Indegene IPO gets more than 1.7 times subscription on the first day, check other details including GMP
Indegene has set a price band of Rs 430-452, and investors can bid for 33 shares in one lot. The minimum investment amount for retail investors will be Rs 14,916.
The IPO of Indegene has a large issue size, but it has received an excellent response from investors on the first day itself. Established in 1998, Indegene Limited provides services to the life sciences industry. They assist in drug development, clinical trials, regulatory submissions, pharmacovigilance, complaint management, and sales/marketing support.
The company aims to raise approximately Rs 1,841.76 crore through the IPO. Let's check the subscription status for the first day.
On the first day, this book-built issue has been subscribed more than 1.7 times. It has been subscribed 1.54 times in the retail category, 4.2 times in the NII category, and 0.05 times in the QIB category so far.
The Indegene IPO includes a fresh equity issue of up to Rs 750 crore and an offer for sale (OFS) of 2.93 crore equity shares by existing investors. Under the OFS, shares will be sold by Manish Gupta, Rajesh Bhaskaran Nair, Anita Nair, Carlyle, Brighton Park Capital, Nadathur Family Office, and others.
Indegene has set a price band of Rs 430-452, and investors can bid for 33 shares in one lot. The minimum investment amount for retail investors will be Rs 14,916.
The company has allocated 35% for retail investors, 50% for QIBs, and 15% for NIIs for the Indegene IPO.
The funds raised through the new issue will be utilized for repayment of loans, providing funds for capital expenditure requirements, payment of consideration for one of its past acquisitions, organic growth, and general corporate purposes.
The IPO will open on May 6 and close on May 8. Final allotment is expected on May 9. The company's shares may be listed on the BSE SME platform on May 13.
According to market analysts, the company's current GMP in the unlisted market is Rs 252.
The life sciences industry mainly comprises biopharmaceutical companies and medical device companies, with estimated combined sales of Rs 138.3 trillion ($1.8 trillion) in 2023, of which sales of biopharmaceutical companies accounted for 69% or Rs 95.4 trillion ($1.2 trillion).
For the period ending December 2023, Indegene reported a profit after tax of Rs 241.90 crore and revenue of Rs 1,969.75 crore. In the financial year 2022-23, the company recorded a profit after tax of Rs 266.10 crore and revenue of Rs 2,364.10 crore.
Kotak Mahindra Capital Company Limited, Citigroup Global Markets India Private Limited, JP Morgan India Private Limited, and Nomura Financial Advisory And Securities (India) Pvt Ltd are the book running lead managers, while Link Intime India Private Ltd is the registrar for the issue.