Schedule of Nexxus Petro Industries
| Issue open date | 26 Sep 2024 |
| Issue close date | 30 Sep 2024 |
| UPI mandate deadline | 30 Sep 2024 (5 PM) |
| Allotment finalization | 01 Oct 2024 |
| Refund initiation | 03 Oct 2024 |
| Share credit | 03 Oct 2024 |
| Listing date | 04 Oct 2024 |
| Mandate end date | 15 Oct 2024 |
| Lock-in end date for anchor investors (50%) | 30 Oct 2024 |
| Lock-in end date for anchor investors (remaining) | 29 Dec 2024 |
Note: The schedule is tentative. The anchor lock-in period ends 30 days after the actual allotment date for 50% of the shares and 90 days after for the remaining portion. The allotment status can be checked on the registrar's website and the exchange website.
About Nexxus Petro Industries
Incorporated in 2021, Nexxus Petro Industries is engaged in trading, manufacturing, and selling Petrochem products namely Bitumen products. Bitumen is a sticky, black, and highly viscous liquid or semi-solid form of petroleum, and has various applications across industries like road construction, Waterproofing, Adhesives, Insulation, Paint and coatings, etc. Its product portfolio includes various grades of Bitumen which are classified based on viscosity and related properties of each grade. Presently, the company procures bitumen via imports from Dubai as well as purchases from other domestic importers/sellers in India. It further processes the bitumen procured at its processing units located at Mundra, Gujarat; Pali, Rajasthan; and Bhopal, Madhya Pradesh.
Financials of Nexxus Petro Industries
Issue size
| Funds Raised in the IPO | Amount |
| Overall | ₹19.43 crores |
| Fresh Issue | ₹19.43 crores |
| Offer for sale | – |
Utilisation of proceeds
| Purpose | INR crores (%) |
| Working capital requirements | 16 (82.35%) |
| Issue related expenses | 1.94 (9.99%) |
| General corporate purposes | 1.49 (7.66%) |
Strengths
- The company’s diversified locations gives them advantages in terms of economies of scale and proximity to customers. Thus helping them to expand the business in future.
- The company’s business model is scalable as its main product bitumen finds applications in various industries across applications providing them ample opportunities to grow operations, diversify its product portfolio, and add new customers.
- It holds BIS and ISO certifications for its products and processes.
- According to the company, There is tremendous demand for value-added products such as Bitumen Emulsion with the potential to generate higher margins.
Risks
- The company’s main product Bitumen is a petrochemical product and is considered hazardous in nature. In the event of any accidents involving any such hazardous materials and substances, It may be held liable for subsequent damages and litigations.
- The company had negative cash flows during certain fiscal years in its operating, and investing, activities. Sustained negative cash flows in the future would adversely affect the results of operations.
- Nearly 41% of the company’s revenue is generated from its top 10 customers. Any loss of one or more such customers, or the deterioration of their financial condition or prospects could adversely affect the business.
- The company operates in a competitive industry dominated by large integrated players.
- Bitumen business is subject to seasonal and other fluctuations that may affect the company’s cash flows and business operations.