NSE SME Rajputana Biodiesel makes a solid debut

The scrip was listed at Rs 247, a premium of 90% over the initial public offer (IPO) price. The stock was currently frozen at its upper limit of 5% compared to its listing price.

The counter hit a high of Rs 259.35 and a low of Rs 247. About 3.78 lakh shares of the company changed hands at the counter.

Rajputana Biodiesel's IPO was subscribed 645.81 times. The issue opened for bidding on 26 November 2024 and it closed on 28 November 2024. The price band of the IPO was set at Rs 123 to Rs 130 per share.

The IPO comprised fresh issue of 13,85,000 equity shares. The promoter and promoter group shareholding diluted to 65.68% from 90% pre-issue.

The company intends to utilize the net proceeds to meet working capital requirements, loan to its subsidiary (Nirvaanraj Energy) (NEPL) for the expansion of existing unit, issue expenses and general corporate purpose.

Ahead of the Rajputana Biodiesel on 25 November 2024, raised Rs 6.69 crore from anchor investors. The board allotted 5.15 lakh shares at Rs 130 per share to 4 anchor investors.

Rajputana Biodiesel is engaged in the business of manufacturing and supplying of biofuels and its by-products, namely glycerine and fatty acids. The company intends to add value to its by-products and explore the export potential of biodiesel. The company's products primarily include biodiesel, glycerine, and fatty acid. The company's manufacturing facility is designed to offer full flexibility, allowing it to handle multiple feedstocks according to market requirements. As of 31 July 2024, the company had 30 permanent employees.

The company recorded revenue from operations of Rs 26.72 crore and net profit of Rs 2.59 crore for the period as of 31 July 2024.