MUMBAI, 20 October 2025: R&D focused Specialty chemicals player Prasol Chemicals files INR 500 crore IPO papers with SEBPrasol Chemicals Limited, an R&D-driven integrated manufacturer of specialty chemicals, has filed its Draft Red Herring Prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) for a proposed initial public offering (IPO) aggregating up to ₹500 crore.
The IPO comprises a fresh issue of shares worth ₹80 crore and an offer for sale (OFS) of shares worth INR 420 crore by existing shareholders. The company plans to utilise the net proceeds from the fresh issue primarily for repayment of ₹60 crore borrowings and for general corporate purposes, aimed at deleveraging its balance sheet and strengthening financial stability.
Founded in 1992 and headquartered in Navi Mumbai, Prasol Chemicals manufactures acetone-based and phosphorous-based specialty chemicals, along with a range of complex, high-performance products. As of July 31, 2025, its product portfolio included over 150 specialty chemicals across categories such as surfactants, performance additives, ethers, esters, polymers, and acids. The company exports to 69 countries and caters to 1,107 customers, earning recognition as a Government of India 3-Star Export House.
Prasol competes globally with players like Arkema, Evonik, TASCO, Solvay in the acetone-based segment and Hubei Xingfa, Liaoning Ruixing, Excel Industries in phosphorous derivatives. Domestically, competition remains limited due to the niche and technically demanding nature of acetone-based specialty chemicals manufacturing.
For the financial year ended March 31, 2025 (FY25), the company reported revenue growth of 15.5% to INR 1,012.49 crore, compared to ₹876.56 crore in FY24. Operating EBITDA surged 44.9% to INR 87.76 crore, while Profit After Tax (PAT) more than doubled to INR 43.56 crore, reflecting improved efficiency and margin expansion.
The company’s R&D pipeline includes 40 products, with nine having cleared the pilot stage. To meet anticipated demand, Prasol plans to expand capacity at its Khopoli and Mahad facilities in Maharashtra and set up a dedicated application testing lab for lubricant additives, construction chemicals, and mining chemicals.
Prasol’s client portfolio includes marquee names such as Alembic Pharmaceuticals, Bharat Rasayan, Croda India, Coromandel International, Lubrizol India, Rossari Biotech, and Supriya Lifescience.
The specialty chemicals segment, which accounted for 20 per cent of the global chemicals market in 2024, is projected to grow at a CAGR of 8% to reach $1,748 billion by 2029, driven by demand for customized, high-performance solutions.
Industry experts note that stringent product approval cycles of 1–4 years and extensive testing requirements act as strong entry barriers, giving established players like Prasol a competitive edge.
DAM Capital Advisors Limited is the Book Running Lead Manager to the issue, and KFin Technologies Limited will serve as the Registrar. The company’s equity shares are proposed to be listed on both the BSE and the NSE.
