Mumbai: Divyadhan Recycling Industries Ltd proposed to open its Initial Public Offering of 37,76,000 shares — priced at Rs 60 to Rs 64 per share, aggregating Rs 24.17 crore – that will open on September 26, 2024 and close on September 30, 2024.
Varun Gupta, Managing Director, Divyadhan Recycling Industries Limited told media here recently that the net proceeds from the IPO – which is to be listed on the NSE Emerge platform — will be primarily used for funding Capital Expenditure and General Corporate Purposes.
Describing the IPO as a crucial step in expanding the company’s production capabilities while embracing new opportunities in sustainable manufacturing, Gupta said the funds would help invest in state-of-the-art technologies, improved infrastructure and scaling of operations to meet increasing demand for recycled polyester products.
Expressing excitement about this new phase of development, Gupta noted that the IPO presented an opportunity to not only grow the company, but also contribute to a more sustainable future.
With plastics and PET bottles contributing to pollution, recycling them through their factory made it possible for conversion into three fibres as raw materials for usage in various sectors like knitting, textiles and so on, he said.
“Plastic is not +bio-degradable+ and so we are using it this way — as we are pollution-compliant – by supplying it to existing channel partners to the extent that their orders are even over-booked,” he pointed out.
He said the IPO will enable the company to enhance its manufacturing facilities, expand production capacity and invest in new technologies, besides also boosting operational efficiency and supporting the company’s future growth and expansion.
In FY24, the Company achieved a Revenue of Rs 5,612.99 lakhs, EBITDA of Rs 570.18 lakhs and PAT of Rs 237.80 lakhs.
Book Running Lead Manager is Narnolia Financial Advisors Limited, and the Registrar to the Issue is Skyline Financial Services Private Limited.
