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Dhanlaxmi Crop Science Ltd IPO
Status: Closed
Overview
IPO date
09 Dec 2024 to 11 Dec 2024
Face value
₹ 10 per share
Price
₹ 52 to ₹55 per share
Issue Size
4328000 shares
(aggregating up to ₹ 23.8 Cr)
(aggregating up to ₹ 23.8 Cr)
Allotment Date
12 Dec 2024
Listing at
NSE
Issue type
Book Building - SME
Sector
Miscellaneous
Objectives of Dhanlaxmi Crop Science Ltd IPO
Initial public offer of up to 43,28,000 equity shares of face value of
Rs. 10/- each ("Equity Shares") of Dhanlaxmi Crop Science Limited (the "Company" or the "Issuer") for cash at a price of Rs. 55/- per equity share, including a share premium of Rs. 45/- per equity share (the "Issue Price"), aggregating to Rs. 23.80 crores ("The Issue"), of which 2,18,000 equity shares of face value of Rs. 10/- each for cash at a price of Rs. 55/- per equity share, aggregating to Rs. 1.20 crores will be reserved for subscriptions by the market maker to the issue (the "Market Maker Reservation Portion"). The issue less market maker reservation portion i.e., issue of up to 41,10,000 equity shares of face value of Rs. 10/- each for cash at a price of Rs. 55/- per equity share, aggregating to Rs. 22.60 crores is here in after referred to as the "Net Issue". The issue and the net issue will constitute 26.51% and 25.17% respectively of the post issue paid up equity share capital of the company.
Issue price is Rs. 55 per equity share of the face value of Rs. 10 each.
Objectives of Dhanlaxmi Crop Science Ltd IPO
Initial public offer of up to 43,28,000 equity shares of face value of
Rs. 10/- each ("Equity Shares") of Dhanlaxmi Crop Science Limited (the "Company" or the "Issuer") for cash at a price of Rs. 55/- per equity share, including a share premium of Rs. 45/- per equity share (the "Issue Price"), aggregating to Rs. 23.80 crores ("The Issue"), of which 2,18,000 equity shares of face value of Rs. 10/- each for cash at a price of Rs. 55/- per equity share, aggregating to Rs. 1.20 crores will be reserved for subscriptions by the market maker to the issue (the "Market Maker Reservation Portion"). The issue less market maker reservation portion i.e., issue of up to 41,10,000 equity shares of face value of Rs. 10/- each for cash at a price of Rs. 55/- per equity share, aggregating to Rs. 22.60 crores is here in after referred to as the "Net Issue". The issue and the net issue will constitute 26.51% and 25.17% respectively of the post issue paid up equity share capital of the company.
Issue price is Rs. 55 per equity share of the face value of Rs. 10 each.
Dhanlaxmi Crop Science Ltd IPO Strategy
- Venturing into high value segments.
- Venturing into new crops.
- Expanding into new potential markets.
- Custom-made Product Development.
- Continue investing in breeding and other R&D.
- Adaptability to new technology sharing and sales opportunities.
- Expand our marketing and distribution network to increase the sales opportunities.
- Attract and retain skilled and experienced professionals.
About Dhanlaxmi Crop Science Ltd
Dhanlaxmi Crop Science Limited was originally incorporated as a Private Limited Company in the name of 'Dhanlaxmi Agrichem Private Limited' on November 28, 2005 issued by Registrar of Companies - Gujarat, Dadra and Nagar Havelli. Subsequently, the Company name was changed to 'Dhanlaxmi Crop Science Private Limited' vide a fresh Certificate of Incorporation dated February 09, 2007 issued by Registrar of Companies - Gujarat, Dadra and Nagar Havelli. Subsequently, the status was converted into Public Company and the name was changed to 'Dhanlaxmi Crop Science Limited' vide a fresh Certificate of Incorporation dated September 15, 2023 issued by Registrar of Companies - Ahmedabad.
