NB
Neochem Bio SME
SME₹44.97 Cr issue
+10.20%
Listing gain over issue price
Issue size
₹44.97 Cr
1 lot at cut-off
₹1,17,600
Lot size
1,200shares
Allotment
05 Dec 2025
Listing
09 Dec 2025
Listing performance
Issue price
₹98
Listed at
₹108
Listing-day close
₹111.80
Latest price
₹97
Listing gain
+10.20%
Return since listing
-1.02%
Scheduled dates
Tentative timetable — a past date is not confirmation the step completed
Grey market premium
Unofficial and indicative — not a forecast
₹2
3 observations recorded — too few to plot a trend.
Day-wise premium · 3 observations
| Date | GMP | % | Sauda | Est. listing | Gain / lot |
|---|---|---|---|---|---|
| 08 Dec 2025 | ₹2 | +2.04% | ₹1,800 | ₹100 | ₹2,400 |
| 07 Dec 2025 | ₹10 | +10.20% | ₹9,100 | ₹108 | ₹12,000 |
| 06 Dec 2025 | ₹10 | +10.20% | ₹9,100 | ₹108 | ₹12,000 |
Gain per lot assumes the premium holds to listing and that the application is allotted — allotment in an oversubscribed issue is a lottery, so it is indicative, not expected. Sauda is the rate paid for a submitted application itself.
Issue details
- Listing date
- 09 Dec 2025
- Face value
- ₹10 per share
- Issue price
- ₹98 per share
- Lot size
- 1,200 shares
- Total issue size
- ₹44.97 Cr
- Market cap at offer price
- ₹168 Cr
- Promoter holding
- 91.12% → 66.70% pre-issue → post-issue
- ISIN
- INE21UM01018
- Registrar
- MUFG Intime India Pvt.Ltd.
- Lead managers
- Vivro Financial Services Pvt.Ltd.
- Registered office
- 303, W1, Opp.Vikramnagar Colony, Off.Iscon-Ambli Road, Gujarat
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 | 13,03,200 | — | — |
| Market maker | 2,32,800 | — | — |
Application size
Minimum 1,200 shares per lot, in multiples, at ₹98
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (min) | 1 | 1,200 | ₹1,17,600 |
| S-HNI (min) | 2 | 2,400 | ₹2,35,200 |
| S-HNI (max) | 8 | 9,600 | ₹9,40,800 |
| B-HNI (min) | 9 | 10,800 | ₹10,58,400 |
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
13,03,200
Anchor portion
₹12.77 Cr
at ₹98 per share
Valuation and performance
Valuation at offer price
₹98 per share
| Metric | Pre-issue | Post-issue |
|---|---|---|
| EPS (₹) | 6.18 | 6.41 |
| P/E (×) | 15.86 | 15.29 |
| Price to book (×) | 5.80 | — |
| Market cap | — | ₹168 Cr |
Key performance indicators
Latest reported period
- Return on net worth
- 48.82%
- ROCE
- 41.67%
- Debt / equity
- 1.80
- PAT margin
- 9.00%
- EBITDA margin
- 15.58%
- NAV per share
- ₹16.91
- Price to book
- 5.80
Single period as reported. Year-on-year movement is in the financials table below, where every period is published.
About Neochem Bio SME
Neochem Bio Solutions Limited (formerly Neochem Technologies Private Limited) was originally formed as a partnership firm in 1978 and converted to a private limited company in 2017. The company is engaged in manufacturing specialty performance chemicals with a diverse portfolio of over 350 customized formulations across four primary product segments: Polymers, Surfactants, Silicones, and Esters & bio-based sustainable solutions. The company's products are essential materials used by manufacturers in textiles & garment washing, home & personal care, institutional and industrial cleaners, water treatment, paints and coatings, paper and pulp, construction, rubber, and dyes and pigments. The company is accredited with ISO 9001:2015, ISO 14001 and ISO 45001, with product certifications including ZDHC Level 3 and GOTS 7.0. For FY 2024-25, the company generated revenue from operations of ₹8,417.27 lakhs with a profit after tax of ₹775.07 lakhs.
Company Analysis
from RHPNeochem Bio Solutions Limited is a specialty performance chemicals manufacturer with over 40 years of heritage, serving textile, home & personal care, industrial cleaning, water treatment, paints, coatings, paper, pulp, construction, rubber, and dye & pigment industries across four primary product segments.
