All you need to know about Emcure Pharma's IPO
Jul 1, 2024
By: ira.puranik@timesinternet.in
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Emcure Pharmaceutical's IPO opens for subscription on July 3, 2024 and closes on July 5. Share allotment will be done by July 8, and the company will be listed on NSE, BSE by July 10th, 2024.
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The company is looking to raise Rs 800 crore via fresh issue, and Rs 1,512 crore via offer for sale. The price band is set between Rs 960 and 1,008 per share.
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Established in 1981, Emcure Pharmaceuticals is a leading manufacturer and developer of pharmaceuticals in India. As of September 2023, the company's domestic annual sales ranked 13th in India. The company also leads in drug development in gynaecology and HIV antiviral therapeutic areas.
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The company's profit after tax in FY24 stood at Rs 527.58 crore. For FY23, it stood at Rs 561.85 crore, and in FY22, it earned Rs 702.56 crore million as net profit. The company's debt to equity ratio is a healthy 0.67, while its return on equity is at 16.90%
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50% of the issue has been allotted for QIB, or qualified institutional bidders, while 15% has been set aside for non-institutional investors. 35% of the offer will be allocated for retail investors. From the funds raised in this IPO, Emcure looks to repay and prepay its existing loans, as well as fulfil general corporate purposes.
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Retail investors can buy a minimum lot of 114 shares, or Rs 14,112. The maximum shares available to a retail investor is 14,196, or worth Rs 1,97,568. Additionally, there is a Rs 90 discount per share for Emcure Pharma's employees.
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The company's current grey market premium is Rs 267, and continues to trend upwards. The IPOs estimated listing price is Rs 1,275, with potential listing gains of about 26.49%.
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