The initial public offering (IPO) of biopharma company Concord Biotech Ltd is set to open for subscription on 4 August. Established in 1984, Concord is a developer and manufacturer of select fermentation-based APIs across immunosuppressants and oncology. It is a leading firm in terms of market share based on volume in 2022.
Concord Biotech IPO will hit the market this week. Here are some of the key things to know about the public issue:
IPO Dates
Concord Biotech IPO will open on 4 August and close on 8 August. The final allotment of shares is expected to take place on 11 August, while refunds will be made from 14 August. The shares will be credited to the Demat accounts of eligible investors on 17 August.
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Price Band
The company has fixed the price band for the IPO at Rs 705 to Rs 741 per share.
Corcord Biotech IPO Size
The Ahmedabad-based pharma company aims to raise around Rs 1,498–1,551 crore from the public issue. At the upper end of the price band, the IPO values the company at around Rs 7,752 crore.
Issue Details
The IPO consists of a complete offer-for-sale (OFS) of 2,09,25,652 equity shares by Helix Investment Holdings Pte. Ltd.
Lot Size
Investors can bid for a minimum of 20 shares and in multiples thereafter. The minimum investment amount required by investors is Rs 14,820 for one lot and their maximum investment would be Rs 1,92,660 for 13 lots (260 shares) at the upper price band.
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Kotak Mahindra Capital, Jefferies India, and Citigroup Global are the book running lead managers for the issue. Link Intime India Pvt Ltd is the registrar for Concord Biotech IPO.
IPO Reservation
Concord Biotech has booked 50 per cent of the shares in the issue for Qualified Institutional Buyers (QIBs), 15 per cent for Non Institutional Investors (NIIs), and 35 per cent of the portion is booked for Retail Investors. Up to 10,000 equity shares are booked for company employees, who are offered shares at a discount of Rs 70 per share.
Listing Date
Concord Biotech shares are likely to be listed on 18 August on BSE and NSE.
Grey Market Premium
According to IPOWatch, Concord Biotech IPO is commanding a premium of Rs 260 per share on Thursday. The GMP has slipped from Rs 325 on Monday.
Concord Biotech is among the leading global developers and manufacturers of select fermentation-based APIs across immunosuppressants and oncology in terms of market share based on volume in 2022. The company sells products in over 70 countries, including regulated markets.
The company owns three manufacturing facilities in Gujarat, India, and two DSIR-approved R&D units. It manufactures bio-pharmaceutical APIs through fermentation and semi-synthetic processes across the therapeutic areas of immunosuppressants, oncology, and anti-infectives, as well as formulations that are used in the therapeutic areas of immunosuppressants, nephrology drugs and anti-infective drugs for critical care.
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During FY23, Concord Biotech reported 37.2 per cent growth in net profit to Rs 240 crore on the back of strong topline and operating performance. Revenue from operations increased nearly 20 per cent to Rs 853.2 crore during fiscal 2023.
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