Neochem Bio Solutions Limited (formerly Neochem Technologies Private Limited) was originally formed as a partnership firm in 1978 and converted to a private limited company in 2017. The company is engaged in manufacturing specialty performance chemicals with a diverse portfolio of over 350 customized formulations across four primary product segments: Polymers, Surfactants, Silicones, and Esters & bio-based sustainable solutions. The company's products are essential materials used by manufacturers in textiles & garment washing, home & personal care, institutional and industrial cleaners, water treatment, paints and coatings, paper and pulp, construction, rubber, and dyes and pigments. The company is accredited with ISO 9001:2015, ISO 14001 and ISO 45001, with product certifications including ZDHC Level 3 and GOTS 7.0. For FY 2024-25, the company generated revenue from operations of ₹8,417.27 lakhs with a profit after tax of ₹775.07 lakhs.
specialty chemicalstextile chemicalshome & personal careinstitutional and industrial cleanerswater treatmentpaints and coatingspaper and pulpconstructionrubberdyes and pigments
Objects of the Issue
- Funding the long-term working capital requirements of the Company ₹2,390.00 lakhs p.28
- Repayment/prepayment, in full or part, of all or certain outstanding borrowings availed by our Company ₹1,000.00 lakhs p.28
- General Corporate Purposes p.28
- Funding long-term working capital requirements of the Company p.53
- Repayment of borrowings p.65
- General Corporate Purposes p.65
- Funding the long-term working capital requirements of the Company ₹2,390.00 lakhs (FY2026: ₹990.00 lakhs; FY2027: ₹1,400.00 lakhs) p.113
- Repayment/prepayment, in full or part, of all or certain outstanding borrowings availed by our Company ₹1,000.00 lakhs (FY2026: ₹1,000.00 lakhs; FY2027: ₹0) p.113
- General Corporate Purposes Not to exceed 15% of Gross Proceeds or ₹1,000.00 lakhs, whichever is lower p.113
- Repayment of borrowings p.110
- Issue Expenses p.334
Issue Structure
- Total Issue
- Up to 45,88,800 Equity Shares of face value of ₹10/- each aggregating to ₹ [●] lakhs
- Fresh Issue
- Up to 45,88,800 Equity Shares of face value of ₹10/- each aggregating to ₹ [●] lakhs
- Offer for Sale
- NIL
- Price Band
- [●] (Floor Price to Cap Price, to be decided by the company in consultation with the Book Running Lead Manager)
- Lot Size
- [●] (Minimum Bid Lot to be decided)
- Face Value
- ₹10/- per equity share
Business Model
The company manufactures and sells specialty performance chemical formulations to diverse customers through a business-to-business model. Revenue is generated through sales of customized chemical products to textile manufacturers, home & personal care manufacturers, industrial cleaning companies, water treatment facilities, paint and coating producers, paper and pulp manufacturers, construction companies, rubber manufacturers, and dye & pigment companies. The company operates through its sole manufacturing facility in Moraiya, Ahmedabad with an installed capacity of 22,000 MTPA and distributes through a network of over 50 distributors across India. For FY 2024-25, cost of materials consumed represented 66.02% of revenue from operations.
Business Segments
One of four primary product segments within the specialty performance chemicals portfolio
One of four primary product segments within the specialty performance chemicals portfolio
One of four primary product segments within the specialty performance chemicals portfolio
One of four primary product segments within the specialty performance chemicals portfolio
Development, manufacture and marketing of specialty performance chemicals used as raw materials in textile & garment washing, home & personal care, institutional and industrial cleaners, water treatment, paints and coatings, paper and pulp, construction, rubber, and dyes and pigments industries
One of four primary product segments in the company's diverse portfolio of over 350 customized formulations
One of four primary product segments in the company's diverse portfolio of over 350 customized formulations
One of four primary product segments in the company's diverse portfolio of over 350 customized formulations
One of four primary product segments in the company's diverse portfolio of over 350 customized formulations
Large chain-like molecules used in textile processing, coatings, adhesives, and personal care products. Includes acrylic emulsions, polymeric dispersants, rheological modifiers, polyamine flocculants, polymeric surfactants, and polymeric softening agents.
Surface active molecules that concentrate at interfaces to lower tension, enabling wetting, dispersing or emulsifying of oils, soils or pigments. Formulates anionic, non-ionic ethoxylates, and cationic softener flakes for detergent grade wetting agents, emulsifiers, and defoamers.
Hybrid organic-inorganic polymers built on repeating Si-O backbones that can be modified with amino, hydroxyl or polyether side-groups. Supplied as clear oils or micro/macro emulsions for softeners, moisture management additives, slip-resistance agents, and antifoams.
Chemical compounds formed by reaction between acid and alcohol, offering environmentally friendly alternatives. Includes plant-based softeners (vegan ester quats), natural clay scouring agents, and plant-origin sequestrates.
