Balaji Phosphates
Book Building issueSMENSE₹50.11 Cr issue
+7.14%
Listing gain over issue price
Issue size
₹50.11 Cr
1 lot at cut-off
₹1,40,000
Lot size
2,000shares
Open
28 Feb 2025
Close
04 Mar 2025
Allotment
05 Mar 2025
Listing
07 Mar 2025
Listing performance
Issue price
₹70
Listed at
₹75
Listing-day close
₹74.35
Latest price
₹101.75
Close on 23 Oct 2026
Listing gain
+7.14%
Return since issue
+45.36%
Scheduled dates
Tentative timetable — a past date is not confirmation the step completed
Issue details
- IPO date
- 28 Feb 2025 – 04 Mar 2025
- Listing date
- 07 Mar 2025
- Face value
- ₹10 per share
- Issue price
- ₹70 per share
- Lot size
- 2,000 shares
- Issue type
- Book Building issue
- Listing at
- NSE
- Total issue size
- ₹50.11 Cr
- Market cap at offer price
- ₹166 Cr
- Promoter holding
- 100.00% → 69.90% pre-issue → post-issue
- ISIN
- INE0PQ601019
- Registrar
- Skyline Financial Services Pvt.Ltd.
- Lead managers
- Arihant Capital Markets Ltd.
- Registered office
- 305, Utsav Avenue, 12/5, Usha Ganj Jaora Compound, Madhya Pradesh
Reservation and application size
How the issue is split between investor categories, and what each may bid
| Investor category | Shares | % of net | % of total |
|---|---|---|---|
| Anchor investor · within QIB | 5,72,000 | — | — |
| Market maker | 3,58,000 | — | — |
Application size
Minimum 2,000 shares per lot, in multiples, at ₹70
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (min) | 1 | 2,000 | ₹1,40,000 |
| S-HNI (min) | 2 | 4,000 | ₹2,80,000 |
| S-HNI (max) | 7 | 14,000 | ₹9,80,000 |
| B-HNI (min) | 8 | 16,000 | ₹11,20,000 |
Category limits
| Category | Bid size | Cut-off |
|---|---|---|
| Retail (RII) | Up to ₹2 lakh | Yes |
| Small HNI (sNII) | ₹2 lakh – ₹10 lakh | No |
| Big HNI (bNII) | Above ₹10 lakh | No |
| Employee | Up to ₹5 lakh | Yes |
Bidding at cut-off means accepting the final issue price without naming one. Only retail and employee applicants may do so.
Anchor investors
Institutional allocation placed a day before the issue opens, carved out of the QIB portion and locked in after listing.
Shares allocated
5,72,000
Anchor portion
₹4 Cr
at ₹70 per share
Valuation and performance
Valuation at offer price
₹70 per share
| Metric | Pre-issue | Post-issue |
|---|---|---|
| EPS (₹) | 3.39 | 4.19 |
| P/E (×) | 20.65 | 16.71 |
| Price to book (×) | 3.57 | — |
| Market cap | — | ₹166 Cr |
Key performance indicators
Latest reported period
- Return on net worth
- 17.26%
- ROCE
- 16.70%
- Debt / equity
- 0.95
- PAT margin
- 4.00%
- NAV per share
- ₹19.62
- Price to book
- 3.57
Single period as reported. Year-on-year movement is in the financials table below, where every period is published.
About Balaji Phosphates
Balaji Phosphates Limited, originally incorporated as a private limited company on April 4, 1996, was converted to a public limited company on September 18, 2023. The company is engaged in the production of NPK Granulated and Mixed Fertilizers, Single Super Phosphate (SSP) in both powder and granulated forms, and Zinc Sulfate (21%). The company's manufacturing facility is located at 23-B, 24-A, A.B. Road, Industrial Area No.1, Dewas-455001, Madhya Pradesh, with an installed capacity of 120,000 MTPA for SSP and 3,300 MTPA for Zinc Sulfate. SSP is produced in accordance with the Fertilizer Control Order of India standards and is a key contributor to the company's revenue. The company operates in the fertilizer sector, which is dependent on the agricultural industry in India.
Company Analysis
from RHPBalaji Phosphates Limited manufactures NPK granulated and mixed fertilizers, Single Super Phosphate (SSP), and Zinc Sulfate for the agricultural sector in India.