Founded by the Promoter, Kamlesh Patel, Dhanlaxmi Crop Science is a technology driven seeds company that develops, produces, processes and sells seeds for field crops and vegetables, in the Indian seeds industry. The Company product includes field crop and vegetable seeds for Cotton, Wheat, Cumin, Bajra, Maize, Gram, Okra, Green Gram, SSG, Soyabean, Milky ,Mustard, Groundnut, Black Gram, Guar, Castor, Sesame, Jowar, Coriander, Red Gram, Green Pea, Multifeed, Onion etc. Their seeds are suitable for varying agro climatic conditions, such as water availability, crop duration and soil attributes, across different geographic regions in India.
The Company created a milestone in 1994, by starting as a rural agriculture shop. It started marketing for cotton seed as a co-marketer of Nuziveedu seeds in 2006. The Company became ICRISAT member and ISO certified company with govt recognized R&D and Bio-Tech lab in 2015. It also became direct sub-licensee of Monsanto for BG-II Cotton in 2015. Later, it started other hybrid crop seeds like Maize, Bajra, Mustard, Res Wheat, Res Cumin, Res Moong in 2018.
The Company develop and produce its own hybrid seeds in R&D farm, Biotech lab, Green house. At present, it works out business in 10 States in India with a huge team of marketing and scientist to provide better quality seeds to farmer community. Now, the Company is developing Vegetable seeds also.
The Company is planning an Initial Public Offer of upto 43,28,000 Equity Shares through Fresh Issue.
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T&C*
Strengths vs Risks of Dhanlaxmi Crop Science Ltd
Know the pros & cons
Strengths
Experienced promoters having deep knowledge to scale up the business.
- Established and proven track record.
- Leveraging the experience of its Promoters.
- Experienced management team and a motivated and efficient work force.
- Cordial relations with its customers.
- Quality Assurance & Control.
Risks
- The Company, Directors, Promoters and Group Companies are parties to certain legal proceedings. Any adverse decision in such proceedings may have a material adverse effect on its business, results of operations and financial condition.
- The company is highly dependent on the sale of cotton seeds and its business is exposed to risks related to product concentration, which could materially and adversely affect its business, financial condition, results of operations, and prospects.
- The company is dependent on the success of its research and development activities and a failures to develop new and improved products could adversely affect the company's business.
- Substantial portion of its revenues has been dependent upon few customers. The loss of any one or more of its major customers would have a material effect on the company's business operations and profitability.
- The average cost of acquisition of Equity Shares by its Promoters is lower than the Issue Price.
- The Company had negative cash flow in recent fiscals, details of which are given below. Sustained negative cash flow could adversely impact its business, financial condition and results of operations.
- The company has issued Equity Shares in the last 12 (twelve) months at a price which is lower than the Issue Price.
- Weather conditions, crop diseases and pest attacks could adversely affect the production of its seed products, as well as the demand for the company seed products, which may adversely affect its business, financial condition, results of operations and prospects.
- The company relies on third-party farmers who assist it in growing seeds to produce its seeds, and any problems with such Seed Grower/Organizer may negatively affect the company's sales, cash flows from operations and results of operations, and may further expose it to reputational risk.
- Its inability to consistently meet the expectations of the company end consumers could materially and adversely affect its business, results of operations, financial condition and prospects.
- Prices for its cotton seed products are subject to government controls.
- The seeds business is highly seasonal and such seasonality may affect its operating results.
- The Company is dependent on its Authorized Dealers/Distributors. The loss of any one or more of its major dealers would have a material effect on the company's business operations and profitability.
- Its production facility is located in the state of Gujarat. Further the company generate its major sales from the company operations in certain geographical regions especially Telangana and Gujarat. Any adverse developments affecting its operations in these regions could have an adverse impact on its revenue and results of operations.
- Its inability to predict accurately the demand for the company products and to manage its production and inventory levels could materially and adversely affect its business, financial condition, results of operations and prospects.
- Lack of awareness and knowledge among farmers.
- Certain relevant copies of educational qualification and experience certificates of its Directors and Senior Managerial Personnel of the company are not traceable.
- There are certain discrepancies/errors noticed and instances of delays/incorrect filings in the past with ROC/Statutory Authorities.
