Hexagon Nutrition IPO Set to Debut June 5: 10 Key Considerations for Investors

Hexagon Nutrition IPO Seeks to Raise ₹139 Crore

The initial public offering (IPO) of Hexagon Nutrition is set to open for subscription on Friday, 5 June, and will close on Tuesday, 9 June. The company aims to raise ₹139 crore from the issue, with a fixed price band of ₹42-45 per share. This will be the first mainboard IPO to hit Dalal Street in a month, amidst market uncertainty linked to the ongoing Middle East conflict.

The IPO consists entirely of an offer for sale (OFS) of up to 30.86 million equity shares, with no fresh issue component. Existing shareholders Arun Purushottam Kelkar, Subhash Purushottam Kelkar, Aditya Kelkar, and Nutan Subhash Kelkar will dilute their holdings through the OFS.

The key details investors should know before subscribing to the issue are as follows:

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The basis of allotment is expected to be finalised on June 10, with the shares scheduled to list on the BSE and NSE on June 12. Investors can apply for a minimum of 333 shares, with the minimum investment working out to ₹14,985 at the upper price band of ₹45 per share.

Hexagon Nutrition will not receive any proceeds from the IPO, as the issue does not include a fresh issue of shares. Founded in 1993, the company is a research-focused nutrition company offering micronutrient premixes, therapeutic nutrition products, and clinical nutrition solutions. It provides exposure to India's growing nutrition, wellness, and micronutrient market, although investors should carefully evaluate the risks highlighted in the Red Herring Prospectus (RHP).

The company's financials for FY25 show a 9% year-on-year increase in revenue from operations to ₹324.92 crore from ₹297.7 crore in FY24. Profit after tax (PAT) surged 99.5% to ₹24.3 crore from ₹12.2 crore a year earlier. Margin performance remained healthy at 12.33% in FY25, compared with 8.36% in FY24 and 6.17% in FY23.

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The anchor investor portion will open on June 4, with Cumulative Capital and Catalyst Capital Partners serving as the book-running lead managers for the issue. KFin Technologies is acting as the registrar.