Balaji Phosphates Limited, originally incorporated as a private limited company on April 4, 1996, was converted to a public limited company on September 18, 2023. The company is engaged in the production of NPK Granulated and Mixed Fertilizers, Single Super Phosphate (SSP) in both powder and granulated forms, and Zinc Sulfate (21%). The company's manufacturing facility is located at 23-B, 24-A, A.B. Road, Industrial Area No.1, Dewas-455001, Madhya Pradesh, with an installed capacity of 120,000 MTPA for SSP and 3,300 MTPA for Zinc Sulfate. SSP is produced in accordance with the Fertilizer Control Order of India standards and is a key contributor to the company's revenue. The company operates in the fertilizer sector, which is dependent on the agricultural industry in India.
FertilizersAgricultureAgri-inputs
Objects of the Issue
- To meet the Capital expenditure ₹1,287.90 Lakhs p.22
- Funding of working capital requirements of the Company ₹1,900.00 Lakhs p.22
- General Corporate Expenses p.22
- To meet Capital expenditure towards establishing a warehouse at our subsidiaries factory premise & upgradation of existing facilities ₹1,287.90 Lakhs p.84
- To meet the working Capital requirements ₹1,900.00 Lakhs p.87
- General corporate purposes p.91
- Not stated in this part of the document
Issue Structure
- Total Issue
- Up to 71,58,000 equity shares of ₹10 each aggregating up to ₹[●] Lakhs
- Fresh Issue
- Up to 59,40,000 equity shares of ₹10 each aggregating up to ₹[●] Lakhs
- Offer for Sale
- Up to 12,18,000 equity shares of ₹10 each aggregating up to ₹[●] Lakhs
- Price Band
- [●] to [●] (to be determined)
- Lot Size
- [●] (to be determined)
- Face Value
- ₹10 per equity share
Business Model
The company manufactures and sells fertilizer products including Single Super Phosphate (SSP), NPK granulated and mixed fertilizers, and Zinc Sulfate. The products are sold through a distribution network of dealers and distributors to farmers across regions including Madhya Pradesh, Chhattisgarh, Maharashtra, Telangana, and Andhra Pradesh. The business depends on government subsidies provided to farmers under policies such as Direct Benefit Transfer (DBT), and is seasonal in nature aligned with crop cultivation seasons.
Business Segments
Phosphate fertilizer produced in powder and granulated forms in accordance with Fertilizer Control Order of India standards
Mixed fertilizers containing nitrogen, phosphorus and potassium in granulated form
Micronutrient fertilizer product
Manufacturing and supply of Single Super Phosphate (SSP) and Granules Single Super Phosphate (GSSP) fertilizers in powder and granulated form, fortified with zinc and boron, as per Fertilizer Control Order of India standards for use in agriculture.
SSP is manufactured by reacting mineral rock phosphate with sulphuric acid. SSP is primarily used as a source of phosphorous (P) in agricultural soils. Phosphorous is an essential nutrient for plant growth and development, playing a vital role in energy transfer, root development, flowering, and fruiting. It helps replenish phosphorus levels, ensuring a balanced nutrient profile in the soil.
Zinc sulfate is primarily used to correct zinc deficiencies in soils. Zinc deficiency is particularly common in alkaline soils, sandy soils, and soils with high phosphorus or iron content. Applying zinc sulfate helps increase zinc levels in the soil, making it more available for plant uptake.
NPK Granulated & Mix fertilizers provide a balanced combination of essential nutrients: nitrogen (N), phosphorus (P), and potassium (K). Nitrogen promotes vigorous vegetative growth and enhances leaf development. Phosphorus supports root development, flowering, and fruiting. Potassium contributes to overall plant health, disease resistance, and efficient water use.
The company's 99.98% subsidiary manufactures weighbridges up to a capacity of 633 MT. The subsidiary offers weighbridges in two types: PIT less (Surface Mounted) and PIT type (Ground Level), suitable for heavy trucks with concentrated loads.
