Tarsons Products
Mainboard₹1,024 Cr issue
+5.74%
Listing gain over issue price
Issue size
₹1,024 Cr
1 lot at cut-off
₹14,564
Lot size
22shares
Open
15 Nov 2021
Close
17 Nov 2021
Allotment
23 Nov 2021
Listing
26 Nov 2021
Listing performance
Issue price
₹662
Listed at
₹700
Listing-day close
₹840
Latest price
₹300
Close on 23 Oct 2026
Listing gain
+5.74%
Return since issue
-54.68%
Scheduled dates
Tentative timetable — a past date is not confirmation the step completed
Issue details
- IPO date
- 15 Nov 2021 – 17 Nov 2021
- Listing date
- 26 Nov 2021
- Face value
- ₹2 per share
- Issue price
- ₹662 per share
- Lot size
- 22 shares
- Total issue size
- ₹1,024 Cr
- Market cap at offer price
- ₹3,522 Cr
- Promoter holding
- 50.75% → 47.30% pre-issue → post-issue
- ISIN
- INE144Z01023
- Registrar
- Kfin Technologies Ltd.
- Lead managers
- Edelweiss Financial Services Ltd.
- Registered office
- Martin Burn Buisness Park, Room No.902 BP-3, Salt Lake, Sector-V, West Bengal
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 | 46,21,757 | — | — |
| Market maker | 0 | — | — |
Application size
Minimum 22 shares per lot, in multiples, at ₹662
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (min) | 1 | 22 | ₹14,564 |
| Retail (max) | 13 | 286 | ₹1,89,332 |
| S-HNI (min) | 14 | 308 | ₹2,03,896 |
| S-HNI (max) | 68 | 1,496 | ₹9,90,352 |
| B-HNI (min) | 69 | 1,518 | ₹10,04,916 |
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
46,21,757
Anchor portion
₹306 Cr
at ₹662 per share
Valuation and performance
Valuation at offer price
₹662 per share
| Metric | Pre-issue | Post-issue |
|---|---|---|
| Market cap | — | ₹3,522 Cr |
About Tarsons Products
Tarsons Products Limited, incorporated on July 5, 1983 in Kolkata and converted to a public limited company on June 14, 2021, designs, develops, manufactures, and markets laboratory consumables, reusables, and benchtop equipment. The company operates five manufacturing facilities in West Bengal, serving diverse end customers across research organizations, academic institutions, pharmaceutical companies, Contract Research Organizations (CROs), diagnostic companies, and hospitals. Products are distributed pan-India through 141 domestic authorized distributors and 45 overseas distributors. The company manufactures quality labware products under its brand label "TARSONS WITH THE WORDS -TRUST DELIVERED™" to support scientific discovery and improve healthcare. Revenue from operations for Fiscal 2021 was ₹2,289.11 million, with 66.09% from domestic distributors and 25.09% from overseas distributors in Q3 FY2022.
Company Analysis
from RHPTarsons Products Limited is an Indian labware manufacturer producing consumables, reusables, and benchtop equipment for research organizations, academia, pharmaceuticals, CROs, diagnostics, and hospitals across the global laboratory plasticware and glassware markets.
Tarsons Products Limited, incorporated on July 5, 1983 in Kolkata and converted to a public limited company on June 14, 2021, designs, develops, manufactures, and markets laboratory consumables, reusables, and benchtop equipment. The company operates five manufacturing facilities in West Bengal, serving diverse end customers across research organizations, academic institutions, pharmaceutical companies, Contract Research Organizations (CROs), diagnostic companies, and hospitals. Products are distributed pan-India through 141 domestic authorized distributors and 45 overseas distributors. The company manufactures quality labware products under its brand label "TARSONS WITH THE WORDS -TRUST DELIVERED™" to support scientific discovery and improve healthcare. Revenue from operations for Fiscal 2021 was ₹2,289.11 million, with 66.09% from domestic distributors and 25.09% from overseas distributors in Q3 FY2022.
