Sudeep Pharma Ltd made a strong market debut, closing more than 30 percent above its offer price on Friday, following a highly subscribed initial public offering (IPO). The stock commenced trading at ₹733.95 on the Bombay Stock Exchange (BSE), reflecting a 23.7 percent premium to the IPO price of ₹593, while on the National Stock Exchange (NSE) it opened at ₹730, marking a 23 percent premium from the same price. By the end of the trading day, the stock closed at ₹773.70 on the BSE and ₹774.15 on the NSE.
Shivani Nyati, Head of Wealth at Swastika Investmart Ltd, attributed the listing strength to Sudeep Pharma’s established presence in the pharmaceutical and nutraceutical input materials sector. Additionally, the company boasts a diversified product portfolio, enduring relationships with major global pharmaceutical firms, and strong export potential. However, she noted that investors should be cautious about margin sustainability, fluctuations in raw material prices, and increasing competition in the specialty chemicals and pharmaceutical ingredients sectors.
Nyati advised that investors who received allocations might consider booking partial gains, while aggressive long-term investors who are optimistic about the specialty pharma ingredient market could hold onto their shares, using a disciplined stop-loss level at ₹690.
The enthusiasm surrounding the ₹895-crore IPO was evident even before the listing day, with shares in the unlisted market commanding a 20.40 percent premium, indicating high demand from pre-IPO investors. The IPO was notably oversubscribed, closing at a remarkable 93.71 times on the final day, with institutional investors particularly active; Qualified Institutional Buyers (QIBs) subscribed 213.08 times, non-institutional investors 116.72 times, and the retail portion was booked at 15.65 times.
Sudeep Pharma had earlier secured ₹268.5 crore from anchor investors. The price band for the offering was set between ₹563 and ₹593 per equity share, with the IPO comprising a fresh issuance of ₹95 crore and an offer-for-sale (OFS) of approximately 1.35 crore equity shares totaling ₹800 crore by the promoters.
Positioned as a technology-driven manufacturer of excipients and specialty ingredients for the pharmaceutical, food, and nutrition sectors, Sudeep Pharma aims to play a significant role in the global healthcare ecosystem. The company’s robust fundamentals, expanding product range, and consistent demand in the industry contributed to positive expectations for its listing.
The article was published on November 28, 2025.
