| Price | Lot Size | Issue Date | Issue Size |
|---|---|---|---|
| ₹ 105 to ₹ 111 | 135 | 26th Jun, 2025 – 30th Jun, 2025 | ₹200 Cr |
Indogulf Cropsciences Limited IPO
Indogulf Cropsciences Ltd., established in 1993, is a leading player in India’s agrochemical industry, engaged in the manufacturing and marketing of crop protection products, plant nutrients, and biologicals. The company operates under three key business verticals – crop protection, plant nutrients, and biologicals – serving both retail and institutional customers with a focus on enhancing crop yield and promoting sustainable agriculture. The company manufactures a wide range of products across multiple formulations, including water dispersible granules (WDG), suspension concentrate (SC), capsule suspension (CS), ultra-low volume (ULV), emulsion in water (EW), soluble granule (SG), flowable suspension (FS), etc, which are offered in powder, granular, and liquid forms. The company is among the few indigenous manufacturers of technical-grade molecules, such as Spiromesifen and Pyrazosulfuron-ethyl, in India. It exports to over 34 countries and is recognized as a ‘Two Star Export House’ by the Government of India. Indogulf’s registered product portfolio includes insecticides, herbicides, fungicides, plant growth regulators, and bio-stimulants under brand names such as Farrate, Dominator, Corsa-808, Alkazar, Bound Off, Breeza, Apache, and Root-o-Max Gold. Its licensed plant nutrient products include Picaso Gold, Jagromin-99, and Zinc Super+. With four ISO-certified manufacturing facilities across Haryana and Jammu & Kashmir, the company supports production through a robust supply network and strategic sourcing of raw materials from both domestic and global partners. They also provide contract manufacturing services that are customizable to meet specific requirements and formulations requested by its clients, delivering tailored solutions. The company’s longevity in the industry, spanning over three decades, is a testament to its ability to adapt to evolving industry landscapes, business environments, and customer requirements. They have built long-standing relationships with numerous customers and catered to major domestic and international brands. Its extensive marketing and distribution network spans 22 states and 3 Union Territories in India, supported by 5,772 domestic distributors, 169 institutional clients, and 129 overseas partners. The company also emphasizes R&D through its NABL-certified laboratory in Haryana, which is backed by a team of scientists and agronomists. The company’s R&D efforts have resulted in the grant of three patents since FY19 and two additional patent applications are currently in the pipeline.
Objective of the Indogulf Cropsciences Limited IPO
The net proceeds from the fresh issue will be used towards the following purposes:
- Funding working capital requirements of company;
- Repayment/Prepayment of a portion of certain outstanding borrowings;
- General corporate purposes.
Rationale To Indogulf Cropsciences Limited IPO
Diversified product portfolio and specialized products to aid financial performance
The company has diversified its product portfolio over three decades and has grown into a multi-product manufacturer of crop protection, plant nutrients, and biologicals in India. The company’s product portfolio has expanded from 198 products in FY22 to 259 products in FY24, comprising products manufactured using in-house innovative processes, which enables the company to cater to a broad customer base across both domestic and international markets. The company offers a variety of formulations, including WDG, SC, CS, ULV, EW, SG, and FS, available in powder, granular, and liquid forms, along with innovative QR-code-enabled packaging that enhances transparency and product traceability. Indogulf has developed patented packaging solutions, holding three packaging patents alongside 167 trademarks, seven copyrights, and six design registrations, which collectively strengthen brand identity and enhance customer trust. The company also has a robust pipeline, with 152 products under registration and 19 under manufacturing, indicating strong future growth visibility. Its multipurpose manufacturing facilities offer operational flexibility, enabling the company to adjust its product mix according to market demand and reduce its reliance on specific products. Moreover, the agrochemical sector’s high regulatory entry barriers, including extensive R&D, long lead times, and complex approvals, further strengthen the company’s competitive positioning, making it well-placed to scale operations, maintain customer loyalty, and sustain long-term growth visibility.
Backward integration and flexible manufacturing infrastructure provides competitive advantage
The company possesses a well-established, backward-integrated manufacturing infrastructure, which forms a critical component of its operational efficiency and cost leadership. The company has four ISO 9001:2015 and ISO 14001:2015 certified facilities spread across approximately 20 acres in Jammu & Kashmir and Haryana. The company has integrated both formulation and technical manufacturing capabilities, along with fertilizer production, allowing it to maintain stringent control over product quality and production timelines. Indogulf’s backward integration model enables the in-house manufacturing of key raw materials for select products, significantly reducing reliance on third-party suppliers and import dependencies. This not only minimizes exposure to global supply chain disruptions but also reduces procurement and logistics costs,thereby improving overall operating margins. The backward integration commenced at the Samba facility in November 2006 and later at Nathupur-II in December 2013, marking a long-standing commitment to self-reliance and cost optimization. Notably, captive consumption accounted for 29.5%, 17%, 37%, and 26% of total production in 9MFY25, FY24, FY23, and FY22, respectively, underscoring operational self-sufficiency. The company has also built strong and long-standing relationships with both domestic and international raw material vendors, further ensuring consistent supply, timely delivery, and production continuity. In addition, Indogulf’s facilities are multi-purpose and designed to allow for a high level of flexibility, enabling the manufacture of a diverse range of products across all three verticals. This flexibility enables the modification and customization of product portfolios to meet the evolving needs of customers.
