IPO Central

Chemcon IPO description – Chemcon is a manufacturer of specialized chemicals, such as HMDS and CMIC which are predominantly used in the pharmaceuticals industry, and inorganic bromides, namely Calcium Bromide, Zinc Bromide and Sodium Bromide, which are predominantly used as completion fluids in the oilfields industry. The company is the only manufacturer of HMDS in India and is the eighth largest manufacturer of HMDS worldwide in terms of production in 2018. It is the largest manufacturer of CMIC in India and the second largest manufacturer of CMIC worldwide, in terms of production and capacity in calendar year 2018. Further, it is the only manufacturer of Zinc Bromide and the largest manufacturer of Calcium Bromide in India, in terms of production in 2018.

The company supplies its products to domestic customers and also exports its products to countries including United States of America, People’s Republic of China, Japan, United Arab Emirates, Azerbaijan, Serbia, Russia and Malaysia. In FY2019, 2018 and 2017, its revenue from exports (including Deemed Exports) contributed 32.23%, 48.06% and 65.09% respectively of its revenue from operations, growing at a CAGR of 29.44% between FY2017 and FY2019.

The key customers of its Pharmaceutical Chemicals include Hetero Labs Limited, Laurus Labs Limited, Aurobindo Pharma Limited, Sanjay Chemicals (India) Private Limited, Lantech Pharmaceuticals Limited, Ind-Swift Laboratories Limited, Vivin Drugs & Pharmaceuticals Limited, Macleods Pharmaceuticals Limited and the key customers of Oilwell Completion Chemicals include Shree Radha Overseas, Water Systems Specialty Chemical DMCC, Universal Drilling Fluids and CC Gran Limited Liability Company.

Promoter of Chemcon Speciality Chemicals – Kamalkumar Rajendra Aggarwal, Navdeep Naresh Goyal and Shubharangana Goyal