Accent Microcell IPO Receives 16 Times Subscription On Its First Day

Accent Microcell, a manufacturer and exporter of cellulose-based pharmaceutical excipients, is set for public subscription of its SME Initial Public Offer (IPO) which will remain open from 8 December to 12 December. 

The Anchor portion which opened on 7 December consisting of 5,96,00 shares worth Rs 22.34 crore is fully subscribed. Whereas Retail investors have subscribed the issue more than 16 times on its first day. Notably, only 18.62 lakh shares are reserved for the retail investors, according to statistics by chittorgarh.com.

The company attempts to raise approximately Rs. 78.40 crore from the issue and aims to be listed on NSE Emerge. The price band for the issue has been fixed at Rs. 133 to Rs 140 per share. 

Corporate Capital Ventures Private is the Book Running Lead Manager and KFIN Technologies is the Registrar to the Issue.

Accent Microcell intends to utilise the proceeds for the establishment of a new plant at Navagam Kheda, Gujarat, India for manufacturing Croscarmellose Sodium (CCS), Sodium Starch Glycolate (SSG) and Carboxymethylcellulose (CMC), which is expected to be commercialised by April 2025.

The company predominantly manufactures Microcrystalline Cellulose (“MCC”), which is widely used as a texturiser, anticaking agent, binder, lubricant, bulking agent, and diluent with an extensive range of applications in pharmaceutical, nutraceutical, food, cosmetic and other industries. In addition to MCC, it produces other excipients such as Croscarmellose Sodium (CCS) and Magnesium Stearate (MS).

Accent Microcell registered a revenue of Rs 204.19 crore in FY23, compared to Rs 165.71 crore in FY22. In the first quarter of FY24, the company clocked a revenue of Rs 58.81 crore. Accent Microcell’s profit after tax (PAT) more than doubled to Rs 13.01 crore in FY23 from Rs 5.89 crore in FY22. 

Incorporated in 2012, Accent Microcellcaters to the needs of various Indian and global customers supported by supply chain with two manufacturing facilities located in Pirana and Dahej SEZ. The company plans to increase its cumulative annual capacity to 10,400 metric tonnes from 8,000 metric tonnes including all range of excipients category.