- Conflicts of interest may arise out of common business objects shared by the Company and its Promoter Group Entity.
- Product defects could adversely affect its business.
- Its may be sensitive to fluctuations in market prices or demand for the company products and a decline in prices of its products may materially reduce the company profit margins.
- The company faces competition, and its inability to compete effectively for any reason could materially and adversely affect its business, financial condition, results of operations and prospects.
- Its inability to maintain the stability of the company distribution network and attract additional high-quality dealers may have an adverse effect on its results of operations and financial condition.
- Its ability to deliver the company products in a timely manner is crucial to its business and results of operations.
- There have been some instances of delayed filing of returns and depositing of statutory dues with regulatory authorities".
- The failures of its strategies to increase the company market share of crops other than cotton could adversely affect its business, financial condition, results of operations and prospects.
- The company failures to manage successfully the expansion of its business, successfully execute future acquisitions or efficiently manage the businesses the company has acquired or may acquire in the future could materially and adversely affect its business, financial condition, results of operations and prospects.
- The company failures to implement successfully its brand building strategy or to effectively promote its brands may adversely affect the company's business, financial condition and results of operations.
- Certain initial period records of the company since incorporation are not traceable.
- The shortage or non-availability of power facilities may adversely affect its manufacturing processes and have an adverse impact on the company's results of operations and financial condition.
- The company failures to obtain various approvals, licences or permits in a timely manner, or at all and failures to comply with the terms of any of these approvals, licences or permits or applicable laws could adversely affect its business, financial condition, results of operations and prospects.
- The company cannot predict the effect of changes to the regulatory framework governing the Indian seeds industry and some of these changes could adversely affect its business, financial condition, results of operations and prospects.
- Any disruption in, shutdown, or loss of its operations at any of the company processing facilities could materially and adversely affect its business, results of operation and financial condition.
- Consumer resistance to certain genetically modified plants resulting therefrom may negatively affect its public image.
- The Company has entered into certain related party transactions and may continue to do so in the future.
- Its insurance coverage may not be adequate to protect the company against certain operating hazards and this may have a material adverse effect on its business.
- The company failures to protect its intellectual property rights could materially and adversely affect its business, financial condition, results of operations and prospects.
- The Company has availed certain unsecured loan which can be recalled at any time.
- Its Promoters have provided personal guarantees for loans availed by the Company. Its business, financial condition, results of operations, cash flows and prospects may be adversely affected by the invocation of all or any personal guarantees provided by its Promoter.
- The company's directors and certain Key Management Personnel hold Equity Shares in the Company and are therefore interested in the Company's performance in addition to their remuneration and reimbursement of expenses.
- Information in relation to its installed capacity and capacity utilization of the company manufacturing facility included in this Red Herring Prospectus is based on various assumptions and estimates, and future production and capacity utilization may vary.
- An inability to renew quality accreditations in a timely manner or at all, or any deficiencies in the quality of its products may adversely affect the company's business prospects and financial performance.
- Its operations are subject to high working capital requirements. If the company is unable to generate sufficient cash flows to allow it to make required payments, there may be an adverse effect on its results of operations.
- The future operating results are difficult to predict and may fluctuate or adversely vary from the past performance.
- Some of the approvals are required to be updated consequent to the change in the name of the Company.
- Some of the KMPs is associated with the company for less than one year.
- Portion of its Issue Proceeds are proposed to be utilized for general corporate purposes which constitute [*]% of the Issue Proceed.
- The company has not made any alternate arrangements for meeting its regular working capital requirements. If the company operations does not generate the necessary cash flow, its working capital requirements may negatively affect its operations and financial performance.
- Delays or defaults in payment by its clients could affect the company cash flows and may adversely affect its financial condition and operations.
- In addition to its existing indebtedness for the company operations, its may be required to obtain further loan during the course of business. There can be no assurance that the company would be able to service its existing and/or additional indebtedness.
- Its debt financing agreements contain certain restrictive covenants that may adversely affect the Company's business, credit ratings, prospects, results of operations and financial condition.