Manufacturing and sale of single super phosphate fertilizers covered under Government of India's NBS Policy for P&K Fertilisers
Manufacturing of weigh bridges and provision of annual service maintenance and parts supply through subsidiary Jyoti Weighing Systems Private Limited
Manufacturing of single super phosphates fertilizers
Manufacturing of weigh bridge and annual service maintainence
SWOT Analysis
Strengths
- • Established manufacturing capacity and product portfolio(p.22)
- • Products comply with regulatory standards(p.22)
- • Established market presence in key agricultural regions(p.39)
- • Cost-effective sourcing and strategic location near raw material supplies(p.87)
- • Proposal to expand warehouse capacity significantly to improve inventory management and seasonal demand handling(p.84)
- • Plan to improve production efficiency through equipment upgrades and EOT crane installation(p.84)
- • Commitment to replace corrosion-prone equipment with more durable FRP materials(p.84)
- • Long-standing fertilizer industry experience with demonstrated manufacturing capability(p.132)
- • Strategic locational advantage in Dewas industrial area minimizing freight costs(p.132)
- • In-house quality control laboratory with comprehensive testing capabilities(p.132)
- • Experienced management team with over 40 years combined fertilizer industry experience(p.122)
- • Wide geographic distribution network across five states(p.132)
- • Established manufacturing presence in fertilizer sector with 20+ years of management experience(p.177)
- • Strong promoter shareholding and control(p.181)
- • Subsidiary with established operations in weighing systems manufacturing(p.205)
- • Diversified revenue base across SSP fertilizers and weighing systems services(p.231)
- • Core fertilizer business with established market presence(p.273)
- • Strong in-house quality testing laboratory and manufacturing infrastructure(p.273)
- • Diversified product range under RATNAM brand(p.273)
- • Profitability growth with strong returns in FY 2022-23(p.281)
- • Positive net worth and improved capital efficiency(p.272)
Weaknesses
- • Heavy dependence on imported raw materials and supply chain vulnerabilities(p.30)
- • Significant reliance on few key customers(p.37)
- • High debt burden with personal guarantees from promoters(p.32)
- • Negative historical cash flows(p.33)
- • No long-term contracts with customers/distributors(p.36)
- • Missing historical corporate records(p.36)
- • Pending regulatory proceedings against the company(p.34)
- • Company shares registered office with group companies, creating operational and legal risks(p.46)
- • Current equipment prone to significant wear and tear from corrosive chemicals used in manufacturing(p.84)
- • Cyclical business model constrains production and creates vulnerability to seasonal fluctuations(p.84)
- • Significant reliance on top customers with 46.74% of sales from top 5 customers(p.124)
- • Heavy dependence on rock phosphate imports with 90% imported dependency(p.115)
- • High concentration of suppliers with top 5 suppliers accounting for 78.01% of purchases(p.124)
- • Low capacity utilization for NPK products at 0.06% in FY 2023-2024(p.126)
- • Debt-to-equity ratio of 0.95 indicating substantial leverage(p.123)
- • High dependence on bank borrowings for working capital financing(p.223)
- • Significant debt levels relative to equity with short-term borrowings exceeding long-term(p.223)
- • Limited liquidity with cash balances of Rs 230.57 lakhs against current liabilities of Rs 4,969.60 lakhs(p.197)
- • High receivables relative to revenue indicating extended credit periods to customers(p.221)
- • Concentration in single core product - SSP fertilizers(p.205)
- • Directors provided personal guarantees securing company borrowings(p.223)
- • Significant leverage with high debt-to-equity ratio(p.263)
- • Declining operational cash flows despite profit(p.284)
- • Heavy reliance on unsecured and high-cost borrowings from multiple non-bank sources(p.290)
- • Directors facing significant personal income tax demands(p.294)
- • Significant contingent liabilities for GST disputes(p.269)
Opportunities
- • Growing agricultural sector with strong policy support(p.22)
- • Government subsidies and direct benefit transfer programs supporting fertilizer consumption(p.30)
- • Geographic expansion into new markets and regions(p.39)
- • Capitalize on lower raw material prices during off-season to manufacture and store finished goods for peak demand periods(p.84)
- • Enhanced inventory capacity expected to improve margins through better procurement cost management(p.84)
- • Listing on NSE Emerge platform to enhance corporate image and create public trading market(p.82)
- • Warehouse construction on subsidiary factory premises rather than third-party rental to improve cost management(p.84)
- • Indian government targeting phosphatic fertilizer self-sufficiency(p.113)
- • South Asia and Latin America leading global fertilizer consumption recovery(p.113)
- • Optimization of significant untapped manufacturing capacity(p.133)
