Stallion India Fluorochemicals refiles draft IPO papers to raise funds from listing

Mumbai-based Stallion India Fluorochemicals has refiled the preliminary papers with the capital markets regulator Sebi for raising funds from the public.

The proposed initial public offering (IPO) will be a mix of 1,78,58,740 fresh equity shares and an offer-for-sale (OFS) of 43,02,656 equity shares by promoter Shazad Sheriar Rustomji. The offer would constitute 27.94 percent of the post-offer paid-up equity share capital, said the draft IPO papers.

Shazad Sheriar Rustomji holds 94.60 percent stake in the company, and 5.37 percent shares are held by the only public shareholder Geetu Yadav.

Stallion India had withdrawn its previous draft papers filed with the regulator for an IPO on December 18, 2023.

The company supplies refrigerant gases to several industries such as air conditioners and refrigerators, fire fighting, semiconductor manufacturing, automobile manufacturing, pharma and medicals, semiconductors, glass bottle manufacturing, aerosols and spay foam.

It will utilise Rs 95 crore out of the fresh issue proceeds for working capital requirements, Rs 29.15 crore for semi-conductor and specialty gas debulking and blending facility in Khalapur, Maharashtra, and Rs 21.2 crore for refrigerant debulking and blending facility in Mambattu, Andhra Pradesh. The remaining fresh issue money will be set aside for general corporate purposes.

Also read: India’s first opto-semiconductor maker Polymatech may launch IPO in April

With more than two decades of experience in fluorochemicals debulking, bottling & distribution, Stallion India operates business through its four facilities in Maharashtra, Rajasthan, and Haryana.

The company that competes with Gujarat Fluorochemicals, SRF and Navin Flourine , has recorded net profit at Rs 16.2 crore for the year ended March FY23, falling 23 percent compared to previous financial year impacted by weak operating numbers, though revenue from operations grew by 21.3 percent on-year to Rs 225.5 crore for the year.

Also read: Vijay Kedia-backed Tac Security to be India's first cybersecurity IPO, opening on March 27

EBITDA (earnings before interest, tax, depreciation and amortisation) for FY23 fell sharply by 50.3 percent to Rs 16.2 crore with margin declining 1,030 bps to 7.2 percent compared to previous fiscal. Net profit for six months period ended September FY24 stood at Rs 5.4 crore on revenue of Rs 92.7 crore.

Sarthi Capital Advisors is the sole merchant banker to the issue.

Discover the latest business news, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!