The company is a manufacturer and supplier of specialty chemicals across the hydrocarbons and industrial supply chains, including the oil and gas, refining and petrochemicals industries, and customers with diverse applications across industrial segments,
The IPO comprises a fresh issue of equity shares of a face value of Rs 5 each aggregating up to Rs 1,500 crore and an offer for sale of equity shares of a face value of Rs 5 each aggregating up to Rs 3500 crore.
Further, the total issue comprises of equity shares of face value of Rs 5 each aggregating up to Rs 5,000 crore, while the offer for sale comprises stake sale by Menon Family Holdings Trust (Promoter Selling Shareholder).
Established in 1992, Dorf-Ketal Chemicals India is one of the major producers in the development, commercialization and application of specialty chemicals in India. The company offers products across two categories – specialty chemicals for hydrocarbons and industrial specialty chemicals.
Dorf-Ketal Chemicals India client base
As at October 31, 2024, the marquee customer base included Reliance Industries, Petronas, Indian Oil Corporation, PPG Industries, Clariant, Liberty Energy, Italiana Petroli, and Vedanta. During the six months ended September 30, 2024, the company had 1,322 customers.
In 2023, the company ranked first by revenue market share in India and Brazil in oil field, refinery chemicals and petrochemicals and fuel additives as well as ranked first by revenue market share globally in modified acids, organometallic titanates and zirconates and PVF and was among the top five companies globally in fuel additives, according to the F&S Report.
Also read: RBI net buys over Rs 10,000 crore gilts in secondary market
Dorf-Ketal Chemicals India manufacturing capacity
As at October 31, 2024, the company has 16 manufacturing facilities across four countries, including eight in India, two in Brazil, three in the United States and three in Canada. The eight manufacturing facilities in India have a cumulative installed capacity of 147,770 MTPA whereas the manufacturing facilities in Brazil, the United States and Canada have a cumulative installed capacity of 194,770 MTPA, as at September 30, 2024.
The manufacturing the facility in Mundra, Gujarat is the largest facility, with an installed production capacity of 98,900 MTPA. It is also one of the world’s largest manufacturing facilities of organometallic titanates. The dedicated R&D facilities are situated in India, Singapore, Canada and Brazil. With 542 patent registrations outside India, including 99 U.S. patent registrations, and 29 patent registrations in India, the company is one of the few India-based chemical company with global brand recognition.
Dorf-Ketal Chemicals India financial performance
From FY22 to FY24, the revenue from operations grew at a CAGR of 45.47% to Rs 5479.5 crore, EBITDA grew at a CAGR of 60.54% to Rs 950.4 crore and the restated profit after tax for the year grew at a CAGR for the Period/Year of 50.18% to Rs 602 crore.
Dorf-Ketal Chemicals India book-running lead managers
JM Financial Limited, Citigroup Global Markets India Private Limited, HSBC Securities and Capital Markets (India) Private Limited, J.P. Morgan India Private Limited, Morgan Stanley India Company Private Limited and Motilal Oswal Investment Advisors Limited are the Book Running Lead Managers to the issue.
Also read: 81 smallcaps fall in double-digits as markets follow sell-on-news trend. Is there reprieve in Budget week?
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)