Valuation of Indogulf Cropsciences Limited IPO
Indogulf Cropsciences Limited is strategically positioned in the agrochemical sector, with a strong foundation built on a diversified product portfolio, backward-integrated manufacturing, and a robust distribution network. To capitalize on the opportunities, the company has laid out a well-defined growth strategy. This includes expanding its product portfolio and manufacturing capacities, particularly through the proposed in-house dry flowable (DF) plant at Barwasni. It also aims to strengthen its global footprint by increasing export registrations and entering new international markets. Additionally, Indogulf plans to deepen its R&D focus, streamline operations for cost efficiency, and enhance its sales and distribution network across both domestic and overseas territories. This multi-pronged strategy positions the company well for sustainable growth and value creation in the medium to long term. The agrochemical industry is also expected to benefit from structural growth factors, including rising food demand, increasing farm mechanization, and supportive government policies aimed at agricultural sustainability and food security. These trends create a favourable demand environment for Indogulf’s wide range of technical, formulation, and fertilizer products. On the financial front, the company has demonstrated stable and improving performance over the past three years, driven by strong demand across both domestic and international markets. EBITDA margins have remained steady, aided by cost optimization and value-added product offerings. The company also maintains a low debt-to-equity, underscoring a strong balance sheet. Overall, Indogulf’s financial outlook appears stable and growth-oriented, led by a strong growth trajectory, financial stability, and a well-articulated expansion strategy. The company’s backward-integrated manufacturing setup, diversified product portfolio, and expanding global footprint provide a strong competitive advantage. The planned capacity expansion, deeper market penetration, and R&D focus are likely to enhance earnings visibility in the coming years. The issue is valued at a P/E ratio of 21.8x on the upper price band based on FY25 earnings (annualized). We, thus, recommend a “SUBSCRIBE” rating for this issue.
What is the Indogulf Cropsciences Limited IPO?
The initial public offer (IPO) of Indogulf Cropsciences Limited offers an early investment opportunity in Indogulf Cropsciences Limited. A stock market investor can buy Indogulf Cropsciences Limited IPO shares by applying in IPO before Indogulf Cropsciences Limited shares get listed at the stock exchanges. An investor could invest in Indogulf Cropsciences Ltd IPO for short term listing gain or a long term.
How to apply for the Indogulf Cropsciences Limited IPO through StoxBox?
To apply for the Indogulf Cropsciences Limited IPO through StoxBox one can apply from the website and also from the app. Click here
When will the Indogulf Cropsciences Limited IPO open?
Indogulf Cropsciences Limited IPO is opening on 26th Jun 2025. Apply Now
What is the lot size of the Indogulf Cropsciences Limited IPO?
The Lot Size of Indogulf Cropsciences Limited IPO is 135 equity shares. Login to your account now.
When is the Indogulf Cropsciences allotment date?
The allotment Date for Indogulf Cropsciences Limited IPO is 1st Jul 2025. Login to your account now.
When is the Indogulf Cropsciences Limited IPO listing date?
The listing Date for Indogulf Cropsciences Limited IPO is 3rd July 2025. Login to your account now
What is the minimum investment required for the Indogulf Cropsciences Limited IPO?
In the Retail segment the minimum investment required is Rs. 14,985. Login to your account now
What is the maximum investment allowed for the Indogulf Cropsciences Limited IPO?
In the Retail segment the maximum investment requirement is Rs. 1,94,805. Login to your account now
What are the risks associated with investing in the Indogulf Cropsciences Limited IPO?
The company is subject to regular inspections and audits, and the success and wide acceptance of its products are largely dependent on quality controls and standards. Any failure to comply with quality standards may adversely affect business prospects and financial performance, including the cancellation of existing and future orders, which may expose the company to warranty claims. The value of the company’s brands may be diluted if there is a change in the brand name for a known product, quality concern, or adverse publicity, which could adversely affect business, financial condition and results of operations. Underutilization of manufacturing capacities and an inability to effectively utilize expanded manufacturing capacities could harm business prospects and financial performance.
When will the Indogulf Cropsciences Limited IPO shares be credited to my Demat account?
The Indogulf Cropsciences Limited . IPO be credited to the account on allotment date which is 1st Jul 2025. Login to your account now
Where can I find the Indogulf Cropsciences Limited IPO prospectus?
The prospectus of Indogulf Cropsciences Limited IPO prospectus can be find on the website of SEBI, NSE and BSE
