Neogen Chemicals Limited's shares rose 1.61% in Tuesday's trading session following the successful completion of its first-ever Qualified Institutional Placement (QIP). The specialty bromine chemicals manufacturer raised approximately ₹600 crore through the QIP, which was oversubscribed by more than 6.5x. The stock pared some gains to trade 0.98% higher at ₹2,383 per share as of 9:50 a.m. on Tuesday, after touching an intraday high of ₹2,364.10. The company received strong participation from a diverse mix of renowned domestic and global institutional investors, including leading mutual funds, AIF, NBFC, insurance companies, and foreign portfolio investors.
Under the QIP, Neogen Chemicals allotted 26.6 lakh equity shares of face value ₹10 each at an issue price of ₹2,255 per equity share. As reported by NDTV Profit, the QIP issue price was fixed above the floor price of ₹2,189.73 per equity share. The paid-up equity share capital expanded from ₹27.38 crore to approximately ₹30.04 crore following the fundraise. The fund raised via QIP will help the company cut its outstanding indebtedness, debt servicing costs and improve the debt-to-equity ratio. It will also provide financial flexibility to fund incremental business requirements and growth opportunities.
According to NDTV Profit, the company plans to use the proceeds from the fundraise for repayment or pre-payment of borrowings and to meet its long-term working capital requirements. A portion of the funds will also be used for general corporate purposes. Dr. Harin Kanani, Managing Director of Neogen Chemicals Limited, stated that this successful capital raise enabled the company to raise more equity in a single transaction than across all seven years since its listing, demonstrating the market's faith in their strategy. As per the company's BSE filing, this successful capital raise has enabled the firm to raise more equity in a single transaction than across all seven years since their listing, it is a testament to the market's faith in their strategy.
As reported by NDTV Profit, the stock was trading 0.98% higher at ₹2,383 per share as of 9:50 a.m. on Tuesday, after touching an intraday high of ₹2,364.10. The stock had touched an intraday high of ₹2,396.30 per share during the trading session. The stock surged to its 52-week high of ₹2,498.50 per share on September 18, 2026, while it dipped to its 52-week low of ₹978 per share on December 9, 2025. The specialty chemical stock has delivered impressive returns, with a 102% surge in 2026 so far, close to 78% return in six months, 52% return in one year, and around 39.5% return in three years.
According to NDTV Profit, the stock surged to its 52-week high of ₹2,498.50 per share on September 18, 2026, while it dipped to its 52-week low of ₹978 per share on December 9, 2025. The company had approved the fundraise on July 24, while shareholders subsequently gave their approval through a special resolution passed in August. The QIP was executed through a special resolution passed in August, demonstrating the company's commitment to strengthening its financial position through institutional funding.