- • Government increase in phosphatic fertilizer subsidy for Kharif 2024(p.139)
- • Agriculture 4.0 and technology adoption driving fertilizer demand(p.117)
- • Strong projected India GDP growth at 6.5% in FY 2025-26(p.108)
- • Government subsidy scheme for P&K fertilizer manufacturing under NBS Policy(p.208)
- • Growth through expansion into related agritech ventures via promoter group companies(p.184)
- • Leverage subsidiary's 45+ years of experience in weighing systems for cross-selling(p.205)
- • Access to capital markets through SME IPO listing on NSE EMERGE platform(p.190)
- • Geographic expansion into new agricultural regions(p.273)
- • Diversification and value-addition through fortified and specialized fertilizers(p.273)
- • Subsidiary company offering complementary services with growth trajectory(p.260)
- • Capital structure improvements through IPO proceeds(p.275)
Threats
- • Dependence on agricultural sector performance and monsoon variability(p.29)
- • Seasonal nature of business affecting revenue predictability(p.31)
- • Risks from climate change and adverse weather patterns(p.30)
- • Regulatory risks and policy changes affecting fertilizer subsidies(p.30)
- • Intense competition from major players with greater resources(p.34)
- • Volatility in global commodity prices(p.30)
- • Risk of regulatory action and quality control failures(p.31)
- • Foreign exchange rate fluctuations affecting import costs(p.34)
- • Macroeconomic headwinds and economic slowdown(p.44)
- • Slowdown in Indian economic growth could adversely affect business and asset quality(p.45)
- • Global financial instability could increase volatility in Indian financial markets and harm operations(p.45)
- • Inflation volatility could increase business costs and reduce profitability(p.45)
- • Foreign investment restrictions limit ability to attract foreign investors and may impact share price(p.46)
- • Natural and man-made disasters, terrorism, or civil unrest could disrupt operations(p.46)
- • Changing laws and regulations could adversely affect competitive position and profitability(p.47)
- • Volatile international fertilizer prices and forex exposure on rock phosphate imports(p.112)
- • High entry barriers enabling intense competition from existing and new players(p.144)
- • Weather and climate dependency affecting fertilizer demand and agricultural output(p.113)
- • Government regulatory controls on fertilizer pricing and movement(p.146)
- • Global uncertainty from geopolitical disruptions affecting supply chains(p.106)
- • Concentration risk from limited wholesale dealer base, particularly in key states(p.143)
- • Fertilizer sector subject to government policy changes in subsidy and pricing(p.208)
- • Exposure to raw material price volatility and input cost fluctuations(p.231)
- • Significant reliance on freight and distribution logistics costs(p.233)
- • Dependence on power availability and fuel costs for manufacturing operations(p.232)
- • Agricultural sector cyclicality affecting fertilizer demand(p.205)
- • Competition in fertilizer manufacturing and potential market saturation(p.213)
- • Seasonal cyclicality in fertilizer demand(p.287)
- • Multiple product quality litigation and regulatory enforcement actions(p.291)
- • Outstanding tax demands against subsidiary company(p.296)
- • Rising and volatile finance costs from interest rate exposure(p.281)
- • Regulatory compliance and fertilizer quality control risks(p.293)
Promoters
| Name | Role | Pre-Issue | Post-Issue |
|---|---|---|---|
| Mr. Mohit Airen | Promoter | 40.29% | — |
| Mr. Alok Gupta | Promoter | 32.76% | — |
| Mr. Mohit Airen | Promoter | 40.29% | 27.67% |
| Mr. Alok Gupta | Promoter | 32.76% | 22.02% |
| Alok Gupta HUF | Promoter Group | 5.15% | 3.86% |
| Mohit Airen HUF | Promoter Group | 10.27% | 7.70% |
| Ms. Meenakshi Gupta | Promoter Group | 3.53% | 2.65% |
| Ms. Sonu Airen | Promoter Group | 8.00% | 6.00% |
| Mr. Somchand Gupta | Promoter Group | 0.00% | — |
| Mr. Mohit Airen | Promoter/Managing Director | — | — |
| Mr. Alok Gupta | Promoter/Executive Director | — | — |
| Mohit Airen | Promoter | 40.29% | — |
| Alok Gupta | Promoter | 32.76% | — |
| Mr. Alok Gupta | Promoter Selling Shareholder | — | — |
| Mr. Mohit Airen | Promoter Selling Shareholder | — | — |
Leadership
Mohit Airen · Managing Director
Alok Gupta · Director
Ravindra Kumar Chourishi · Chief Financial Officer
Deepika Singh · Company Secretary and Compliance Officer
Auto-extracted from the company's RHP using AI, with each fact linked to its source passage (hover any row to see the quote & page). Provided for research only, not investment advice — verify against the official RHP before relying on it.
Balaji Phosphates IPO FAQs
What is the lot size of Balaji Phosphates IPO?
The minimum lot size of Balaji Phosphates IPO is 2,000 shares. One lot costs ₹1,40,000 at the cut-off price.
When does Balaji Phosphates IPO open and close?
Balaji Phosphates IPO opened for subscription on 28 Feb 2025 and closed on 04 Mar 2025.
What is the listing date of Balaji Phosphates IPO?
Balaji Phosphates IPO listed on 07 Mar 2025.