Out of the total issue, about 7,66,400 equity shares will be offered through the fixed price portion and the remaining 23,99,597 shares will be routed through the booking building mode, Murali K Divi chairman and managing director of DLL told The Financial Express.

Through the fixed price portion the company anticipates to raise about Rs 10 crore. This will be utilised for the long-term working capital requirement and to repay the exiting term loans, Murali said. With this the total equity of the company will increase to Rs 12.3 crore from the exiting Rs 11.5 crore.

Recently the company has submitted its draft document to Sebi for listing and is awaiting the markets controller's approval, Murali said. The company had a total sales turnover of Rs 153 crore for the year 1999-2000 and a net profit of Rs 16 crore.

DLL has set up bulk drug manufacturing facility with 1,000 cu. mt. of reactor capacity at Lingojigudem near Hyderabad. The company had issued convertible debentures of Rs 100 each aggregating to Rs 20.27 crore to part finance this project. Remaining Rs 31.78 crore of the total project cost of Rs 52.05 crore was raised through term loans from financial institutions.The company was originally incorporated as Divi's Research Center in 1990 at Hyderabad with a view to develop commercial processes for Active Pharmaceutical Ingredients (API) and intermediates.

Since then the company has been supplying process technology to several bulk drug manufacturers including MNCs, Murali explained.

At present, DLL has a product portfolio of about 30 products which include Dextromethorphan Hydrobromide, Diltiazem, CIS Lactum, Imaging agents. Besides, the company is engaged in the manufacture of new intermediates for multi national companies in their discovery channel, Murali said.