Block deal alert: Madhuri Madhusudan Kela picks stake in debutant Godavari Biorefineries below issue price

Ace investor Madhuri Madhusudan Kela on Wednesday bought 5 lakh shares in debutant Godavari Biorefineries via a block deal. She purchased shares at a price of Rs 335.66 apiece, aggregating to nearly Rs 17 crore. The latest addition takes her portfolio tally to 12 stocks.

Godavari Biorefineries stock was today listed at Rs 310.55 on the BSE which was a 12% discount over the issue price of Rs 352. On the NSE, it got listed at Rs 308, which was a 12.5% discount from its issue price of Rs 352.

Post its listing the stock recovered some of its losses to close the session at Rs 342.85, up by Rs 32.30 or 10.40% over the listing price.

The issue, which included a fresh equity sale worth Rs 325 crore and an offer-for-sale (OFS) of up to 6.53 million shares, was subscribed 2 times at close.

The company is one of India’s largest ethanol producers by volume, with a bio-refinery capacity of 570 KLPD for ethanol production. Its diverse portfolio includes bio-based chemicals, sugar, ethanol, and power, catering to industries such as food, beverages, pharmaceuticals, personal care, and fuel. In line with government initiatives to boost ethanol blending, Godavari plans to expand its distillery capacity from 600 KLPD to 1,000 KLPD.

Godavari Biorefineries supplies products to leading companies including Hershey India, Hindustan Coca-Cola Beverages, and LANXESS India, among others.Financially, the company’s profit fell to Rs 12.3 crore for the year ending March 2024, down from Rs 19.6 crore the previous year, while revenue dropped to Rs 1,686.7 crore from Rs 2,014.7 crore. For the June 2024 quarter, the company posted a loss of Rs 26.1 crore on revenue of Rs 522.5 crore.The IPO was managed by Equirus Capital and SBI Capital Markets and Link Intime India served as the registrar.

As per the data available on Trendlyne, she publicly held 11 stocks with a net worth of over Rs 446.4 crore as on September 30, 2024. The stocks in her portfolio include Unicommerce eSolutions, Samhi Hotels, Unicommerce eSolutions, Bombay Dyeing & Manufacturing Company, Kopran, Niyogin Fintech, Repro India, Rashi Peripherals, Sangam (India), IRIS Business Services, Transformers & Rectifiers (India) and Indostar Capital Finance.

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