Dispersant polymers and other polymer-based specialty chemicals for various industrial applications
Specialty surfactants and related products for textile, home and personal care, and industrial cleaning applications
Silicone emulsions and silicone-based specialty chemicals for textile and industrial applications
Bio-based and sustainable chemical solutions including esters for various industrial applications
Manufactures and sells specialty chemical products including colourants, textile auxiliaries, and hygiene solutions with brand names such as AMBITAC, AMPINOL, BRILLOPRINT, GLIDEX, KLARITOL, KLARIZYM, KOLAPSOL, MERCOL, NEOCRYL, NEVIKARE, PRESTOFIN, PRIMAPRINT, QUNOX, TRUTONE, NEUTRAX, NEOXIL, LOXYDE, ATMOS, DYACTIV, ASTASOF, ASTASOFT, OXANE, HANDISAN, SMELLWELL BY PROTEK, SURFASAN, KARREWELL, SAY YES TO HAPPY HANDS BY PROTEK, and 360° HYGIENE SOLUTIONS BY PROTEK
SWOT Analysis
Strengths
- • Diverse product portfolio across four primary segments with 350+ formulations and strong certifications(p.27)
- • Legacy of over four decades in specialty chemicals manufacturing(p.27)
- • Pan-India distribution network with 50+ distributors as of September 2025(p.43)
- • Strong financial performance with growing profitability and return metrics(p.30)
- • Significant revenue and profit growth trajectory(p.60)
- • Commitment to sustainable and eco-friendly product development(p.53)
- • Diversified customer base across geographies and industries(p.57)
- • Differentiated product strategy through customization and sustainability(p.57)
- • Established long-standing relationships with customers across end-use industries(p.126)
- • Integrated and flexible manufacturing operations for sustainable formulations enabling customized supply(p.126)
- • Strong understanding of applied chemistries for diverse end-use industries(p.126)
- • Research and development capabilities for development of innovative performance chemistries(p.126)
- • Established sales and distribution network(p.126)
- • Experienced Promoters with strong management team having domain knowledge(p.126)
- • Strong revenue growth from ₹4,818.84 lakhs in Fiscal 2023 to ₹8,417.27 lakhs in Fiscal 2025 (37.66% growth in FY25)(p.117)
- • Improved profitability with PAT margin increasing from 2.20% in FY23 to 9.00% in FY25(p.128)
- • Integrated manufacturing enabling customized formulations at scale(p.180)
- • Strong application knowledge across diverse end-use industries(p.180)
- • Portfolio of 350+ customized formulations with proprietary brands(p.180)
- • Established pan-India distribution network with 50+ distributors(p.183)
- • In-house R&D capabilities for sustainable product development(p.183)
- • Zero-liquid discharge facility with international certifications(p.185)
- • Experienced management team with 20+ years in specialty chemicals(p.184)
- • Diversified portfolio of 350+ customized formulations across four product segments(p.292)
- • Recognized process and product certifications (ISO 9001:2015, ISO 14001, ISO 45001, ZDHC Level 3, GOTS 7.0)(p.292)
- • Comprehensive product range serving multiple industries (textile, HPC, water treatment, paints, paper, construction, rubber, dyes)(p.292)
- • Legacy of over four decades in specialty chemicals manufacturing(p.292)
- • Strong revenue growth and capacity utilization improvement(p.296)
- • Expanding customer base supporting revenue growth(p.298)
- • Significant profitability improvement with PAT growth(p.297)
- • Improved operational efficiency with lower other expenses as percentage of income(p.297)
- • Moderate employee benefit expenses as percentage of income declining(p.297)
- • Intellectual property portfolio with 40 registered trademarks(p.317)
Weaknesses
- • High dependence on textile industry revenues (77% in H1 FY26, 95.92% in FY23)(p.37)
- • Significant revenue concentration from top customers (43.47% from top 5 customers in H1 FY26)(p.37)
- • Low capacity utilization at 22.74% as of September 30, 2025(p.38)
- • Heavy dependence on Gujarat suppliers (51.04% of purchases in H1 FY26)(p.53)
- • Geographic concentration with 94.31% of domestic revenue in H1 FY26(p.39)
- • Limited long-term contractual arrangements with customers and suppliers(p.38)
- • Significant reliance on a single manufacturing facility in Moraiya, Ahmedabad(p.41)
- • Negative cash flow from operating activities in H1 FY26 (₹768.92 lakhs deficit)(p.47)
- • High raw material cost dependence (65.79% of revenue in H1 FY26)(p.40)
- • High revenue dependence on repeat customers (99.05% in H1 FY26)(p.53)
- • Revenue concentration from Gujarat region (55.08% in H1 FY26)(p.51)
