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By Nitin Negandhi
Advance Agrolife Ltd.
Advance Agrolife Ltd. (AAL), promoted in 2022, manufactures a wide range of agrochemicals including traditional synthetic products, sulphur-based formulations, biofertilizers, and micronutrient fertilizers. The company operates three plants in Rajasthan with an annual capacity of 89,900 metric tons to produce technical and formulated grades of insecticides, herbicides, fungicides, and plant growth nutrients. It has registered 380 formulation grades and 30 technical grades.
The IPO is a fresh issue of 1.93 crore shares of Rs. 10 each at an upper price band of Rs. 100 per share. The entire proceeds will be used to meet higher working capital requirements. The company achieved topline CAGR growth of 12.4% between 2023 and 2025, while bottom-line CAGR growth stood at 31%.
AAL’s business-to-business (B2B) sales network covers a significant portion of the domestic Indian agri-input market, ensuring pan-India reach for its agrochemical brands. Its B2B clientele includes corporate customers such as Indogulf, Indian Farmers Fertiliser Cooperative (IFFCO), DCM, and others. In addition, nearly one-third of its turnover is generated through its own brands, supported by a wide distribution network of over 3,000 distributors.
AAL has priced its IPO at a price-to-earnings (P/E) multiple comparable to industry peers. However, many listed agrochemical companies have seen their valuations decline by 25% to 50% from their 12-month highs, partly due to bearish market conditions. While AAL demonstrates growth, the IPO would have appeared more attractive at a lower price, as the current upper band leaves limited scope for listing gains.
| Name of the Company | Advance AgroLife | |
| Issue Open | 30-09-2025 | |
| Issue closes | 03-10-2025 | |
| Issue Size | ||
| Fresh Issue | Rs. in cr. | 193 |
| Face Value per share | Rs. | 10 |
| Upper issue price band | Rs. | 100 |
| Financials for the year ended | Mar-25 | Mar-24 | Mar-23 | CAGR (%) | |
| Total income | Rs in cr. | 503 | 457 | 398 | 12.4% |
| Net Profit | Rs in cr. | 25.6 | 24.7 | 14.9 | 31.2% |
| Total Assets | Rs in cr. | 350 | 260 | 179 | 39.8% |
| Peer Comparison | Advance Agro | Heranba | Insecticides India | PI Industries | |
| Income from operations | Rs. in cr. | 502 | 1,409 | 2,000 | 7,571 |
| EPS | Rs. | 5.7 | 18 | 46 | 123 |
| Book value | Rs. | 22 | 235 | 380 | 632 |
| P/E ratio | No of times | 18 | 17 | 17 | 28 |
| Face Value | Rs | 10 | 10 | 10 | 1 |
| Price to Book value | No of times | 4.55 | 1.28 | 2.00 | 5.54 |
| CMP (25th Sept 2025) | Rs. | 100 – upper price band | 301 | 760 | 3500 |
| 52 Week High | Rs. | N.a | 561 | 1096 | 4755 |
| 52 Week Low | Rs. | N.a | 205 | 532 | 2952 |
Disclaimer:
The writer is not a SEBI registered analyst. He and his friends and relatives may or may not participate in the IPO. Investors should consult their financial advisor before investing. Grey market premium is just an indicator and should not be relied upon.
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