Aether Industries lists at 10% premium over issue price, hits upper circuit

Aether Industries shares listing: The scrip of specialty chemicals company Aether Industries got listed at Rs 706.15 apiece on the BSE, thereby registering a gain of 9.99 per cent from its offer price of Rs 642.00.

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Aether Industries share price: Shares of specialty chemicals company Aether Industries debuted on a strong note and got listed at a premium of 10 per cent from their issue price in the stock exchanges today.

The scrip got listed at Rs 706.15 apiece on the BSE, thereby registering a gain of 9.99 per cent from its offer price of Rs 642.00, while on the National Stock Exchange (NSE), it opened at Rs 704.00, up 9.66 per cent from the issue price.

The stock further rose from its opening levels and hit a 10 per cent upper circuit on both the exchanges within minutes of its debut. It has hit a high of Rs 776.75 on the BSE and Rs 774.40 on NSE during the first 45 minutes of trade.

At 10:45 am, the scrip was frozen at Rs 776.75 on the BSE, up 20.99 per cent from the issue price while on NSE it was at Rs 774.40, up 20.62 per cent. The market capitalisation stood at Rs 9,669.19 crore, data from the BSE showed.

Over 38.42 lakh shares of Aether Industries were traded so far on NSE while around 5.12 lakh shares have exchanged hands on the BSE, data from the respective stock exchange showed.

Aether Industries is a specialty chemicals manufacturer in India focused on producing advanced intermediates and specialty chemicals involving complex and differentiated chemistry and technology core competencies. It started with a research and development (R&D) unit in 2013 and began commercial production in 2017. It caters to the pharmaceutical, agrochemical, material science, electronic chemical, high-performance photography and oil and gas industry segments.

The IPO was available for public subscription from May 24-26, 2022 and got subscribed 6.26 times by the final day.

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Reacting to the listing, Santosh Meena, Head of Research at Swastika Investmart said, “The company’s good listing can be attributed to a recovery in market sentiments, outstanding growth prospects of the company, and a good response from the investors. The company is one of the fastest-growing specialty chemical companies in India, having a high focus on d R&D, relying on differentiated chemistry & technological core competencies, and a robust product selection process. The Indian chemical industry is witnessing a structural change due to the shift of manufacturing activities from China to India and the focus on green chemistry. The issue was priced at a P/E of 72.30 based on annualized FY22 numbers. However, we believe that the company deserves this premium multiple due to its phenomenal growth prospects. Those who applied for listing gains can maintain a stop loss of Rs 675. New investors can buy for the long term and existing investors are recommended to stay invested in the company.”