Ghanshyam Arjanbhai Patel, Mr. Nitin Jasvantbhai Patel, and Mr. Vinodbhai Manibhai Patel.

Before the IPO issue, the Promoters collectively held a shareholding of 73.13% in the company. Post the issue, their combined shareholding will stand at 53.67%. This indicates the change in the Promoters’ ownership stake following the IPO.

Accent Microcell Limited IPO Financial Information (Restated Consolidated)

This table represents Accent Microcell Limited’s financial data for different periods, including assets, revenue, profit after tax, net worth, reserves and surplus, total borrowing, ending on March 31 for various years up to June 30, 2023.

Accent Microcell Limited IPO Objects of the Issue

The primary objectives of the Accent Microcell IPO in terms of the utilization of Net Fresh Issue Proceeds are:

Setting up a Plant: The company aims to establish a manufacturing facility at Navagam Kheda specifically for the production of Croscarmellose Sodium (“CCS”), Sodium Starch Glycolate, and Carboxymethylcellulose (CMC). These substances are commonly used in pharmaceuticals and other industries and are integral in various formulations.

General Corporate Expenses: Allocation of funds towards general corporate expenses aimed at supporting the overall operational and administrative needs of the company. This includes routine expenses, administrative costs, and other operational requirements.

By earmarking the Net Fresh Issue Proceeds for these specific objectives, Accent Microcell aims to expand its production capabilities and further strengthen its position in the market while also ensuring the smooth running of its general corporate functions.