- The company does not own all of its regional offices or the facilities or farmlands through which its carry out some of the company research and development, production, processing and storage activities.
- The company is subject to risks arising from interest rate fluctuations, which could adversely affect its business, financial condition and results of operations.
- Its success depends largely on our Directors, Promoters and other key managerial personnel and the loss of or its inability to attract or retain such persons with specialized technical know-how could adversely affect its business, results of operations, cash flows and financial condition.
- The company management will have broad discretion in how the company apply the Net Proceeds of the Issue and there is no assurance that the Objects of the Offer will be achieved within the time frame expected, or at all, or that the deployment of Net Proceeds in the manner intended by it will result in an increase in the value of your investment.
- If the company is unable to source business opportunities effectively, its may not achieve its financial objectives.
- The company could be harmed by employee misconduct or errors that are difficult to detect and any such incidences could adversely affect its financial condition, results of operations and reputation.
- Failures to implement its business strategies would have a material adverse effect on the company's business and operations.
- An inability to renew quality accreditations in a timely manner or at all, or any deficiencies in the quality of its products may adversely affect the company's business prospects and financial performance.
- Major fraud, lapses of internal control or system failures could adversely impact the company's business.
- Upon completion of the Issue, its Promoters / Promoter Group may continue to retain significant control, which will allow them to influence the outcome of matters submitted to the shareholders for approval.
- Within the parameters as mentioned in the chapter titled "Objects of this Issue" beginning on page 86 of this Red Herring Prospectus, the Company's management will have flexibility in applying the proceeds of this Issue subject to the applicable laws. The fund requirement and deployment mentioned in the Objects of this Issue have not been appraised by any bank or financial institution.
- Its revenues are highly dependent on clients located in India. Any decline in the economic health of India could adversely affect its business, financial condition and results of operations.
- Industry information included in this Red Herring Prospectus has been derived from industry reports. There can be no assurance that such third-party statistical, financial and other industry information is either complete or accurate.
- Certain key performance indicators for certain listed industry peers included in this Red Herring Prospectus have been sourced from public sources and there is no assurance that such financial and other industry information is complete.
- The deployment of funds raised through this Issue shall not be subject to any Monitoring Agency and shall be purely dependent on the discretion of the management of the Company.
Dhanlaxmi Crop Science Ltd Peer Comparison
Understand the company’s industry standing
Mangalam Seeds Ltd
Upsurge Seeds of Agriculture Ltd
Dhanlaxmi Crop Science Ltd
Face Value
10
10
10
Standalone / Consolidated
Standalone
Standalone
Standalone
Total Income Rs. Cr.
100.0503
132.9485
63.7103
EPS-Basis
12.01
8.98
3.88
EPS-Diluted
12.01
8.98
3.88
NAV Per Share
63.52
65.06
13.43
P/E-Basic EPS
16.67
25.39
---
P/E-Diluted EPS
---
---
---
RONW(%)
18.9
15.79
28.87
Latest NAV Period
---
---
---
Latest NAV
---
---
---
How to check the allotment status of Dhanlaxmi Crop Science Ltd IPO?
Follow the steps
Open link to the registrar using this URL (https://evault.kfintech.com/ipostatus/).
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The IPO opens on 09 Dec 2024 & closes on 11 Dec 2024.
Dhanlaxmi Crop Science Limited was originally incorporated as a Private Limited Company in the name of 'Dhanlaxmi Agrichem Private Limited' on November 28, 2005 issued by Registrar of Companies - Gujarat, Dadra and Nagar Havelli. Subsequently, the Company name was changed to 'Dhanlaxmi Crop Science Private Limited' vide a fresh Certificate of Incorporation dated February 09, 2007 issued by Registrar of Companies - Gujarat, Dadra and Nagar Havelli. Subsequently, the status was converted into Public Company and the name was changed to 'Dhanlaxmi Crop Science Limited' vide a fresh Certificate of Incorporation dated September 15, 2023 issued by Registrar of Companies - Ahmedabad.
