Hyderabad-based Nova AgriTech primarily concentrates on three segments: soil health, plant nutrition, and crop protection.
Nova AgriTech is set to finalize the basis of allotment for its recent initial public offering (IPO) on Monday, January 29. Investors who participated in the IPO bidding process can expect to receive messages, alerts, or emails regarding the debit of funds or revocations of IPO mandate by the end of Monday. The company, specializing in crop nutrition, garnered a robust response from investors during the bidding process.
Nova AgriTech’s IPO was open for subscription from January 23 to January 25, with a price band of Rs 39-41 per share. Through its primary route, the company managed to raise around Rs 143.81 crore, consisting of Rs 112 crore from a fresh share sale and an offer-for-sale (OFS) of up to 77.58 lakh equity shares.
The Nova AgriTech IPO witnessed robust subscription, reaching 109.37 times overall. Non-institutional bidders played a significant role with a subscription rate of 224.08 times. Qualified Institutional Bidders (QIBs) showed strong interest with a subscription of 79.31 times, while retail investors demonstrated substantial enthusiasm with a subscription rate of 77.12 times during the bidding process.
The grey market premium (GMP) for Nova AgriTech has risen, reflecting strong investor interest despite market volatility. The latest reports indicate that the company is currently commanding a premium of Rs 23 per share, indicating a potential listing pop of 55-56 percent. Previously, the GMP for Nova AgriTech was reported at Rs 20 per share in the unofficial market.
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Established in May 2007, Nova AgriTech, headquartered in Hyderabad, primarily specializes in three key segments: soil health, plant nutrition, and crop protection.
Brokerage firms generally expressed a positive outlook on the Nova AgriTech IPO. Analysts appreciated Nova AgriTech’s robust business model, its emphasis on the agricultural sector, favorable profit margins, and potential for expansion. However, there were some skeptics who pointed out concerns such as rich valuations and geographical concentration. Despite the reservations, these skeptics still recommended subscribing to the issue, anticipating long-term gains.
Bajaj Capital and Keynote Financial Services serve as the book running lead managers for the Nova AgriTech IPO, with Bigshare Services acting as the registrar for the issue. The company’s shares are scheduled to be listed on both the BSE (Bombay Stock Exchange) and NSE (National Stock Exchange), and the tentative date for listing is January 31, 2024, Wednesday.
Investors who participated in the Nova AgriTech IPO can verify their allotment status on the BSE website’s IPO application check page. In the ‘Check-in Equity’ section, under the issue type, select Nova AgriTech Limited from the dropdown menu. Enter the application number and PAN card number, then complete the ‘I am not a Robot’ verification before submitting the details by hitting the submit button.
Investors have the option to check the allotment status on the online portal of Bigshare Services, the registrar to the issue. To do this, visit the web portal of Bigshare Services and choose the IPO of Nova AgriTech from the dropdown menu. Select the type of application and enter either the PAN card number, application number, or DP client ID as the selected tab. After filling in the captcha, click ‘search’ to retrieve the allotment status for your application.