Phychem Technologies IPO

About Phychem Technologies IPO

The Phychem Technologies Limited IPO, an SME IPO, opens on Monday, August 31, 2026 and closes on Wednesday, September 02, 2026. The allotment of shares will take place on Thursday, September 03, 2026. The credit of shares to the demat account will take place on Friday, September 04, 2026. The initiation of refunds will take place on Friday, September 04, 2026. The listing of shares will take place on Monday, September 07, 2026.

The equity shares of the company are proposed to be listed on the BSE SME platform. The offer consists of a fresh issue component. The fresh issue will include 27,00,000 shares aggregating up to ₹14.58 crore.

Phychem Technologies Limited IPO’s price band is set at ₹51 to ₹54 per share. The lot size for an application is 2,000 shares. The minimum amount of investment required by a retail investor is ₹2,16,000 (4,000 shares) based on the upper price band.

Phychem Technologies Limited manufactures rotational moulding compounds, a raw material used to produce hollow plastic products such as water and chemical storage tanks, portable sanitation units, furniture, and automotive components.

Objectives of Phychem Technologies IPO

• Repayment, in full or in part, of certain outstanding borrowings of the company.
  
• Funding capital expenditure towards procurement of plant and machinery.
  
• Funding to meet working capital requirements.
  
• General corporate purposes.
  

Industry Outlook

Rotational moulding compounds feed a broad slice of India’s plastics economy. The Indian plastics industry was valued at approximately US$ 26.61 billion in 2025, and it is projected to reach US$ 44.59 billion by 2030 at a compounded annual growth rate of roughly 10.9%. Demand cuts across sectors. Water tanks, sanitation units, furniture, automotive parts, and agricultural products all rely on hollow plastic components made through the rotational moulding process.

Policy support is significant. The government has set a target of ₹10,00,000 crore (US$ 126 billion) in industry economic activity over the next four to five years, and ten plastic parks have been approved to boost capacity and employment. The sector is highly fragmented, with about 50,000 enterprises, most of them micro, small, and medium units. India recycles plastic at a rate of 60%, higher than that of many developed nations, which supports the industry’s sustainability positioning.

Phychem Technologies supplies compounds used as an input by these downstream manufacturers. Its diversified product portfolio spans nine end-user industries, which spreads its exposure across multiple demand cycles. That breadth positions the Company to draw on growth wherever it emerges across the plastics value chain.

About Phychem Technologies Limited

Phychem Technologies Limited manufactures rotational moulding compounds at Dindori, Nashik. These compounds are the raw material for hollow plastic products such as storage tanks, sanitation units, furniture, and automotive components. In FY26 the Company recorded revenue from operations of ₹56.47 crore. Its products reach around nine end-user industries, including building and construction, automobile, marine, agriculture, and railways.

Customers span domestic and export markets. During FY26 the company sold to roughly 24 global customers and 265 domestic customers, and exports contributed 23.32% of revenue from operations. Over the last three years it received repeat orders from about 142 customers. The single manufacturing facility covers approximately 5,100 square metres.

The Company also operates as an authorised distributor. It trades allied chemicals and rotational moulding equipment imported from the United Kingdom, Thailand, the United States, and Northern Ireland, contributing ₹4.06 crore, or 7.18% of revenue from operations, in FY26. It holds ISO 9001:2015 certification and a ZED Bronze rating for its zero-liquid-discharge facility. The promoter and Managing Director, Umakant Nivrutti Savadekar, has around 20 years of experience in the rotational moulding industry.

Strengths of Phychem Technologies

• A diversified product portfolio spanning nine end-user industries reduces dependence on any single sector or product line.
• During FY26 the company served around 24 global and 265 domestic customers and secured repeat orders from about 142 customers over the last three years.
• Exports contributed 23.32% of revenue from operations in FY26, giving the company a geographically spread customer base within and outside India.
• The company holds ISO 9001:2015 certification and operates a zero-liquid-discharge facility carrying a ZED Bronze rating.
• A 177 kWp rooftop solar installation powers operations through renewable energy and lowers the Company’s carbon footprint.

Risks of Phychem Technologies

• The single largest supplier accounted for 62.60% of purchases in FY26, so any disruption or price increase from that supplier could sharply raise the company’s input costs.
• The top 10 customers contributed 52.99% of revenue from operations in FY26, creating dependency risk if any major customer reduces or discontinues orders.
• Exports formed 23.32% of FY26 revenue, including exposure to Iraq, where geopolitical instability could disrupt shipments or delay customer payments.
• Operations depend on a single manufacturing facility at Dindori, Nashik, so any shutdown there would halt production and directly reduce revenue.
• Cost of goods sold was 76.70% of revenue in FY26, leaving margins exposed to raw-material price swings as the company holds no long-term supply contracts.
• Demand depends on end-user plastic industries, so any regulatory ban or shift to eco-friendly substitutes could cut orders for the Company’s compounds.

Peer Comparison

The RHP states that there are no listed companies in India engaged in a business similar to that of Phychem Technologies Limited. Accordingly, an industry peer comparison is not available in the RHP, and no peer comparison table is presented.

Anchor Investor Bidding Date

Friday, August 28, 2026

IPO Registrar and Book Running Lead Managers

Registrar Details
MUFG Intime India Private Limited
Email: phychemtechnologies.smeipo@in.mpms.mufg.com
Tel No.: +91-8108114949

Book Running Lead Manager
Hem Securities Limited

Phychem Technologies Limited Business Model

The company earns its revenue through the manufacture and sale of rotational moulding compounds, supplemented by the distribution of allied chemicals and rotational moulding equipment. Manufacturing generated the large majority of FY26 revenue, while trading and distribution of imported paints, coatings, polypropylene compounds, speciality release agents, and process-control equipment contributed ₹4.06 crore, or 7.18% of revenue from operations.

The company sells to domestic and export customers across nine end-user industries, and it competes on customisation, consistent quality, and long-standing customer relationships. Recently it has moved into the development of nylon-based compounds to widen its product range.

Phychem Technologies Growth Trajectory

Phychem Technologies Limited’s Total Income for FY26 was ₹57.48 crore, whereas in FY25 and FY24 it was ₹51.11 crore and ₹47.59 crore, respectively.

The Profit After Tax for FY26 was ₹4.09 crore, whereas in FY25 and FY24 it was ₹2.84 crore and ₹1.69 crore, respectively.

Their EBITDA for FY26 was ₹6.09 crore, whereas in FY25 and FY24 it was ₹4.37 crore and ₹2.76 crore, respectively.

Phychem Technologies Market Position

Phychem Technologies Limited operates from a single manufacturing facility at Dindori, Nashik, spread across approximately 5,100 square metres. It serves a diversified customer base of roughly 24 global and 265 domestic customers, with exports contributing 23.32% of FY26 revenue from operations across markets within and outside India. The Company holds ISO 9001:2015 certification for its quality management system, along with a ZED Bronze rating for its zero-liquid-discharge facility.

As of 31 March 2026, the company’s Total Income, Profit After Tax, and EBITDA were ₹57.48 crore, ₹4.09 crore, and ₹6.09 crore, respectively.

How to apply for Phychem Technologies IPO?

• Step 1: Log in to your Kotak Neo Demat account to access IPO investments. Next, select the current IPO section.
• Step 2: Specify IPO details. Enter the number of lots and the price you wish to apply for.
• Step 3: Enter UPI ID. After entering your UPI ID, click submit. This will place your bid with the exchange.
• Step 4: Mandate Notification. Your UPI app will receive a mandate notification to block funds.
• Step 5: Approve Request. Your funds will be blocked once you approve the mandate request on your UPI.