The initial public offering of GSP Crop Science Ltd, a company in the agrochemical sector, was 96% subscribed on the second day of bidding, which was Tuesday.
The company revealed on Friday that it has secured ₹120 crore from anchor investors. GSP Crop Science price band has been established at ₹304-320 per share, resulting in a valuation of ₹1,489 crore at the upper limit. The IPO lot size is set at 46 equity shares, and applicants may apply in multiples of 46 shares thereafter.
The company’s ₹400-crore initial share sale will be concluded on March 18. GSP Crop Science is an agrochemical firm driven by research and boasts over 39 years of expertise in the development and manufacturing of insecticides, herbicides, fungicides, and plant growth regulators in India.
The GSP Crop Science IPO has set aside 50% of the shares in the public offering for (QIB), 15% for non-institutional investors (NII), and 35% of the offering is allocated for retail investors.
The preliminary basis of allotment for the GSP Crop Science IPO shares is expected to be determined on Friday, March 20, with the company starting refunds on Monday, March 23. Shares will be credited to the demat accounts of allottees on the same day as the refunds. GSP Crop Science shares are to be listed on the BSE and NSE on Tuesday, March 24.
GSP Crop Science IPO GMP today
GSP Crop Science IPO GMP today is ₹0, which means shares are trading at their issue price of ₹320 with no premium or discount in the grey market, according to investorgain.com.
” indicates investors’ readiness to pay more than the issue price.
GSP Crop Science IPO review
SBICAP Securities indicated that with the upper price limit of the issue set at ₹320, the IPO is priced at 18.3 times the FY25 P/E ratio, which is higher than that of domestic market-focused peers. The latter half of the fiscal year typically sees weaker performance for crop protection chemical companies, and the recent increase in raw material and shipping costs due to the conflict in the Middle East is expected to affect performance in 4QFY26.
SBICAP Securities said that the monsoon season in 2026 may be less favorable compared to last year due to potential El Niño conditions, which could influence the area planted and the resulting demand for insecticides, herbicides, and fungicides. Therefore, we assign a NEUTRAL rating and plan to observe the company’s performance for a few quarters following its listing.
Adroit Financial Services Private Ltd intends to utilize the proceeds from the offering to reduce its debt, which is expected to improve its financial position and significantly lower interest costs. Throughout the past year, the company has experienced a marked increase in the share of its revenue stemming from patented products, leading to enhanced profit margins and strengthening the company’s return profile. Therefore, it is recommended to “Subscribe” to the IPO for a long-term investment, considering its growth potential.
BP Equities noted that, overall, given the steady demand for crop protection products and the company’s focus on innovation and geographical expansion, it is well-prepared to seize new opportunities in the global agrochemical market in the medium to long term. At the highest price point, the issue is valued at a P/E ratio of 15.1x based on FY25 earnings, which seems fairly priced. As a result, the brokerage assigns a “SUBSCRIBE” rating to this issue.
Swastika Investmart noted that its valuation appears to be lower than that of its competitors. With a price-to-earnings ratio of just 15 times, it boasts the best return on net worth in its class — this is a reputable company entering the IPO market at a reasonable price. In FY23, revenue from operations reached ₹1,203 crore, although it fell to ₹1,152 crore in FY24 before bouncing back — indicating some cyclicality. Margins in the agrochemical sector fluctuate due to the prices of crude oil and chemical inputs.
The overall market is currently weak; IPOs launched in sluggish markets typically perform poorly. Nevertheless, the brokerage’s advice is to AVOID from this IPO.
GSP Crop Science IPO subscription status
GSP Crop Science IPO subscription status was 96% on day 2, so far. The retail portion is subscribed 20%, and NII portion has been booked 2.33 times, QIBs portion received 1.28x bids.
The company has received bids for 86,04,898 shares against 89,47,367 shares on offer, at 17:00 IST, according to data on BSE.
GSP Crop Science IPO details
At the upper end of the pricing spectrum, the company plans to generate ₹400 crore. This amount comprises a newly issued share worth ₹240 crore and a sale of shares (OFS) that includes 50 lakh equity shares.
In the OFS, the shareholders Vilasben Vrajmohan Shah, Bhavesh Vrajmohan Shah, and Kappa Trust will be selling their shares.
Should the company achieve the maximum price point, GSP Crop Science’s market capitalization at the time of listing will be ₹1,488.6 crore.
Equirus Capital and Motilal Oswal Investment Advisors are serving as the lead managers for the book-running process, while MUFG Intime India is handling the registration.
Disclaimer: This story is for educational purposes only. The views and recommendations above are those of individual analysts or broking companies, not Mint. We advise investors to check with certified experts before making any investment decisions.