Delhi-based pharmaceutical company Mankind Pharma will hit the secondary market today 9 May 2023. The grey market has indicated a healthy listing for the company.
New Delhi: Delhi-based pharmaceutical company Mankind Pharma will hit the secondary market today 9 May 2023. The grey market has indicated a healthy listing for the company. The trends on the Dalal Street Street today and grey market indicate a premium listing of up to 20 per cent for the company.
Mankind Pharma IPO: Key Points
- During May 25-27, the IPO was subscribed 15.32 times, with QIBs applying for 49.16 times the allotted quota of shares.
- The portion set aside for high networth individuals (HNIs) was subscribed 3.8 times and the retail investor part was booked 92 per cent.
- The IPO was entirely an offer for sale by promoters and investors. Hence the entire money has been received by selling shareholders, and the company did not get money from the share sale.
- Mankind Pharma is valued at a price-to-earnings ratio of 30 times FY22 earnings and commands a market capitalisation of Rs 44,000 crore. Post-IPO, the promoter will hold 78 per cent of the company, with 12 per cent held by existing PE investors.
- The Rs 4,326 crore initial share sale of Mankind Pharma, which is completely an offer for sale (OFS), was subscribed 15.32 times at close, driven by strong interest from qualified institutional buyers (QIB).
- The IPO of Mankind Pharma is the largest so far this year and one of the biggest ever by a domestic drug maker since Gland Pharma came up with its Rs 6,480 crore public issue.
- While the QIB part was subscribed an overwhelming 49 times, the NII bit was subscribed 3.8 times. Retail investors didn’t show much interest as the subscription for their part was below 100%.
- Mankind Pharma is the fourth-largest Indian pharmaceutical company in terms of domestic sales and third largest in terms of sales volume for moving annual total as of December 2022. It has a pan-India marketing presence and operates 25 manufacturing facilities across the country. As of December 2022, the company had a team of over 600 scientists and a dedicated in-house R&D centre with four units located at IMT Manesar, Gurugram and Thane.