About Company

• The Company was incorporated as 'Kronox Lab Sciences Pvt. Ltd on November 18, 2008, at Gujarat and subsequently the name was changed to 'Kronox Lab Sciences Ltd' on May 25, 2019, on conversion to a public limited company. The company manufactures High Purity Speciality Fine Chemicals for diversified end user industries which include pharmaceuticals, scientific and laboratory research, nutraceuticals, biotech, agrochemicals, personal care, metallurgy and animal health.
• The company manufactures High Purity Speciality Fine Chemicals of various grades in particle sizes ranging from 10 mesh to 100 mesh. The company’s 185+ products span across the family of phosphate, sulphate, acetate, chloride, citrate, nitrates, nitrites, carbonate, EDTA derivatives, hydroxide, succinate, gluconate, among others. Moreover, as on December 31, 2023, the company had 122 products under various phases of research and development.
• The products are manufactured in accordance with industry standards like IP, BP, EP, JP, USP, FCC, LR, AR, GR and ACS in addition to custom manufacturing specifications required by customers in select cases.
• The company has 3 manufacturing facilities spread over 17,454 sq. meters, having an aggregate installed capacity of 7,242 TPA, which are situated at Vadodara in Gujarat close to the seaports of Mundra, Kandla, Hazira and Nhava Sheva. Further, the company intends to establish a new manufacturing unit at GIDC Dahej – II Industrial Estate and the company has acquired land admeasuring to 20,471 sq. meters for the said facility.
• The company has served more than 592 customers in the last 3 financial years and during the 9 months period ended December 31, 2023, of which 141 customers amounting to 23.82% of total customers placed repeat orders. Further, the average tenure of the relationship with its top 10 customers is 7 years, 9 years and 9 years for Fiscals 2023, 2022 and 2021, respectively.
• The company’s Revenues from operations grew at CAGR of 23.70% between Fiscal 2021 to 2023, from ? 62.46 Cr to ? 95.58 Cr, while its EBITDA grew at a CAGR of 21.90% from ? 14.80 Cr to ? 21.99 Cr during the same period. The company’s PAT grew at a CAGR of 30.68% between Fiscal 2021 to Fiscal 2023 from ? 9.73 Cr to ? 16.62 Cr. Further the company is a zero debt company with a strong balance sheet balance sheet and cash flow position.

Strengths

Competitive Strength 

• Wide range of products finding applications in diversified end user industries;
• Long standing relationships with customers;
• High entry and exit barriers due to long customer approval cycles and strict product standards;
• Focus on R&D and Quality Control;
• Zero debt company with strong and consistent financial performance;
• Strategically located manufacturing facilities providing supply chain efficiencies;
• Experienced Promoters and Senior Management with extensive domain knowledge.

 Business Strategies 

• Expand product portfolio, increasing the supply of products to existing customers and tap new customers in existing and new geographies;
• Expand the capacity for existing products and diversifying into new products by setting up a new manufacturing facility;
• Explore newer applications for the existing products and developing new products that are in synergy with the current and future operations;
• Focus on import substitution and increasing exports;
• Improve cost management and operational efficiencies.

Company Promoters

Company Financials

Kronox Lab Sciences Limited's revenue increased by 16.99% and profit after tax (PAT) rose by 21.94% between the financial year ending with March 31, 2023 and March 31, 2022.

Objects of the Issue

The Objects of the Offer are to:

1. Carry out the Offer for Sale of up to 95,70,000 Equity Shares by the Promoter Selling Shareholders; and
2. Achieve the benefits of listing the Equity Shares on the Stock Exchanges. Further, the Company expects that the proposed listing of the Equity Shares will enhance the visibility and brand image, provide liquidity to its existing Shareholders, and provide a public market for Equity Shares in India.