Laboratory plasticware and equipmentLaboratory glassware and equipmentLife sciencesResearch and developmentDiagnosticsPharmaceuticals
Objects of the Issue
- Funding capital expenditure for the Proposed Expansion ₹620.00 million p.16
- Repayment/prepayment of certain borrowings ₹785.40 million p.16
- General corporate purposes ₹16.21 million p.16
- Repayment/prepayment of all or certain of our borrowings ₹785.40 million p.78
- Funding a part of the capital expenditure for the new manufacturing facility at Panchla, West Bengal (the Proposed Expansion) ₹620.00 million p.77
- General corporate purposes ₹16.21 million p.82
- Funding capex for new manufacturing facility at Panchla, West Bengal p.130
- Funding fulfilment centre and sterilization centre at Amta, West Bengal p.130
- Repayment of borrowings ₹785.40 million p.261
- General corporate purposes p.80
- Proposed Expansion p.270
Issue Structure
- Total Issue
- ₹10,234.74 million
- Fresh Issue
- ₹1,496.34 million
- Offer for Sale
- ₹8,738.40 million
- Price Band
- ₹635 - ₹662
- Lot Size
- 22 Equity Shares
- Face Value
- ₹2
Business Model
The company earns revenue through a distribution-led model: it manufactures labware products and sells them at discounted rates to authorized distributors, who in turn distribute to end customers. The company sells products directly to authorized distributors without exclusive arrangements. For Fiscal 2021, domestic distributors contributed ₹1,403.32 million (61.57% of revenue) and overseas distributors contributed ₹755.91 million (33.02% of revenue). The company also markets and sells through online platforms, which accounted for 0.01% of total revenue as of June 2021. Cost of material consumed accounted for 43.16% of total expenses in Q3 FY2022, with 79.89% of raw materials purchased and over 75% of raw materials imported.
Business Segments
Laboratory consumable products used in various laboratories across research organizations, academia institutes, pharmaceutical companies, CROs, diagnostic companies and hospitals
Laboratory reusable products including benchtop equipment used in various laboratories
Benchtop equipment and other laboratory equipment used in various laboratories
Distribution of laboratory products through 141 authorized distributors in domestic market across North (42), East (34), West (11), South (36) and Central India (18)
Distribution of laboratory products through 45 authorized distributors in overseas markets catering to a diverse set of end customers
Manufactures and sells laboratory plasticware and equipment to the life sciences sector
Includes pipette tips, centrifuge tubes, petri dishes, cryo vials, storage vials, PCR products, transfer pipettes and other consumable items used for collecting, transferring, storing, and processing samples in laboratories
Includes bottles, carboys, beakers, measuring cylinders, tube racks, and other reusable items for storage, mixing, and transportation of liquids and solutions in laboratories
Includes benchtop instrumentation such as vortex shakers, centrifuges, and pipettors that enable molecular and laboratory work
Manufacturing of plastic laboratory wares including pipette tips, centrifuge tubes, cryogenic vials, petridish, and serological pipettes for clinical and medical use
Centrifuge ware, cryogenic ware, liquid handling (pipette tips), PCR consumables and petri dishes
Bottles, carboys, beakers, measuring cylinders and tube racks
Benchtop instrumentation such as vortex shakers, centrifuges and hot plates
Plastic products manufactured using polystyrene, PP, HDPE, LDPE and other specialized resins for life sciences applications
Plastic products and instruments purchased and traded through authorized distributors
Manufactured and traded instruments and equipment for the life sciences industry
SWOT Analysis
Strengths
- • Established brand with 38+ years of operations and strong customer relationships(p.1)
- • Strong market position in Indian labware market with substitution of imports(p.38)
- • Diversified customer base across multiple sectors and geographies(p.15)
- • Quality certifications and compliance with international standards(p.26)
- • Automated manufacturing facilities with efficient production capacity(p.32)
- • Strong financial performance with growing revenues and profitability(p.39)
- • Long-term relationships with distributors averaging over 10 years(p.31)
- • Reliable IT systems and infrastructure for critical operations(p.44)
- • No historical data breaches(p.44)
- • Historical competitive advantage from lower employee compensation in India(p.44)
- • Leading Indian manufacturer with 9-12% market share in labware(p.143)
- • Among top 3 plasticware lab equipment manufacturers in India by revenue(p.113)
- • 36 years of manufacturing experience in life sciences(p.114)
- • Vertically integrated automated manufacturing with ISO and CE certifications(p.128)
- • Strong pan-India distribution with 141 authorized distributors(p.128)
- • Global presence in 40+ countries with branded and ODM sales(p.129)
- • Strong brand recognition and long-standing customer relationships(p.128)
- • High profitability and strong returns on capital(p.126)
- • Leading position in Indian plastic labware market by revenue(p.236)
