Aether Industries IPO Listing: Shares make modest debut on BSE, NSE; list at 10% premium

Aether Industries IPO (initial public offering) made a decent debut on the bourses amid improved sentiments on Friday. Shares of Surat-based specialty chemical company were listed at Rs 706 per share on the BSE. It was premium of Rs 64.15 or 10% on the upper price band of the IPO. The company has fixed a price band of Rs 610-642 for its Rs 808-crore IPO. On the NSE, shares of Aether Industries debuted at 704 apiece, gaining Rs 62 or 9.66% on the IPO price.  

The three day initial public offering opened for public subscription on May 24 and closed on May 26, 2022.  

The Rs 808-crore IPO of Aether Industries was subscribed 6.26 times on the last day of the subscription. The quota for qualified institutional buyers was booked 17.57 times, portion for non-institutional investors was subscribed 2.52 times and the retail individual investors' quota was filled 1.14 times. 

#IPOListing#AetherIndustries की अच्छी लिस्टिंग..

BSE पर ₹706.15 पर लिस्ट, इश्यू प्राइस ₹642
BSE पर करीब 10% प्रीमियम पर लिस्ट

NSE पर ₹704 पर लिस्ट, इश्यू प्राइस ₹642
NSE पर करीब 10% प्रीमियम पर लिस्ट#IPOAlert #IPOToInvest pic.twitter.com/eH82Y7TCVt

— Zee Business (@ZeeBusiness) June 3, 2022

Investors were allowed to bid for a minimum of 23 equity shares and in multiples of 23 thereof. 

Listing Ceremony of Aether Industries Limited begins with auspicious lamp lighting on 3rd June, 2022 at @BSEIndia pic.twitter.com/WItxQoXnTO

— BSE India (@BSEIndia) June 3, 2022

Earlier, Zee Business Managing Editor Anil Singhvi had said that the issue is expected to list slightly above issue price of Rs 642. Speaking of positives, Zee Business Managing Editor said the company is a market leader with strong growth outlook. It has impressive financials and is expected to go debt-free post listing, he had said.  

Aayush Agrawal, Senior Analyst, Swastika Investmart Ltd. also said a positive listing is expected for the issue. "Aether Ltd. is one of the fastest-growing chemical manufacturers in India with a high focus on R&D, relying on differentiated chemistry & technological core competencies, and a robust product selection process. The issue has received a good response from investors, especially on the institutional side. The issue was priced at a P/E of 72.30 based on annualized FY22 numbers," he said.

"However, we believe that the company deserves this premium multiple due to its phenomenal growth prospects. Nevertheless, we expect a positive listing for the issue," he had said.

Shri @ashishchauhan, MD&CEO, @BSEIndia presenting a memento to Shri Kamalvijay Tulsian, Chairperson, Aether Industries Limited and Other Senior Officials from Aether Industries Limited at the listing ceremony of Aether Industries Limited on 3rd June, 2022 at #BSE pic.twitter.com/G6mpriiqYz

— BSE India (@BSEIndia) June 3, 2022

The company aims to use proceeds from the fresh issuance to fund capital expenditure requirements for the proposed new project in Surat, Gujarat, fund working capital requirements and for payment of debt.  

Half of the issue size has been reserved for qualified institutional investors, 35 per cent for retail investors and the remaining 15 per cent for non-institutional investors.  

Aether Industries is a specialty chemicals manufacturer in India focused on producing advanced intermediates and specialty chemicals involving complex and differentiated chemistry and technology core competencies.