Mumbai-based Jesons Industries has refiled its draft red herring prospectus (DRHP) with the market regulator Securities and Exchange Board of India (SEBI) to raise funds through an Initial Public Offering (IPO).
The IPO, with a face value of ₹5 per share, comprises a fresh issue worth up to ₹300 crore and an offer for sale of 9.46 million equity shares by Dhiresh Shashikant Gosalia. It includes a reserved portion for eligible employees, who are also offered a discount when bidding under the employee reservation category.
Moreover, the company, in consultation with the lead bankers, may explore an additional equity issuance, including a private placement, amounting to up to ₹60 crore. If this placement is successfully executed, the size of the fresh issue will be adjusted accordingly.
Proceeds from the fresh issuance of shares will be used to extent of ₹165 crore will be used for repayment/prepayment, in full or in part, of certain outstanding borrowings availed by the Company and/or its Subsidiaries, ₹77.90 crore for funding of capital expenditure through investment in its wholly owned subsidiary, Jesons Innovative Polymers Private Limited, for setting up of machine lines for the new adhesives project – solvent based adhesives and flexible packaging adhesives, and general corporate purposes.
The issue is being made through the book-building process, wherein not more than 50 per cent of the Issue is allocated to qualified institutional buyers, and not less than 15 per cent and 35 per cent of the net offer is assigned to non-institutional and retail individual bidders respectively.
Motilal Oswal Investment Advisors Limited, and IIFL Capital Services Limited are the book running lead managers to the issue, while MUFG Intime will be the registrar. The shares of the company are proposed to be listed on NSE and BSE.
About the company
Jensons Industries caters to a diverse range of end-user industries, including paints, packaging, furniture manufacturing, construction, tiles, textiles, leather chemicals, carpet chemicals, and paper chemicals.
Over the last three fiscal years and the six months ending September 30, 2024, Jensons Industries introduced 42 new products spanning industries like woodworking, RDP, and formulated construction chemicals. Of these, 26 were launched during Fiscal 2024 and the first half of Fiscal 2025.