- • Diversified product portfolio with 1,700+ SKUs across 300 products(p.235)
- • Certified quality standards (ISO 9001:2015, ISO 13485:2016, CE-IVD)(p.236)
- • Vertically integrated and automated manufacturing facilities(p.236)
- • Global reach across 40+ countries(p.236)
- • Strong profitability with EBITDA margins of 46.45% in FY2021(p.236)
- • Experienced management with 30+ years sector expertise(p.236)
- • Centralized procurement system across manufacturing facilities(p.239)
- • Multiple approved third-party suppliers for raw materials(p.239)
- • Ability to pass on raw material price increases to customers(p.239)
Weaknesses
- • Heavy dependence on imported raw materials (>75%) creating supply chain vulnerability(p.27)
- • Geographic concentration of all manufacturing in West Bengal with 86.32% revenue from two units(p.27)
- • Jangalpur facility (58% of sales) lacks land conversion approval for majority of the plot since 2006(p.27)
- • Heavy reliance on distributor model with no minimum purchase commitments(p.31)
- • Dependence on top 10 distributors for 37-42% of revenue(p.42)
- • Significant FX exposure with 75.54% of raw material expenses in foreign currency(p.27)
- • Certain corporate records and filings not traceable dating back to incorporation in 1983(p.41)
- • High inventory and receivables cycle of 135 days compared to 9-day payables cycle(p.36)
- • Vulnerability of IT systems to disruptions and cyber-attacks(p.44)
- • Risk of potential data breaches and theft of proprietary information(p.44)
- • Reliance on well-trained IT and ERP system staff(p.44)
- • Uncertainty regarding future dividend payment capacity(p.44)
- • Counterparty credit risk from distributor payment delays(p.44)
- • Significant promoter stake limits minority shareholder influence(p.45)
- • Related party transactions with potential for unfavorable terms(p.45)
- • Deficiencies in internal controls over financial reporting(p.45)
- • Heavy dependence on imports for raw materials (>75%)(p.141)
- • Revenue concentration in South and West regions (63% of sales)(p.112)
- • Reliance on top 10 distributors for significant revenue portion(p.129)
- • Relatively small domestic market share compared to global players(p.112)
- • Limited R&D spending compared to global peers(p.97)
- • Regulatory uncertainty regarding land use conversion in West Bengal(p.197)
- • Incomplete identification documents for key management(p.158)
- • Work experience not traced for key management(p.159)
- • Subsidiary being wound up(p.154)
- • Significant capital projects suspended(p.196)
- • Heavy reliance on uncontracted distributors without long-term agreements(p.238)
- • Dependence on a limited number of major customers(p.211)
- • Significant foreign exchange exposure from overseas operations(p.238)
- • High working capital requirements averaging 135+ days(p.238)
- • Production volume misalignment risk due to lack of long-term contracts(p.237)
- • Heavy dependence on imported raw materials(p.239)
- • Time lag in passing raw material cost increases to customers(p.239)
Opportunities
- • India's labware market expected to grow at 16% CAGR to reach ₹25,755 million by FY2025(p.15)
- • Global shift from glassware to plastic labware with plastic expected to reach 67% market share by 2025(p.15)
- • Global plastic laboratory products market expanding at 10.5% CAGR to USD 13.8 billion by 2025(p.15)
- • Increased Government of India investments in pharmaceuticals and biotech R&D(p.15)
- • Expansion of international markets with established overseas distribution network of 45 distributors(p.31)
- • Increased laboratory investigations and clinical trials post-COVID-19 pandemic(p.32)
- • Proposed Panchla facility expansion expected to commission by August 2023(p.30)
- • Expansion into new manufacturing facilities(p.77)
- • Growing global healthcare market with strong CAGR(p.92)
- • Strong growth in Asia-Pacific healthcare market(p.94)
- • India's rapidly growing healthcare sector with government support(p.96)
- • Benefit from listing to enhance brand and market visibility(p.77)
- • Indian plastic labware market expected to grow at 16% CAGR through 2025(p.129)
- • Government initiatives boosting biotech and pharmaceutical R&D(p.129)
- • Global market for plastic labware expected to reach $13.8 billion by 2025(p.127)
- • Shift from glassware to plasticware products globally and in India(p.127)
- • Rising chronic disease burden driving demand for diagnostics and R&D(p.129)
- • India becoming preferred destination for pharmaceutical outsourcing and CROs(p.98)
- • Tariff benefits and cost advantage as Indian manufacturers gain share from China(p.130)
- • High export potential with India forming ~2% of global plasticware market(p.109)
- • Multiple manufacturing locations enabling production capacity expansion(p.153)
- • ISO certifications and quality standards positioning for regulated markets(p.153)
- • CE-IVD certification enabling access to European diagnostic markets(p.153)
- • Pioneering clean room manufacturing capability(p.153)
- • Strong domestic market growth of 16% CAGR through 2025(p.236)
- • Global plastic lab equipment market expanding at 10.5% CAGR to USD 13.8B by 2025(p.236)
