Neochem Bio Solutions IPO: Full Details, Dates, Price Band, Financials, Strengths, Risks & Complete Review

- November 28, 2025

Neochem Bio Solutions Ltd has launched its SME IPO, and investors are showing strong interest due to the company’s decades-long operational history, integrated manufacturing capabilities, and diversified product portfolio.

In this article, you will find a super-detailed, easy-to-understand analysis covering IPO dates, price, business model, strengths, risks, financial performance, pros & cons, and FAQs—all optimized for SEO and compliant with Google policies.

📌 Neochem Bio Solutions IPO Key Details

Particulars	Details
IPO Type	SME IPO
Bidding Dates	2 Dec 2025 – 4 Dec 2025
Minimum Investment	₹2,23,200 (for 1 lot)
Lot Size	1 Lot = 1,200 Shares
Issue Price Band	₹93 – ₹98 per share
Face Value	₹10
Tentative Allotment Date	05 Dec 2025
Tentative Listing Date	09 Dec 2025
Issue Size	₹44.97 Cr
Pre-apply Window	Available 4 days before subscription
Eligible Investors	Only Individual Investors

📌 About Neochem Bio Solutions Ltd

Neochem Bio Solutions Ltd is a specialty performance chemicals manufacturer, supplying more than 350 customized chemical formulations globally.
With a strong presence in the market for over four decades, the company has built expertise in:

Surfactants
Specialty polymers
Textile chemicals
Home & personal care ingredients
Water-treatment chemicals
Paper industry chemicals
Industrial cleaning formulations
Bio-based chemicals and eco-friendly alternatives

The company was founded in 1978 and operates with an integrated R&D and in-house product development facility.
Its major manufacturing plant is located in Moraiya, Ahmedabad, with a capacity of 22,200 MTPA.

Managing Director / CEO:
Mr. Swapnil Ramashahaji Makatai

📌 Strengths of Neochem Bio Solutions

1. Integrated Manufacturing Facility

The company operates an advanced manufacturing facility with in-house production of key inputs like silicates, surfactant-based formulations, dispersants, and binders—resulting in:

Better quality control
Lower dependency on external suppliers
Reduced production costs

2. Strong Diversified Product Portfolio

With over 350 products across industries, the business is less dependent on any single sector.
Its products serve:

Textiles
Home care
Personal care
Water treatment
Coatings
Paper
Polymers
Surfactants
Emulsions
Bio-based solvents

3. Wide Customer Base (Domestic & International)

Neochem Bio has supplied to 186–194 domestic customers annually in recent years and 10–17 international clients across:

Bangladesh
Australia
Egypt
Vietnam
Singapore
Thailand
Indonesia
Uzbekistan
Canada
Turkey
Ukraine
South Korea

This global footprint ensures business stability.

4. R&D-Driven Growth

The company operates an R&D laboratory with testing infrastructure for:

New formulations
Process optimizations
Bio-based alternatives
Phosphate-free agents
Specialty industrial chemicals

5. Strong Environmental & Compliance Certifications

Neochem Bio holds:

ISO 9001 (Quality Management)
ISO 14001 (Environmental Management)
ISO 45001 (Health & Safety)
ZDHC Level 3
GOTS 6/7 Certifications

This strengthens its credibility among global buyers.

6. Zero Liquid Discharge (ZLD) Facility

The company treats and reuses all process-related effluents—a major compliance advantage in chemical manufacturing.

📌 Risks & Weaknesses of Neochem Bio Solutions

While the company has many strengths, the IPO comes with notable risks:

1. High Customer Concentration

A significant portion of revenues comes from a few customers.
Loss of any large client can impact revenues.

2. Raw Material Price Volatility

The textile and chemical industries face fluctuations in:

Petrochemical prices
Raw material availability
International commodity rates

This may affect margins.

3. Working Capital Heavy Business

The company serves industries with long credit cycles, resulting in:

High receivables (up to 140 days)
Cash flow pressure
Increased borrowing needs

4. Limited Capacity Expansion

Manufacturing capacity utilization has stayed within limits, and further expansion may require capex and capital infusion.

5. Geographic Risk

The primary manufacturing facility is in Ahmedabad.
Any local disruption—political, environmental, or regulatory—may impact production.

6. Financial Indebtedness

As of September 2025, financial debt stands at ₹38.54 crore.
Higher debt increases interest burden and reduces profitability.

📌 Neochem Bio Financial Performance (Based on Screenshot Data)

The company shows stability in total assets and profit capability.

Total Assets (₹ in Cr)

2023: ₹90.03 Cr
2024: ₹66.85 Cr
2025: ₹78.18 Cr

Profit Data (Visual Insight)

The charts indicate:

Improvement in profitability
Strong asset utilization
Growing revenue base

However, the fluctuations in total assets suggest capital shifts for operations or debt repayment.

📌 Pros & Cons of Neochem Bio Solutions IPO

👍 Pros

Four decades of industry experience
Strong presence in specialty chemicals
Integrated manufacturing & in-house R&D
Diversified customer base in 10+ countries
Strong compliance and sustainability certifications
Zero liquid discharge (ZLD) plant
Growing revenue and profit trends

👎 Cons

High debt levels
Working-capital intensive model
Dependency on raw material prices
Single-location manufacturing risk
Competitive chemical industry
Asset fluctuations over years

📌 Who Should Consider This IPO?

Good for:
✔ Long-term investors seeking exposure to the specialty chemical sector
✔ Investors who prefer companies with strong manufacturing infrastructure
✔ Those comfortable with SME IPOs and moderate risk

Avoid if:
✘ You want low-risk, stable investments
✘ You prefer large-cap or mainline IPOs
✘ You are uncomfortable with SME market volatility

📌 Application Details of Neochem Bio IPO

Category	Price Band	Apply Range	Lot Size
Individual Investor	₹93 – ₹98	₹2 – ₹5 Lakh	1,200 shares

📌 Neochem Bio Solutions IPO – FAQs

1. What is the issue size of Neochem Bio Solutions Ltd IPO?

The total issue size is ₹44.97 crore.

2. What is pre-apply for Neochem Bio Solutions IPO?

Pre-apply allows investors to apply 4 days before the bidding period starts.

3. When will my order get placed if I pre-apply?

Your order will go live automatically once the IPO opens.

4. When will I know if my IPO application is successful?

You will receive a confirmation message after allotment is completed.

5. What are the IPO open and close dates?

Opens: 2 December 2025
Closes: 4 December 2025

6. What is the lot size and minimum investment?

Lot Size: 1,200 shares
Minimum Investment: ₹2,23,200

7. What is the allotment date?

Tentative allotment date: 05 December 2025.

8. Where will Neochem Bio be listed?

The IPO will be listed on NSE – SME.

📌 Final Verdict – Should You Invest in Neochem Bio IPO?

Neochem Bio Solutions is a fundamentally strong specialty chemicals company with:

Robust manufacturing
Global clientele
R&D-focused growth
ESG certifications
Expanding product portfolio

However, being an SME IPO, it carries higher volatility and risk compared to mainline IPOs.

If you have a medium-risk appetite and prefer long-term bets in the chemical sector, this IPO may be suitable for you.
Short-term listing gains are possible but not guaranteed due to market volatility.