Indo US Bio-Tech Limited (IUSBTL) is incorporated in 2004. It is Gujarat based company. This company has its own laboratory for seed testing at Junagadh. The initial public offering of IUSBTL will be launched at the end of this month as the company is in the process of getting listed in the primary markets. Hence, let us go through the draft red herring prospectus of IUSBTL to find the issue date, issue price and other details to finally post our Indo US Bio-Tech Limited IPO Review for you.
About Indo US Bio-Tech Limited IPO :
- IPO Opens on – April 30, 2018.
- IPO Closes on – May 3, 2018.
- Face Value – Rs. 10 Per Equity Share.
- Issue Price – Rs. 51 Per Equity Share.
- Issue Type – Fixed Price Issue IPO.
- Market Lot – 2000 Shares.
- Minimum Order Quantity – 2000 Shares.
- Issue Size – 1,430,000 Equity Shares of Rs 10 aggregating up to Rs 7.29 Cr.
- Listing Exchange – BSE SME Exchange.
- Draft Prospectus – Click Here.
Objectives of the issue:
- To meet Incremental Working Capital Requirement.
- General Corporate Purpose.
- Meeting Public Issue Expenses.
About The Company –
- Indo US Bio-Tech Limited is engaged in the business of breeding products processing and marketing of high performing open-pollinated and hybrid agricultural seed varieties and seed testing, soil and water testing.
- Indo US Bio-Tech Limited is started In-House Research and Development unit at Modasa, District – Sabarkantha (Gujarat) for research activities to produce better and different varieties of seeds.
- This company got the recognition for In-House Research and Development (R&D) from Government of India, Ministry of Science and Technology, Department of Scientific and Industrial Research Technology (DSIR) Bhavan, New Delhi.
- This company was also engaged in producing different varieties of oil seeds and pulses seeds.
- Indo US Bio-Tech Limited is also added vegetable, spices and cereals seeds to its basket.
- This company shifted its Research and Development unit Gandhinagar to carry on its research activities.
- Indo US Bio-Tech has 45 Employees in various departments.
Promoters of the company :
- Mr. Jagdish Ajudia, aged 47 years, is a Director, Managing
Director of the Company and is also Promoter of the Company.
Indo US Bio-Tech Limited IPO Review: Though the company has managed to increase its profitability over the years, still time to time the profits has taken sudden dips as on the FY 2014 and more on the FY 2016. However, the current earnings per share are 1.90 and the PE ratio is at 26.87. The PE ratio is on the lower side considering few of the peers. Considering the erratic financials and still a low PE, our Indo US Bio-Tech Limited IPO Review has a NEUTRAL view on this issue. However, cash-rich and risk-taking investors with a long-term view can invest moderately in IUSBTL issue.