Vipul Organics to Raise Rs 25 Cr for Expansion

New Delhi, Sep 30 (PTI) Specialty chemicals maker Vipul Organics on Monday said it plans to raise Rs 25 crore through a rights issue to fund its expansion projects.

The company will offer one share for every three shares held, priced at Rs 54 per share, a Rs 44 premium over its Rs 10 face value, it said in a statement.

"The funds raised will be utilized to ensure development of the Sayakha facility," Vipul Organics Managing Director Vipul P Shah said, referring to its new plant in Gujarat.

Production at the site is expected to begin in phases from the first quarter of 2025-2026.

The rights issue price represents a "substantial discount" to the current market price, Shah said.

Vipul Organics recently completed a capacity expansion at its Ambernath facility in Maharashtra. The company, which exports to over 45 countries, reported revenue of Rs 151 crore for the 2023-24 financial year.