Founded by the Promoter, Kamlesh Patel, Dhanlaxmi Crop Science is a technology driven seeds company that develops, produces, processes and sells seeds for field crops and vegetables, in the Indian seeds industry. The Company product includes field crop and vegetable seeds for Cotton, Wheat, Cumin, Bajra, Maize, Gram, Okra, Green Gram, SSG, Soyabean, Milky ,Mustard, Groundnut, Black Gram, Guar, Castor, Sesame, Jowar, Coriander, Red Gram, Green Pea, Multifeed, Onion etc. Their seeds are suitable for varying agro climatic conditions, such as water availability, crop duration and soil attributes, across different geographic regions in India.
The Company created a milestone in 1994, by starting as a rural agriculture shop. It started marketing for cotton seed as a co-marketer of Nuziveedu seeds in 2006. The Company became ICRISAT member and ISO certified company with govt recognized R&D and Bio-Tech lab in 2015. It also became direct sub-licensee of Monsanto for BG-II Cotton in 2015. Later, it started other hybrid crop seeds like Maize, Bajra, Mustard, Res Wheat, Res Cumin, Res Moong in 2018.
The Company develop and produce its own hybrid seeds in R&D farm, Biotech lab, Green house. At present, it works out business in 10 States in India with a huge team of marketing and scientist to provide better quality seeds to farmer community. Now, the Company is developing Vegetable seeds also.
The Company is planning an Initial Public Offer of upto 43,28,000 Equity Shares through Fresh Issue.
Dhanlaxmi Crop Science Ltd IPO will close on 11 Dec 2024.
- Experienced promoters having deep knowledge to scale up the business.
- Established and proven track record.
- Leveraging the experience of its Promoters.
- Experienced management team and a motivated and efficient work force.
- Cordial relations with its customers.
- Quality Assurance & Control.
| S.No | Promoters Name | Pre Issue Shares | Pre Issue Percentage | Post Issue Shares | Post Issue Percentage |
|---|---|---|---|---|---|
| 1 | Kamleshkumar Jayantilal Patel | 3150000 | 26.25 | 3150000 | 17.6 |
| 2 | Alpeshbhai Jayantibhai Patel | 2874000 | 23.95 | 2874000 | 19.29 |
| 3 | Meet Kamleshkumar Patel | 3180000 | 26.5 | 3180000 | 19.48 |
- The Company, Directors, Promoters and Group Companies are parties to certain legal proceedings. Any adverse decision in such proceedings may have a material adverse effect on its business, results of operations and financial condition.
- The company is highly dependent on the sale of cotton seeds and its business is exposed to risks related to product concentration, which could materially and adversely affect its business, financial condition, results of operations, and prospects.
- The company is dependent on the success of its research and development activities and a failures to develop new and improved products could adversely affect the company's business.
- Substantial portion of its revenues has been dependent upon few customers. The loss of any one or more of its major customers would have a material effect on the company's business operations and profitability.
- The average cost of acquisition of Equity Shares by its Promoters is lower than the Issue Price.
- The Company had negative cash flow in recent fiscals, details of which are given below. Sustained negative cash flow could adversely impact its business, financial condition and results of operations.
- The company has issued Equity Shares in the last 12 (twelve) months at a price which is lower than the Issue Price.
- Weather conditions, crop diseases and pest attacks could adversely affect the production of its seed products, as well as the demand for the company seed products, which may adversely affect its business, financial condition, results of operations and prospects.
- The company relies on third-party farmers who assist it in growing seeds to produce its seeds, and any problems with such Seed Grower/Organizer may negatively affect the company's sales, cash flows from operations and results of operations, and may further expose it to reputational risk.
- Its inability to consistently meet the expectations of the company end consumers could materially and adversely affect its business, results of operations, financial condition and prospects.
- Prices for its cotton seed products are subject to government controls.
- The seeds business is highly seasonal and such seasonality may affect its operating results.
- The Company is dependent on its Authorized Dealers/Distributors. The loss of any one or more of its major dealers would have a material effect on the company's business operations and profitability.
