The Jammu-based packaging company is looking to raise Rs 38.22 crore through a fixed-price issue at Rs 98 per share. The IPO is entirely a fresh issue of 39 lakh shares and will close on December 22. Shares are proposed to be listed on the BSE SME platform, with a tentative listing date of December 26.
In the unofficial grey market, the stock is currently trading at par with the issue price, suggesting that investors are factoring in a flat debut. Market participants said the absence of a premium reflects cautious sentiment around SME offerings amid tighter regulations and selective investor appetite.
At the issue price, Phytochem Remedies is valued at a pre-IPO market capitalisation of about Rs 115 crore. The minimum investment for retail investors is relatively high at Rs 2.35 lakh, as bids must be placed for at least 2,400 shares. The non-institutional and retail categories have each been allocated nearly 47.5% of the issue, while around 5% has been reserved for the market maker, Aftertrade Broking.
Phytochem Remedies is engaged in the manufacture of corrugated boxes and boards used across sectors such as FMCG, food and beverages, pharmaceuticals, pesticides and automobiles. The company operates two manufacturing units in Bari Brahmana, Jammu, and employs 51 people as of September 2025.
Financially, the company has reported a sharp improvement in profitability over the past two years. Revenue rose 12% year-on-year in FY25, while profit after tax nearly doubled to Rs 4.48 crore. For the first half of FY26, the company posted a PAT of Rs 3.75 crore.
The company plans to use the IPO proceeds primarily for capital expenditure on machinery and civil construction, along with partial repayment of borrowings and general corporate purposes.With the grey market offering no immediate listing cues, investor response during the subscription period is likely to determine near-term sentiment around the issue.
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