Tatva Chintan IPO - 6 Interesting Facts you must know

Tatva Chintan Pharma Chem IPO opens on 16 July and closes on 20 July. The IPO has been priced in the band of Rs.1,073-1,083 and will raise Rs.500 crore through a mix of fresh issue and offer for sale.

Here are 6 interesting facts about Tata Chintan that you must know -

1. Did you know that for a company with a market cap of just about Rs.2,400 crore, Tatva Chintan manufactures over 150 products. Surprised, here is the break-up. The company produces, 47 Structure Directing Agents (SDA), 48 phase transfer catalysts (PTC), 5 electrolyte salts and 53 pharmaceutical ingredients. That is surely a diverse portfolio.

2. Interestingly, Tatva Chintan is India’s largest producers of phase transfer catalysts (PTC) and among the top-3 in the world in producing PTC products. PTC products have huge applications in green chemistry, which is an important part of sustainable technologies.

3. Tatva Chintan has some very strong financial ratios. It is one of the few companies in India that enjoy ROE and ROCE of above 30%. While Return on Equity (ROE) is the return on capital to shareholders, the Return on Capital Employed (ROCE) is the return on capital to shareholders and lenders.

4. Tatva Chintan is the only Indian producer of Zeolites. Now, zeolites are SDAs which have huge applications as catalysts and absorbents. For example, automobiles use zeolites for emission control in automotive applications. This is likely to have huge applications in the coming years where the trend is towards eco-friendly automobiles.

5. Tatva Chintan services marquee clients like Merck, Bayer AG, Asian Paints, Laurus Labs, SRF, Divi’s Laboratories etc.

6. For a small company, Tatva Chintan services 508 customers with over 71% of its revenues coming purely from exports.

Check : Upcoming IPOs in July