- • Regulatory compliance delays and filing issues under Companies Act, 2013(p.43)
- • High concentration of revenue in top customers(p.57)
- • Significant working capital requirements and reliance on credit facilities(p.54)
- • Increasing trade receivables and collection period extending(p.55)
- • Promoter dependency and personal guarantees backing loans(p.60)
- • Delays in statutory compliance and tax payments(p.55)
- • High debt-to-equity ratio of 1.80 in FY25, though improving from 3.26 in FY23(p.128)
- • Relatively low current ratio of 1.21 in FY25, indicating modest short-term liquidity position(p.128)
- • Company has 14 shareholders with highly concentrated promoter ownership at 91.12% of pre-issue capital(p.104)
- • Low capacity utilization of 41.82% as of March 31, 2025 and 22.74% as of September 30, 2025(p.118)
- • Significant increase in working capital requirement as percentage of revenue from 28.65% in FY23 to 34.41% in FY25(p.117)
- • High revenue concentration in textile industry at 77%(p.184)
- • Low capacity utilization at 41.82% in FY2025(p.197)
- • Significant customer concentration with top customer at 24.28% of revenue(p.182)
- • High supplier concentration with top supplier at 16.52% of purchases(p.194)
- • Dependence on imported raw materials (2.65% of purchases)(p.195)
- • Leased warehouse and office facilities expiring soon(p.204)
- • High debt-to-equity ratio; significant reliance on debt financing(p.291)
- • Outstanding litigation with insolvent customer (Morarjee Textile Limited); ₹27.97 lakhs receivable pending NCLT resolution(p.257)
- • Concentration of promoter shareholding; two promoters hold 83.16% of pre-issue capital(p.229)
- • Material receivables pending from one related-party customer (D R Enterprise); ₹2,249.88 lakhs outstanding(p.287)
- • High dependence on top five customers(p.304)
- • Significant outstanding borrowings and finance costs(p.295)
- • High cost of materials as primary expense component(p.294)
- • Negative operating cash flow in recent half-year(p.302)
- • High trade payables and working capital requirements(p.301)
Opportunities
- • Growing Indian specialty chemicals market projected to reach Rs 7.5 lakh crore by FY29 at 10-12% CAGR(p.27)
- • Global chemicals industry growing at 7% CAGR projected to reach $8.3 trillion by 2029(p.27)
- • Scope for expanding export presence beyond current 12 countries with only 5.7% export contribution(p.51)
- • Potential to expand international customer base with current limited export penetration(p.39)
- • Capacity expansion opportunity given only 22.74% utilization at 22,000 MT installed capacity(p.38)
- • Opportunity to develop eco-friendly and sustainable specialty chemicals as emphasized(p.37)
- • Rapid growth in global specialty chemicals market(p.58)
- • Expansion into international markets as strategic growth initiative(p.60)
- • Growth through strengthening presence across end-user application industries(p.60)
- • Transition toward green chemistry and sustainability-driven market demand(p.58)
- • India's bio-industrial sector growing at ~8% CAGR with market expected to reach Rs 10.4 lakh crore by 2030(p.144)
- • Expansion of geographies reach, diversification across end-use application industries and optimizing production capacities(p.114)
- • Domestic specialty chemicals market projected to grow from Rs 5.0 lakh crore in FY25E to Rs 7.5 lakh crore by FY29P at 10-12% CAGR(p.151)
- • Global specialty chemicals market expected to grow at 8% CAGR from 2024-2029, reaching $1,748 billion(p.147)
- • India specialty chemicals projected to record highest growth rate of 10-12% from 2025-2029 among key Asian economies(p.150)
- • Rising global and domestic demand to lift capex plans in specialty chemical sector with over ₹16,100 crores investment in next three years(p.154)
- • China+1 strategy positioning India as preferred destination for sourcing specialty chemicals(p.151)
- • Indian home and personal care market projected at 10-12% CAGR(p.184)
- • Strategic opportunity to diversify beyond textile into growth segments(p.184)
- • Global home and personal care chemicals market expanding at 6.35% CAGR(p.184)
- • Growing demand for sustainable and bio-based formulations(p.185)
- • Expansion into 12 international markets with growth potential(p.186)
- • Strategic distribution partnerships to enter new geographies(p.188)
- • Rising demand for home and personal care products(p.293)
- • Growth potential in bio-based sustainable solutions segment(p.292)
- • Export market expansion; current export sales of ₹261.30 lakhs in H1 FY26(p.281)
