Dhanwel Hybrid Seeds has launched its Rs 26.73-crore IPO, which is a fresh issue of 27 lakh equity shares. The subscription window is open until June 29, with shares priced between Rs 95-99 each. The company plans to list on the BSE SME platform on July 2, with allotment finalised by June 30.
Retail investors can bid for a minimum of 2,400 shares, requiring an investment of Rs 2.38 lakh at the upper end of the price band. High Net-worth Individuals (HNIs) have a minimum application size of 3,600 shares, amounting to Rs 3.56 lakh. The IPO proceeds will be used for repaying or prepaying borrowings, funding working capital requirements, and general corporate purposes.
Incorporated in 2018, Dhanwel Hybrid Seeds specialises in producing, processing, and marketing seeds for field crops and vegetables. The company collaborates with contract farmers for seed production, providing seed material and technical support. Dhanwel Hybrid Seeds has an order book of around Rs 13.13 crore, indicating strong demand for its products.
Financially, the company has shown robust growth. For FY26, Dhanwel Hybrid Seeds reported a total income of Rs 74.59 crore, a 69% increase from Rs 44.13 crore in FY25. Profit after tax surged 183% to Rs 6.12 crore, while EBITDA rose to Rs 9.24 crore from Rs 3.66 crore.
The IPO is significant as it reflects the growing interest in the agricultural sector, particularly in seed production. Dhanwel Hybrid Seeds' diversified portfolio and strong financial performance position it well in the market.
Background
The IPO is significant as it reflects the growing interest in the agricultural sector, particularly in seed production. Dhanwel Hybrid Seeds' diversified portfolio and strong financial performance position it well in the market.
Investors should watch for the final allotment results on June 30 and the subsequent listing on July 2. The company's financial health and strategic use of IPO proceeds will be key factors to monitor post-listing.
