Muted debut: Glenmark Life Sciences lists at Rs 751.10, a premium of 4.32%
On the NSE, Glenmark Life Sciences opened at Rs 750, at a premium of 4.17% over its issue price of Rs 720 per share.
The API (active pharmaceutical ingredients) arm of Glenmark Pharmaceuticals, Glenmark Life Sciences made a muted listing on the stock exchanges today. Shares of pharma chemical company Glenmark Life Sciences opened at Rs 750 per share on the National Stock Exchange, implying a premium of 4.17% from the issue price of Rs 720 per share. On the BSE, the stock opened at Rs 751.10, at a premium of 4.32%.
The Rs 1,513.60-crore initial public offer of the company got subscribed 44.17 times on the closing day of the subscription on July 29. The issue received bids for 66,33,24,160 shares against 1,50,18,279 shares on offer, according to NSE data. Qualified Institutional Buyers (QIBs) portion received 36.97 times subscription, non-institutional investors 122.54 times and retail individual investors 14.63 times. The company had fixed a price band of Rs 695-720 per share.
The IPO comprised fresh issuance of equity shares of Rs 1,060 crore, and an offer for sale (OFS) of 63,00,000 shares totalling to Rs 453.60 crore by Glenmark Pharmaceuticals.
The API manufacturer will utilise its net proceeds for payment of outstanding purchase consideration to the promoter for the spin-off of the API business from the promoter into the company pursuant to the Business Purchase Agreement dated October 9, 2018 (Rs 800 crore), and funding capital expenditure requirements (Rs 152.76 crore) and meet general corporate purposes.
Glenmark Life Sciences is the leading manufacturer of Active Pharmaceutical Ingredients (APIs). The company develops, manufactures, and supplies high-quality APIs for cardiovascular disease (CVS), central nervous system disease (CNS), pain management, and diabetes, gastrointestinal disorders, anti-infectives, and other therapeutic areas.
Currently, it has 4 manufacturing facilities at Ankleshwar and Dahej in Gujarat and Mohol and Kurkumbh in Maharashtra State with an aggregate annual installed capacity of 725.8 KL as of December 31, 2020.
Download Money9 App for the latest updates on Personal Finance.
