Senores Pharmaceuticals, based in Ahmedabad, launched its IPO worth ₹582.11 crore on Friday at a price band of ₹372-391. The response from investors has been robust, with the IPO seeing a subscription of 13.93 times. Retail investors were particularly aggressive, subscribing 3.41 times.
The IPO includes a fresh issue of ₹500 crore and an offer-for-sale of up to 21 lakh shares worth ₹82.11 crore by promoters and other selling shareholders. The minimum lot size is 38 shares.
Qualified institutional buyers (QIBs) have a 75% reservation in the IPO, while retail investors have a 10% reservation and non-institutional investors have a 15% reservation. QIBs have subscribed 0.35 times, while non-institutional investors have subscribed 24.63 times. The IPO also has a 75,000 shares reservation for employees, which was subscribed 10.14 times.
Prior to the IPO, Senores Pharmaceuticals raised ₹260.62 crore from anchor investors, including foreign and domestic institutions. The company allocated 66,65,725 shares at ₹391 to anchor investors.
The company plans to use the net proceeds from the IPO for various purposes, including investment in subsidiaries, capital expenditure for setting up a manufacturing facility, repayment of certain borrowings, and funding working capital requirements. It also intends to invest in subsidiaries for their working capital needs, as well as for inorganic growth through acquisitions and other strategic initiatives.
Senores Pharmaceuticals, established in December 2017, is a global research-driven pharmaceutical company focusing on developing and manufacturing a wide range of pharmaceutical products for regulated markets in the US, Canada, and the UK. The company also manufactures critical care injectables and APIs.
Equirus Capital Private Limited, Ambit Private Limited, and Nuvama Wealth Management Limited are the book-running lead managers for the IPO, with Link Intime India Private Limited serving as the registrar.
In conclusion, the strong response to the Senores Pharmaceuticals IPO reflects investor confidence in the company’s growth prospects and the pharmaceutical industry as a whole. The funds raised through the IPO will enable the company to pursue its expansion plans and continue its research-driven approach to developing innovative pharmaceutical products.