- Its production facility is located in the state of Gujarat. Further the company generate its major sales from the company operations in certain geographical regions especially Telangana and Gujarat. Any adverse developments affecting its operations in these regions could have an adverse impact on its revenue and results of operations.
- Its inability to predict accurately the demand for the company products and to manage its production and inventory levels could materially and adversely affect its business, financial condition, results of operations and prospects.
- Lack of awareness and knowledge among farmers.
- Certain relevant copies of educational qualification and experience certificates of its Directors and Senior Managerial Personnel of the company are not traceable.
- There are certain discrepancies/errors noticed and instances of delays/incorrect filings in the past with ROC/Statutory Authorities.
- Conflicts of interest may arise out of common business objects shared by the Company and its Promoter Group Entity.
- Product defects could adversely affect its business.
- Its may be sensitive to fluctuations in market prices or demand for the company products and a decline in prices of its products may materially reduce the company profit margins.
- The company faces competition, and its inability to compete effectively for any reason could materially and adversely affect its business, financial condition, results of operations and prospects.
- Its inability to maintain the stability of the company distribution network and attract additional high-quality dealers may have an adverse effect on its results of operations and financial condition.
- Its ability to deliver the company products in a timely manner is crucial to its business and results of operations.
- There have been some instances of delayed filing of returns and depositing of statutory dues with regulatory authorities".
- The failures of its strategies to increase the company market share of crops other than cotton could adversely affect its business, financial condition, results of operations and prospects.
- The company failures to manage successfully the expansion of its business, successfully execute future acquisitions or efficiently manage the businesses the company has acquired or may acquire in the future could materially and adversely affect its business, financial condition, results of operations and prospects.
- The company failures to implement successfully its brand building strategy or to effectively promote its brands may adversely affect the company's business, financial condition and results of operations.
- Certain initial period records of the company since incorporation are not traceable.
- The shortage or non-availability of power facilities may adversely affect its manufacturing processes and have an adverse impact on the company's results of operations and financial condition.
- The company failures to obtain various approvals, licences or permits in a timely manner, or at all and failures to comply with the terms of any of these approvals, licences or permits or applicable laws could adversely affect its business, financial condition, results of operations and prospects.
- The company cannot predict the effect of changes to the regulatory framework governing the Indian seeds industry and some of these changes could adversely affect its business, financial condition, results of operations and prospects.
- Any disruption in, shutdown, or loss of its operations at any of the company processing facilities could materially and adversely affect its business, results of operation and financial condition.
- Consumer resistance to certain genetically modified plants resulting therefrom may negatively affect its public image.
- The Company has entered into certain related party transactions and may continue to do so in the future.
- Its insurance coverage may not be adequate to protect the company against certain operating hazards and this may have a material adverse effect on its business.
- The company failures to protect its intellectual property rights could materially and adversely affect its business, financial condition, results of operations and prospects.
- The Company has availed certain unsecured loan which can be recalled at any time.
- Its Promoters have provided personal guarantees for loans availed by the Company. Its business, financial condition, results of operations, cash flows and prospects may be adversely affected by the invocation of all or any personal guarantees provided by its Promoter.
- The company's directors and certain Key Management Personnel hold Equity Shares in the Company and are therefore interested in the Company's performance in addition to their remuneration and reimbursement of expenses.
- Information in relation to its installed capacity and capacity utilization of the company manufacturing facility included in this Red Herring Prospectus is based on various assumptions and estimates, and future production and capacity utilization may vary.
- An inability to renew quality accreditations in a timely manner or at all, or any deficiencies in the quality of its products may adversely affect the company's business prospects and financial performance.
- Its operations are subject to high working capital requirements. If the company is unable to generate sufficient cash flows to allow it to make required payments, there may be an adverse effect on its results of operations.
- The future operating results are difficult to predict and may fluctuate or adversely vary from the past performance.
- Some of the approvals are required to be updated consequent to the change in the name of the Company.
- Some of the KMPs is associated with the company for less than one year.
- Portion of its Issue Proceeds are proposed to be utilized for general corporate purposes which constitute [*]% of the Issue Proceed.
