The utilization of funds raised via fresh issue would be used to repay 68 crs of its certain outstanding borrowings and use Rs 119.5 crs to fund its working capital requirements besides general corporate purposes.

The public issue consists of a fresh issue of equity shares worth up to Rs 250 crore and an offer-for-sale (OFS) up to 26,000,000 equity shares by the Promoter and selling shareholders.  

Solapur-based speciality chemicals company, Balaji Speciality Chemicals has filed its Draft Red Herring Prospectus (DRHP) with the markets regulator, Securities and Exchange Board of India (SEBI), to raise funds through an initial public offering (IPO).

The public issue consists of a fresh issue of equity shares worth up to Rs 250 crore and an offer-for-sale (OFS) up to 26,000,000 equity shares by the Promoter and selling shareholders.  

The utilization of funds raised via fresh issue would be used to repay 68 crs of its certain outstanding borrowings and use Rs 119.5 crs to fund its working capital requirements besides general corporate purposes.

The company may consider a pre- ipo placement aggregating to 50 cr.

Incorporated in 2010, Balaji Speciality Chemicals Limited (BSCL) subsidiary of Balaji Amines Ltd is the sole manufacturer in India of niche chemicals such as Ethylene Diamine (EDA), Piperazine Anhydrous (PIP), Diethylenetriamine (DETA), Aminoethyl ethanolamine (AEEA) and Aminoethyl Piperazine (AEP), using the Monoethanol Amine (MEA) process. The chemicals manufactured by BSCL are an import substitute and are used in various end-use industries such as speciality chemicals, agrochemicals, and pharmaceuticals. Its experienced and professional team is led by Rajeshwar Reddy Nomula.

EDA is ethylene amine with the lowest molecular weight. It contains two primary amine groups and is a colourless liquid, with an ammonia-like odour. It is commonly used as a building block for the production of other chemical products.

HDFC Bank Limited and JM Financial Limited are the book running lead managers and Link Intime India Private Limited is the registrar to the offer. The equity shares are proposed to be listed on BSE and NSE.