Emcure Pharmaceuticals IPO: An Overview and Company Insight
Emcure Pharmaceuticals Limited stands as a prominent player in India’s pharmaceutical landscape, renowned for its extensive research, development, and global distribution of a wide array of pharmaceutical products. Their product portfolio includes oral medications, injectables, and biotherapeutics, catering to over 70 countries with a particular focus on India, Europe, and Canada. Emcure holds a strong market position in critical segments such as gynecology, HIV antivirals, and cardiovascular drugs.
Emcure Pharmaceuticals IPO Grey Market Premium (GMP)
The Grey Market Premium (GMP) for the Emcure Pharmaceuticals IPO provides insights into the market’s expectations regarding the company’s listing price. The GMP has been consistently positive, indicating robust investor interest and confidence in the IPO’s performance.
GMP Table:
| GMP Date | IPO Price (₹) | GMP (₹) | Sub2 Sauda Rate | Estimated Listing Price (₹) | Last Updated |
|---|---|---|---|---|---|
| 02-07-2024 | 1008.00 | ₹290 Todays Movement – GMP Up | 3100/42000 | ₹1298 (28.77%) | 1-Jul-2024 9:01 |
| 01-07-2024 | 1008.00 | ₹264 Todays Movement – GMP No Change | 2800/42000 | ₹1272 (26.19%) | 30-Jun-2024 23:28 |
| 29-06-2024 | 1008.00 | ₹264 Todays Movement – GMP Down | 2800/42000 | ₹1272 (26.19%) | 29-Jun-2024 23:32 |
| 28-06-2024 | 1008.00 | ₹271 Todays Movement – GMP Up | 2900/43500 | ₹1279 (26.88%) | 28-Jun-2024 23:30 |
Pricing Details and Lot Size – Emcure Pharmaceuticals IPO
Emcure Pharmaceuticals has set a price band of ₹960 to ₹1008 per share. The minimum lot size for an application is 14 shares. This means that retail investors need to invest a minimum amount of ₹14,112 to participate in the IPO. The IPO is a combination of a fresh issue and an offer for sale, aiming to raise a total of ₹1,952.03 crores.
IPO Timelines at a Glance – Emcure Pharmaceuticals
| Event | Date |
|---|---|
| IPO Open Date | Wednesday, July 3, 2024 |
| IPO Close Date | Friday, July 5, 2024 |
| Basis of Allotment | Monday, July 8, 2024 |
| Initiation of Refunds | Tuesday, July 9, 2024 |
| Credit of Shares to Demat | Tuesday, July 9, 2024 |
| Listing Date | Wednesday, July 10, 2024 |
| Cut-off time for UPI mandate confirmation | 5 PM on July 5, 2024 |
Book-running Lead Managers and Registrar – Emcure Pharmaceuticals IPO
The lead managers for the Emcure Pharmaceuticals IPO include Kotak Mahindra Capital Company Limited, Axis Capital Limited, J.P. Morgan India Private Limited, and Jefferies India Private Limited. The registrar for the IPO is Link Intime India Private Ltd.
Offer for Sale and IPO Size Breakdown – Emcure Pharmaceuticals
The Emcure Pharmaceuticals IPO consists of a fresh issue of 79 lakh shares aggregating to ₹800 crore and an offer-for-sale (OFS) of 1.14 crore shares aimed at raising ₹1,152.03 crore. This breakdown indicates a significant portion of the proceeds will go towards existing shareholders divesting their stakes.
Utilization of Fresh Issuance and Technological Advancements – Emcure Pharmaceuticals
The company plans to utilize ₹6,400.00 million from the net proceeds to repay or prepay outstanding borrowings, thereby reducing the debt and interest burdens. The remaining net proceeds will be allocated for general corporate purposes, including funding growth opportunities, marketing, capital expenditure, investment in subsidiaries, and addressing corporate contingencies.
IPO Financial Information
| Period Ended | 31 Mar 2024 | 31 Mar 2023 | 31 Mar 2022 |
|---|---|---|---|
| Assets (₹ Cr) | 7,806.16 | 6,672.53 | 6,063.47 |
| Revenue (₹ Cr) | 6,715.24 | 6,031.72 | 5,918.86 |
| Profit After Tax (₹ Cr) | 527.58 | 561.85 | 702.56 |
| Net Worth (₹ Cr) | 2,952.28 | 2,501.13 | 1,987.55 |
| Reserves and Surplus (₹ Cr) | 2,722.40 | 2,293.77 | 1,791.03 |
| Total Borrowing (₹ Cr) | 2,091.94 | 2,202.42 | 2,102.19 |
Conclusion
The Emcure Pharmaceuticals IPO offers a promising investment opportunity with its strong market presence, diversified product portfolio, and robust financial performance. With significant market share in critical therapeutic areas and a strategic focus on growth and innovation, Emcure Pharmaceuticals is well-positioned for future success.
Frequently Asked Questions – Emcure Pharmaceuticals IPO
What is the Emcure Pharmaceuticals IPO price band?
The price band is set at ₹960 to ₹1008 per share.
What is the minimum lot size for the Emcure Pharmaceuticals IPO?
The minimum lot size is 14 shares.
When will the Emcure Pharmaceuticals IPO open for subscription?
The IPO will open on July 3, 2024.
What are the objectives of the Emcure Pharmaceuticals IPO?
The IPO aims to repay or prepay outstanding borrowings and fund general corporate purposes.
Who are the lead managers for the Emcure Pharmaceuticals IPO?
The lead managers include Kotak Mahindra Capital, Axis Capital, J.P. Morgan India, and Jefferies India.
What is the estimated listing price of the Emcure Pharmaceuticals IPO?
Based on the GMP, the estimated listing price is approximately ₹1275.
When will the shares be credited to Demat accounts?
Shares will be credited on July 9, 2024.
What is the total size of the Emcure Pharmaceuticals IPO?
The total issue size is ₹1,952.03 crores.
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