Mumbai, Jan 20, 2026, 14:42 IST
- UPL’s seed arm Advanta filed a draft prospectus for an IPO structured as an offer for sale.
- The proposed sale covers up to 36.1 million shares; UPL plans to sell up to 28.1 million.
- UPL shares were down about 8% in afternoon trade as the stock lagged its sector.
UPL Ltd said its seed subsidiary Advanta Enterprises has filed a draft red herring prospectus — a preliminary IPO document — dated Jan. 19 with the Securities and Exchange Board of India (SEBI), the market regulator. The proposed IPO would be an offer for sale of up to 36,105,578 shares, with UPL planning to sell up to 28,107,578 of them. NSE filing
The filing starts SEBI’s review and puts Advanta on the formal path to a listing on Indian exchanges. For UPL, it is also a way to sell down part of a holding and put a clearer market value on a business that sits inside a larger agrochemicals group.
The proposed IPO will be entirely an offer-for-sale (OFS) — meaning existing shareholders sell stock and the company does not raise fresh funds — PTI reported. It said the selling shareholders include UPL and investor shareholders Melwood Holdings II Pte Ltd and KIA EBT Scheme 2. Business Standard
Advanta sells hybrid seeds and post-harvest products, with more than 900 hybrid seed varieties marketed in 74 countries and a post-harvest unit branded Decco, PTI reported. Merchant bankers include JM Financial, Axis Capital, Citigroup Global Markets India, Goldman Sachs (India) Securities and Morgan Stanley India Company, it added. Moneycontrol
UPL shares slid through the session. Economic Times’ live tracker put the stock at 722.1 rupees at 1:49 p.m. IST, down 8.27% on the day. Economic Times live blog
MarketsMojo said UPL touched an intraday low of 741 rupees earlier, underperforming the pesticides and agrochemicals sector, which it said was down 2.92%. It added that UPL is still above its 100-day and 200-day moving averages, but below shorter-term averages — a technical gauge traders use to track trend direction. MarketsMojo
UPL remains Advanta’s promoter, and the offer size can change as the regulator reviews the draft and markets move. The draft prospectus is the starting point; pricing and timing come later.
But a sale-only float can be sensitive to market swings and investor demand for new supply. “The Offer is subject to receipt of necessary approvals, market conditions and other considerations,” UPL said in its stock exchange statement. Economic Times
If the deal moves ahead, it would give investors a separate public-market read on Advanta while letting existing holders reduce exposure. For now, the filing is just the first mile marker.