- The company has not made any alternate arrangements for meeting its regular working capital requirements. If the company operations does not generate the necessary cash flow, its working capital requirements may negatively affect its operations and financial performance.
- Delays or defaults in payment by its clients could affect the company cash flows and may adversely affect its financial condition and operations.
- In addition to its existing indebtedness for the company operations, its may be required to obtain further loan during the course of business. There can be no assurance that the company would be able to service its existing and/or additional indebtedness.
- Its debt financing agreements contain certain restrictive covenants that may adversely affect the Company's business, credit ratings, prospects, results of operations and financial condition.
- The company does not own all of its regional offices or the facilities or farmlands through which its carry out some of the company research and development, production, processing and storage activities.
- The company is subject to risks arising from interest rate fluctuations, which could adversely affect its business, financial condition and results of operations.
- Its success depends largely on our Directors, Promoters and other key managerial personnel and the loss of or its inability to attract or retain such persons with specialized technical know-how could adversely affect its business, results of operations, cash flows and financial condition.
- The company management will have broad discretion in how the company apply the Net Proceeds of the Issue and there is no assurance that the Objects of the Offer will be achieved within the time frame expected, or at all, or that the deployment of Net Proceeds in the manner intended by it will result in an increase in the value of your investment.
- If the company is unable to source business opportunities effectively, its may not achieve its financial objectives.
- The company could be harmed by employee misconduct or errors that are difficult to detect and any such incidences could adversely affect its financial condition, results of operations and reputation.
- Failures to implement its business strategies would have a material adverse effect on the company's business and operations.
- An inability to renew quality accreditations in a timely manner or at all, or any deficiencies in the quality of its products may adversely affect the company's business prospects and financial performance.
- Major fraud, lapses of internal control or system failures could adversely impact the company's business.
- Upon completion of the Issue, its Promoters / Promoter Group may continue to retain significant control, which will allow them to influence the outcome of matters submitted to the shareholders for approval.
- Within the parameters as mentioned in the chapter titled "Objects of this Issue" beginning on page 86 of this Red Herring Prospectus, the Company's management will have flexibility in applying the proceeds of this Issue subject to the applicable laws. The fund requirement and deployment mentioned in the Objects of this Issue have not been appraised by any bank or financial institution.
- Its revenues are highly dependent on clients located in India. Any decline in the economic health of India could adversely affect its business, financial condition and results of operations.
- Industry information included in this Red Herring Prospectus has been derived from industry reports. There can be no assurance that such third-party statistical, financial and other industry information is either complete or accurate.
- Certain key performance indicators for certain listed industry peers included in this Red Herring Prospectus have been sourced from public sources and there is no assurance that such financial and other industry information is complete.
- The deployment of funds raised through this Issue shall not be subject to any Monitoring Agency and shall be purely dependent on the discretion of the management of the Company.
The Issue type of Dhanlaxmi Crop Science Ltd is Book Building - SME.
The minimum application for shares of Dhanlaxmi Crop Science Ltd is 2000.
The total shares issue of Dhanlaxmi Crop Science Ltd is 4328000.
Initial public offer of up to 43,28,000 equity shares of face value of
Rs. 10/- each ("Equity Shares") of Dhanlaxmi Crop Science Limited (the "Company" or the "Issuer") for cash at a price of Rs. 55/- per equity share, including a share premium of Rs. 45/- per equity share (the "Issue Price"), aggregating to Rs. 23.80 crores ("The Issue"), of which 2,18,000 equity shares of face value of Rs. 10/- each for cash at a price of Rs. 55/- per equity share, aggregating to Rs. 1.20 crores will be reserved for subscriptions by the market maker to the issue (the "Market Maker Reservation Portion"). The issue less market maker reservation portion i.e., issue of up to 41,10,000 equity shares of face value of Rs. 10/- each for cash at a price of Rs. 55/- per equity share, aggregating to Rs. 22.60 crores is here in after referred to as the "Net Issue". The issue and the net issue will constitute 26.51% and 25.17% respectively of the post issue paid up equity share capital of the company.
Issue price is Rs. 55 per equity share of the face value of Rs. 10 each.