Safex Chemicals (India) IPO

About Safex Chemicals India IPO

Safex Chemicals India’s IPO comprises a fresh issue of up to ₹450 crores. The offer for sale size is up to 35,734,818 equity shares. The promoters of the company are Mr. Neeraj Kumar Jindal, Mr. Piyush Jindal, Mr. Rajesh Kumar Jindal, and Mr. Surinder Kumar Chaudhary. The total offer size is pegged at TBA with the price band between TBA. The IPO opens on TBA and closes on TBA.

The listing date is on TBA and the allotment date is on TBA. The credit of shares to the Demat accounts of allottees will be on TBA and the initiation of refunds will also happen on TBA.

Safex Chemicals India is a specialty chemicals company with a focus on agrochemicals, and a presence across the agrochemical value chain. It has a differentiated business model and it leverages internal synergies within its business verticals. The company operates in three business verticals - branded formulation, specialty chemicals and contract development and manufacturing (CDMO) catering to the needs of farmers and global agrochemical companies.

Objectives of Safex Chemicals India IPO

The company proposes to utilise the IPO proceed for:

• Repayment or prepayment, either in part or in full, of certain borrowings availed by the company and its subsidiary, Shogun Organics
  
• General corporate purposes
  

Industry Outlook

The Indian specialty chemicals industry, valued at USD 89 billion in fiscal 2024, is one of the most diversified globally and represents a significant growth segment. With around 80,000 commercial products, the sector supplies raw materials to several key industries.

Additionally, the Indian household insecticide market, which accounts for nearly 7% of the global market, has demonstrated steady growth, expanding from approximately ₹46.29 billion in fiscal 2021 to ₹58.9 billion in fiscal 2024, with projections indicating continued upward momentum.

Safex Chemicals Company Information

Safex Chemicals India is a specialty chemicals company with a focus on agrochemicals, and a presence across the agrochemical value chain. It has a differentiated business model and it leverages internal synergies within its business verticals.

The company operates in three business verticals - branded formulation, specialty chemicals and contract development and manufacturing (CDMO) catering to the needs of farmers and global agrochemical companies.

Strengths of Safex Chemicals India

• Differentiated business model with a presence across the agrochemical value chain
  
• Unique multi-brand strategy with a pan-India direct distribution network in its branded formulation business
  
• Robust product portfolio in its specialty chemicals business
  
• CDMO business with established relationships with global agrochemical companies
  
• Efficient working capital cycle
  
• Experienced promoters and senior management team and investor
  

Risks of Safex Chemicals India

• Decline in demand for products may adversely affect business
  
• Seasonal variations and unfavourable local and global weather patterns may have an adverse effect on business
  
• History of losses with no assurance that it will be able to generate profits and not incur losses in the future
  
• Delay, interruption or reduction in the supply of raw materials or volatility in the prices of raw materials, may adversely affect business
  
• Any adverse developments in foreign countries could have an adverse impact on business, results of operations, financial condition and cash flows
  
• Manufacturing facilities are subject to operating risks
  
• Inability to expand or effectively manage dealer network may have an adverse effect on business
  
• Failure to obtain or renew approvals, licenses, registrations and permits required to operate business in a timely manner, or at all, may adversely affect business
  
• Stringent technical specifications and quality requirements in relation to products and any failure to comply with such standards may adversely affect business and reputation
  
• Operations are working capital intensive and any failure in arranging adequate working capital for operations may adversely affect business
  

Anchor Investing Bidding Date

TBA

IPO Registrar and Book Running Lead Managers

• IPO Registrar: KFin Technologies
• Book Running Lead Managers: Axis Capital, JM Financial, SBI Capital Markets

Safex Chemicals India Business Model

The company offers a broad portfolio of 140 products, including insecticides, herbicides, fungicides, fertilisers, and plant growth regulators, marketed under three umbrella brands – Safex, Indo Swiss, and Smith n Smith – distributed through a direct dealer network of over 14,950 active dealers across India. It operates six strategically located manufacturing facilities in key agrochemical regions of India. The acquisition of Shogun Lifesciences added expertise in agrochemicals like aluminium phosphide and zinc phosphide.

The company exports to over ten countries and has developed and patented India’s first indigenous mosquito repellent molecule, Renofluthrin, supplied under agreement to Godrej Consumer Products. The CDMO vertical, operated through Briar Chemicals acquired in 2022, provides contract development and manufacturing services, including synthesis of active ingredients and intermediates, formulation, filling, and packaging.

Briar Chemicals’ Norwich plant is one of the largest CDMO operations in the UK by capacity. The company maintains strong relationships with global agrochemical clients such as Bayer AG, under a contract manufacturing agreement effective from January 2024.

Safex Chemicals India Growth Trajectory

Over the last few years, Safex Chemicals India has demonstrated significant growth in its revenue from operations – increasing from ₹1161.018 crores in FY 2023 to ₹1584.780 crores in FY 2025.

Likewise, EBITDA has also substantially improved – from ₹149.059 crores in FY 2023 to ₹233.034 crores in FY 2025. EBITDA margin has also shown an upward spike, rising from 12.84% in FY 2023 to 14.70% in FY 2024.

Safex Chemicals India Market Position

Safex Chemicals India has significantly grown its operations over the years both organically and inorganically, evolving from a pure-play branded agrochemical formulation company to a specialty chemicals company, with internal synergies within its business verticals.

It has undertaken a series of acquisitions acquiring Shogun Lifesciences in July 2021, completing the acquisition of Shogun Organics in September 2021 and acquiring Briar Chemicals in the United Kingdom in October 2022. It has successfully integrated these companies with its operations to increase and diversify its revenues, customer base, geographic footprint and optimise its supply chain.

As a result of its growth initiatives, its operations are spread across 22 countries in six continents, as of March 31, 2025. According to the F&S Report, it’s one of the fastest growing companies in the agrochemical industry in India in terms of revenue growth between fiscals 2023 and 2025.

How to Check Allotment Status of Safex Chemicals India IPO?

1. Visit the Registrar's Website

To check the IPO allotment status for Safex Chemicals India IPO, visit the official website of KFin Technologies, the registrar for this IPO. On the IPO allotment status page:

• Enter your Permanent Account Number (PAN), application number, or Demat account ID
  
• Then, click the 'Submit' button to view your allotment status
  

Ensure you have the necessary details ready for a quick and accurate check.

2. Check on the Bombay Stock Exchange Website

The Bombay Stock Exchange (BSE) also has an IPO allotment status page. Go to the BSE website and find the 'Investors' tab. Under 'Investors', click on 'IPO'. This will take you to the IPO allotment status page.

• On the BSE IPO page, follow these steps
  
• Select 'Equity' from the dropdown menu
  
• Choose ‘Safex Chemicals India’ in the next dropdown
  
• Enter your application number
  
• Enter your PAN
  
• Click 'Search'
  

Your Safex Chemicals India IPO allotment status will be displayed.

3. Verify on the National Stock Exchange Website

The National Stock Exchange (NSE) has an IPO Bid Verification module. Use this to check Safex Chemicals India IPO allotment status. Go to the NSE website and find the 'Invest' tab. Click on 'Verify IPO Bids' under 'Resources & Tools'.

On the NSE IPO Bid Verification page, enter:

• Application number
  
• PAN
  

Then click 'Submit'. Your Safex Chemicals India IPO bid and allotment details will be displayed.

How to Apply for Safex Chemicals India IPO?

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