Bain Capital-backed Emcure Pharmaceuticals on Tuesday said it has garnered Rs 583 crore from anchor investors a day before its initial share-sale offer opens for public subscription.
Allotment to anchor investors
The anchor book includes investors, including HDFC Mutual Fund, ICICI Prudential MF, SBI MF, Nippon India MF, Abu Dhabi Investment Authority, Goldman Sachs Asset Management, Nomura, HDFC Life Insurance Company, ICICI Prudential Life Insurance Company, and SBI Life Insurance Company.
The pharma firm has decided to allot 57.8 lakh equity shares to 48 funds at Rs 1,008 apiece, aggregating the transaction size to Rs 582.6 crore, according to a circular uploaded on the BSE's website.
IPO Details
The issue, with a price band of Rs 960 to Rs 1,008 per share, will be open for public subscription on July 3 and conclude on July 5.
The IPO comprises fresh issuance of equity shares worth Rs 800 crore and an offer of sale (OFS) of 1.14 crore equity shares to the tune of Rs 1,152 crore, at the upper end of the price band, by promoters and existing shareholders.
This aggregates the total public size to Rs 1,952 crore.
Those selling shares in the OFS include promoter Satish Mehta and investor BC Investments IV Ltd., an affiliate of US-based private equity major Bain Capital.
Currently, Satish Mehta holds a 41.85 per cent stake in the company, and BC Investments owns a 13.07 per cent stake.
Proceeds from the fresh issue will be used towards the payment of debt and for general corporate purposes.
Brokerage houses have pegged the company's market capitalisation to over Rs 19,000 crore post-issue.
Company and reserved portion details
Pune-based firm Emcure Pharmaceuticals is engaged in developing, manufacturing, and globally marketing a broad range of pharmaceutical products across several major therapeutic areas.
The employee portion has been reserved up to 108,900 equity shares in the IPO.
Besides, half of the issue size has been reserved for qualified institutional investors (QIBs), 35 per cent for retail investors, and the remaining 15 per cent for non-institutional investors.
Further, investors can bid for a minimum of 14 shares and in multiples of 14 shares thereafter.
Book-running Lead manager
Kotak Mahindra Capital Company, Jefferies India, Axis Capital, and JP Morgan India are the book-running lead managers for the issue. The equity shares of the company are expected to list on the BSE and the NSE on July 10.
Earlier this month, the company received Sebi's go ahead to float the initial share sale.
