Advanced Enzyme fixes IPO price band at Rs 880-896

Advanced Enzyme Technologies today fixed a price band of Rs 880-Rs 896 for its proposed initial public offer (IPO) that seeks to raise around Rs 412 crore.
The company is selling equity shares with face value of Rs 10 each at a price of Rs 880-896 aggregating to Rs 50 crore and an offer for sale by promoter group shareholders, along with Kotak Employees Investment Trust, Kotak India Venture Fund I and Kotak India Venture (Offshore) Fund.
The offer opens on July 20 and closes on July 22.
The company is the largest domestic enzyme company, engaged in research, development, manufacture and marketing of over 400 proprietary products developed from 60 indigenous enzymes.

It ranks among the top 15 global companies in terms of enzyme sales and has the second highest market share domestically, next only to the world's largest enzyme company Novozymes, Advanced Enzyme's Managing Director Chandrakant L Rathi told reporters.
It operates in two primary business verticals namely healthcare and nutrition (human and animal) and bio-processing (food and non-food). It offers products to its global clientele of over 700 customers spanning across 50 countries, Rathi said.

Global growth is estimated to be led by speciality enzymes while industrial enzymes are expected to see moderate growth. North America dominates the global enzyme market.

The domestic enzyme market is expected to grow from USD 105 million in 2015 to USD 279 million in 2020. The company aims to replace traditionally used chemicals with eco-friendly enzymatic solutions, Rathi added.
ICICI Securities and Axis Capital are the lead managers to the issue.