Nova Agritech Limited, a manufacturer of agricultural inputs, has raised Rs 43.14 crore from anchor investors prior to launching its initial public offering (IPO) on Friday. The company allocated over 1.05 crore shares at Rs 41 per share to global and domestic institutions like Quantum State Fund, Neomile Growth Fund, AG Dynamic Funds and Saint Capital Fund.
The IPO comprises a fresh issue of equity shares worth Rs 112 crore and an offer for sale of up to 77.58 lakh shares by selling shareholder Nutalapati Venkatasubbarao, who holds an 11.9% stake currently. The price band is fixed at Rs 39-41 per share.
Proceeds from the fresh issue will be utilized for investing in Nova’s subsidiary Nova Agri Sciences for establishing a new formulation plant and working capital needs. Expansion of the firm’s existing formulation facility and funding growth working capital are other key objectives.
Nova Agritech provides soil management, crop nutrition and crop protection products to farmers using a tech-driven solutions approach. The IPO seeks to raise Rs 143.81 crore at the upper price band. The shares are proposed to be listed on BSE and NSE.