- • Capacity utilization improvement opportunity; company has manufacturing facilities at multiple locations(p.293)
- • Increasing capacity utilization with additional growth potential(p.296)
- • Subsidy income growth from government support schemes(p.296)
- • Export benefits income expansion(p.296)
- • Growing customer base continues to expand(p.298)
Threats
- • Inherent cyclicality and downturn risks in textile industry affecting demand(p.37)
- • Intense competition and price pressures from domestic and international manufacturers(p.51)
- • Fragmentation and commoditization of textile chemical market creating pricing pressures(p.37)
- • Volatile raw material prices and supply disruption risks from crude and chemical derivatives(p.40)
- • Dependence on continuous supply of water and electricity for manufacturing operations(p.41)
- • Exposure to industrial accident and hazard risks inherent in chemical manufacturing(p.42)
- • Risk of regulatory changes and compliance requirements affecting operations and costs(p.44)
- • Potential revocation or suspension of statutory licenses and regulatory approvals(p.44)
- • Seasonal and cyclical volatility in textile demand affecting sales volumes and inventory(p.53)
- • Vulnerability to adverse developments in Gujarat affecting operations and sourcing(p.53)
- • External market risks including recession, inflation and foreign exchange volatility(p.25)
- • GST litigation and regulatory proceeding involving demand of ₹7.34 lakhs(p.46)
- • Highly competitive specialty chemicals industry with established global players(p.58)
- • Business vulnerable to seasonal demand fluctuations and inventory risk(p.54)
- • Dependence on imported raw materials and foreign exchange exposure(p.57)
- • Vulnerability to currency exchange rate fluctuations(p.59)
- • Competitive pressures on direct and indirect customers impacting demand(p.57)
- • Supply chain disruptions and transportation risks(p.59)
- • Geopolitical risks and trade policy uncertainties(p.76)
- • Funding requirements and deployment of Net Proceeds based on management estimates without external appraisal(p.113)
- • Variation in funding requirements may be necessitated by external factors beyond management control(p.113)
- • Global economic growth slowing from 3.5% in CY23 to projected 2.8% for CY25(p.138)
- • Global trade disruption from prolonged geopolitical tensions and new US tariffs impacting economic growth(p.138)
- • Risk of shortfall in Net Proceeds affecting deployment schedule(p.114)
- • Volatile raw material costs and price competitiveness pressures(p.173)
- • Supply chain vulnerability and import dependence(p.173)
- • Stringent regulatory and environmental compliance requirements(p.173)
- • Intense competitive pressure from domestic and international players(p.174)
- • Cyclicality of end-use markets affecting demand patterns(p.174)
- • High R&D costs and extended product development timelines(p.174)
- • Significant fluctuation in raw material costs and forex rates affecting profitability(p.293)
- • High competition and market fragmentation in specialty chemicals(p.293)
- • Limited awareness and slower adoption of bio-based chemical alternatives in some sectors(p.293)
- • Disruption risks to supply chain and labor availability at manufacturing facilities(p.293)
- • Government regulations and policies affecting operations(p.293)
- • Interest rate risk from variable rate borrowings(p.303)
- • Credit risk from counterparties and customer default(p.303)
- • Liquidity risk associated with operations(p.303)
- • Pending GST tax demand affecting operations(p.310)
Promoters
| Name | Role | Pre-Issue | Post-Issue |
|---|---|---|---|
| Swapnil Rameshbhai Makati | Promoter | 74.54% | — |
| Hemangini Swapnil Dathia | Promoter | 8.62% | — |
| Swapnil Rameshbhai Makati | Promoter | — | — |
| Hemangini Swapnil Dathia | Promoter | — | — |
| Swapnil Rameshbhai Makati | Promoter | 74.54% | — |
| Hemangini Swapnil Dathia | Promoter | 8.62% | — |
| Meenaben Rameshbhai Dathia | Promoter Group | 7.95% | — |
| Swapnil Rameshbhai Makati | Promoter and Managing Director | — | — |
| Hemangini Swapnil Dathia | Promoter and Director | — | — |
| Swapnil Rameshbhai Makati | Promoter | 74.54% | — |
| Hemangini Swapnil Dathia | Promoter | 8.62% | — |
| Swapnil Rameshbhai Makati | Promoter | — | — |
| Hemangini Swapnil Dathia | Promoter | — | — |
Leadership
Dinesh Chopra · Chairman
Swapnil Rameshbhai Makati · Managing Director
Hemangini Swapnil Dathia · Whole-time Director
Pradip Ramniklal Solanki · Chief Financial Officer
Shradha Sarthak Agrawal · 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.