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Emcure Pharmaceuticals to raise ₹1,100 crore via fresh issue; Bain Capital to sell stake via IPO

Emcure Pharmaceuticals to raise ₹1,100 crore via fresh issue; Bain Capital to sell stake via IPO
Stock Market2 min read
  • Pune-based Emcure Pharmaceuticals is looking to raise ₹1,100 crore via fresh issue of shares in the IPO.
  • The Indian pharmaceutical company is engaged in developing, manufacturing and globally marketing a broad range of pharmaceutical products across several major therapeutic areas
  • Among other promoters, private equity firm Bain Capital Investments will also be selling its shares in the IPO.
Pune-based Emcure Pharmaceuticals has come forth again to publicly list its shares on exchanges.

In 2014, the company had attempted to hit the stock exchanges, but reportedly did not pursue it after Bain Capital invested about ₹226 crore, by which it was able to meet its immediate liquidity needs.

Now the initial public offering (IPO) comprises a fresh issue of ₹1,100 crore and an offer for sale of up to 1.81 crore equity shares that include promoters -- Satish Mehta selling up to 20.30 lakh equity shares and Sunil Mehta selling up to 2.50 lakh equity shares. Other selling shareholders include private equity investor Bain Capital, as well as certain individual shareholders. Media reports say the IPO size might be ₹4,000 crore including fresh issue and offer for sale.

Bain Capital had acquired a 13.09% stake in the company in 2014.

The Indian pharmaceutical company is engaged in developing, manufacturing and globally marketing a broad range of pharmaceutical products across several major therapeutic areas. It has an established presence in most of the major therapeutic areas, including, gynaecology, cardiovascular, vitamins, minerals and nutrients, oncology/antineoplastic, HIV and blood-related.

It also sells a portfolio of differentiated products internationally in over 70 countries. Emcure Pharmaceuticals has 14 manufacturing facilities across India that are capable of producing pharmaceutical and biopharmaceutical products of a wide range of dosage forms.

The company said it will use ₹947.5 crore in repaying some of its debt and rest for general corporate purposes.

Particulars

FY21

FY20

FY19

Revenue

₹6056.4 crore

₹5048.5 crore

₹4717.1 crore

Profit

₹418.5 crore

₹100.6 crore

₹202.9 crore


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