- • Planned new manufacturing facility in Panchla expected to be operational by H2 FY2023(p.237)
- • Expansion of high-margin sterilized products through new in-house sterilization centre(p.237)
- • Capacity expansion in key product verticals (liquid handling, centrifuge ware, cryo ware)(p.237)
- • Growing adoption of plastic labware across emerging markets and life sciences(p.236)
Threats
- • Global MNC competitors (Corning, Thermo Fisher, Eppendorf) with 30-40% Indian market share(p.37)
- • Risk of plastic product bans by GoI and other countries for environmental reasons(p.38)
- • Volatile commodity prices for polymers (PP, PS, HDPE, LDPE) affecting cost structure(p.40)
- • COVID-19 pandemic and future pandemics causing supply chain disruptions(p.31)
- • Transportation bottlenecks and port congestion at Kolkata affecting product shipments(p.29)
- • Regulatory risks from environmental compliance and stringent manufacturing standards(p.39)
- • Foreign exchange volatility impacting overseas revenue and import costs(p.27)
- • Potential loss of key customers and distributor concentration risk(p.42)
- • Competition from MNCs adopting innovative distribution models like e-commerce(p.31)
- • Risk of natural disasters and regional conflicts affecting West Bengal operations(p.29)
- • Rising employee compensation in India eroding competitive advantage(p.44)
- • Loss of export benefits and tax incentives(p.45)
- • Macroeconomic factors beyond management control affecting funding(p.46)
- • Variations in GST implementation and compliance(p.47)
- • Risk of increased labor costs from new labor codes(p.48)
- • Dependence on India's economic conditions and macroeconomic factors(p.46)
- • Inflation impact on costs and profit margins(p.48)
- • Foreign investor restrictions limiting capital raising ability(p.49)
- • Global financial instability affecting Indian markets(p.53)
- • Competition law risks and adverse CCI interpretations(p.50)
- • Indian healthcare expenditure as % of GDP is 1/3rd of global average(p.96)
- • Heavy import dependence creates foreign exchange and supply chain risks(p.96)
- • Intense competition from global MNCs dominating 30-40% of Indian market(p.113)
- • COVID-19 pandemic impact on customer access and supply chain(p.147)
- • High industry fragmentation with 7-8 significant players controlling 50-55% of market(p.113)
- • Stringent regulatory requirements and quality compliance standards(p.143)
- • Pricing pressure from generic and low-cost competitors(p.120)
- • Multiple regulatory compliance requirements across jurisdictions(p.148)
- • Environmental regulations requiring ongoing compliance(p.149)
- • Mandatory pollution control board consents(p.149)
- • Labour law changes affecting operational structure(p.150)
- • Investor control agreement constraints on company governance(p.155)
- • COVID-19 pandemic causing supply chain disruptions and production restrictions(p.237)
- • Foreign exchange volatility affecting imported raw materials and machinery costs(p.238)
- • Risk of distributor termination without long-term binding contracts(p.238)
- • Regulatory policy changes affecting foreign exchange hedging capabilities(p.238)
- • Risk of delays or cost overruns in planned expansion projects(p.237)
- • Competition from established global MNC players in labware sector(p.236)
- • Raw material price volatility and supply mismatches(p.239)
- • COVID-19 pandemic disruptions and resurgence(p.239)
- • Supply chain disruptions impacting sales(p.239)
Promoters
| Name | Role | Pre-Issue | Post-Issue |
|---|---|---|---|
| Sanjive Sehgal | Promoter/Promoter Selling Shareholder | 28.94% | — |
| Rohan Sehgal | Promoter/Promoter Selling Shareholder | 21.81% | — |
| Clear Vision Investment Holdings Pte. Limited | Investor Selling Shareholder | 49.00% | — |
| Sanjive Sehgal | Promoter | 28.94% | 27.71% |
| Rohan Sehgal | Promoter | 21.81% | 20.88% |
| Clear Vision Investment Holdings Pte. Limited | Investor Selling Shareholder | 49.00% | 46.91% |
| Sanjive Sehgal | Promoter | — | — |
| Sanjive Sehgal | Promoter | 29.16% | — |
| Rohan Sehgal | Promoter | 21.81% | — |
| Sanjive Sehgal | Promoter | 29.18% | 29.16% |
| Rohan Sehgal | Promoter | 21.82% | 21.81% |
| Clear Vision Investment Holdings Pte Limited | Promoter Group | 49.00% | 49.00% |
| Clear Vision Investment Holdings Pte. Limited | Promoter/Selling Shareholder | — | not more than 24.9% |
| Sanjive Sehgal | Promoter Selling Shareholder | — | — |
| Rohan Sehgal | Promoter Selling Shareholder | — | — |
| Clear Vision Investment Holdings Pte. Limited | Investor Selling Shareholder | — | — |
Leadership
Sanjive Sehgal · Chairman and Managing Director
Rohan Sehgal · Executive Director
Santosh Agarwal · Chief Financial Officer
Piyush Khater · 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.
Tarsons Products IPO FAQs
What is the lot size of Tarsons Products IPO?
The minimum lot size of Tarsons Products IPO is 22 shares. One lot costs ₹14,564 at the cut-off price.
When does Tarsons Products IPO open and close?
Tarsons Products IPO opened for subscription on 15 Nov 2021 and closed on 17 Nov 2021.
What is the listing date of Tarsons Products IPO?
Tarsons Products IPO listed on 26 Nov 2021.