Emcure Pharma IPO concludes with 68 times subscription; shares likely to debut on this date
Emcure Pharma IPO Final Day Subscription Update: Pune-headquartered Emcure Pharmaceuticals concluded an initial public offering (IPO) on Friday with a subscription of nearly 68 times the offered equity. The IPO, worth an estimated Rs 1,952 crore, was a combination of fresh issuance and an offer for sale (OFS). By the end of Friday, the final day of bidding which began on Wednesday, the IPO received bids for approximately 93 crore shares against the 1.4 crore shares on offer, according to provisional exchange data.
Pune-headquartered drug maker Emcure Pharmaceuticals' initial public offer (IPO), to raise Rs 1,952 crore, concluded on Friday with an overall subscription of almost 68 times the equity on offer. the Emcure Pharma IPO, comprising fresh issuance worth Rs 800 crore and an offer for sale (OFS) worth up to Rs 1,152 crore by promoters and existing shareholders.
At the end of bidding on Friday, the third and final day of a bidding process that began on Wednesday, the IPO received bids for almost 93 crore shares against the 1.4 crore shares on offer, according to provisional exchange data.
Institutional investors participated heavily in the Rs 1,952-crore public offer.
| Category | Subscription (No. of times the shares reserved) |
| Qualified institutional buyer (QIB) | 195.8 |
| Non-institutional investor (NII) | 48.3 |
| Retail investor | 7.2 |
| Employee | 8.8 |
| Total | 67.9 |
Under the IPO, shares were available for bidding in a price band of Rs 960-1,008 apiece in lots of 14 units, translating to Rs 13,440-14,112 per lot.
Emcure Pharma shares are set to enter the listed space on July 10, after the likely finalisation of the allotment on July 8.
A number of analysts suggested subscribing to the issue.
Geojit Financial Services, which also assigned a 'subscribe' rating to the IPO from a medium-to-long-term perspective, is positive on the drug maker citing the following:
- Strong R&D expertise in differentiated products
- Sstablished domestic and international presence
- Strong focus on the women’s healthcare market
- Improved profitability post-IPO
- Diversified product portfolio
The brokerage found the IPO to be full-priced at a price-to-earnings multiple of 36 times its FY24 estimates.
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