GSP Crop Science IPO: Check GMP as issue booked 60% on day 2; QIB portion fully subscribed

The initial public offering (IPO) of GSP Crop Science continued to see a decent bidding from the investors on the second day of the bidding process from all categories of the investors. The issue, which kicked off on Monday, March 16, was overall booked nearly half on the first day of the bidding.

GSP Crop Science is selling its shares in the price band of Rs 304-320 apiece. Investors can apply for a minimum of 46 shares and its multiples thereafter. It is looking to raise Rs 400 crore via IPO, which includes a fresh share sale of 1,25,00,000 equity shares worth Rs 240 crore and an offer-for-sale (OFS) of up to 75,00,000 equity shares worth Rs 160 crore.

According to the data, the investors made bids for 54,83,660 equity shares, or 61 per cent, compared to the 89,47,367 equity shares offered for the subscription by 10.50 am on Tuesday, March 17, 2026. The three-day bidding for the issue shall conclude on Wednesday, March 18.

The allocation for qualified institutional bidders (QIBs) was fully subscribed at 1.28 times, while the portion reserved for non-institutional investors (NIIs) saw a subscription of 86 per cent. The portion reserved for retail investors was subscribed only 14 per cent as of the same time.

Ahmedabad-based GSP Crop Science was Incorporated in 1985, and is an agrochemical company engaged in the business of manufacturing insecticides, herbicides, fungicides and plant growth regulators. It provides crop protection solutions to help farmers increase productivity, offering formulations and techniques for effective pest, weed, and disease control.

GSP Crop is bringing the issue at a P/E multiple of 9 times on post issue H1FY26 PAT basis. It has a well-diversified product portfolio including a wide range of insecticides, herbicides, fungicides, and plant growth regulators, making it a comprehensive solution provider for its customers along with large and diverse clientele both domestically and internationally, said Hem Securities.

"Also, the company has strong in-house R&D capabilities with focus on innovation and product development Hence, we recommend 'subscribe' to the issue," it added.

GSP Crop Science raised Rs 120 crore from anchor investors and allocated 37,50,000 shares at Rs 320 apeice. GSP Crop Science has reserved 50 per cent of the issue for the qualified institutional bidders (QIBs), while non-institutional investors (NIIs) have 15 per cent of allocation. Retail investors will have 35 per cent reservation in the IPO.

In terms of valuation, its clearly cheaper compared to its peers. P/E of just 15 times, RoNW best in class — this is a quality company coming to the IPO market at a fair price. Revenue from operations was Rs 1,203 crore in FY23, which actually dipped to Rs 1,152 crore in FY24 before recovering — shows cyclicality, said Swastika Investmart.

"Agrochemical margins are volatile due to crude oil & chemical input prices. Broader market is weak right now and IPO listings in weak markets tend to underperform. However, our recommendation is to 'avoid' this IPO," it added.

GSP Crop Science reported a net profit of Rs 81.07 crore with a revenue of Rs 847.61 crore for the six months ended on September 31, 2025. The company clocked a net profit of Rs 81.42 crore with a revenue of Rs 1,301.06 crore for the year ended on March 31, 2025. At the current valuations, it commands a market capitalization of close to Rs 1,490 crore.

GSP Crop Science has been consistently commanding no grey market premium (GMP), suggesting a muted listing for investors. Equirus Capital and Motilal Oswal Investment Advisors are the book running lead managers for GSP Crop Science IPO and MUFG Intime India is the registrar of the issue. Shares of the company shall be listed on both BSE and NSE on Tuesday, March 24.