Akums Drugs and Pharmaceuticals IPO: Akams Drugs and Pharmaceuticals Ltd has launched its IPO, aiming to raise Rs 1,856.74 crore. The offering comprises a combination of fresh shares and an offer for sale (OFS). It will see the issuance of 1 crore fresh shares worth Rs 680 crore and 1.73 crore shares in OFS, raising a total of Rs 1,262.83 crore. It will close on August 1.
The minimum lot size is 22 shares, which will require an investment of at least Rs 14,938 at the upper price band, followed by investments in multiples of 22 shares. In addition, the company secured Rs 828 crore from anchor investors ahead of the public launch of the IPO.
About Akums Drugs and Pharmaceuticals Ltd
Akums Drugs and Pharmaceuticals Limited is a leading contract development and manufacturing organization (CDMO) specializing in a wide range of pharmaceutical products and services in India and internationally. The company excels in end-to-end product development and manufacturing, offering various dosage forms such as tablets, capsules, liquid orals, vials, ampules, blow-filled seals, eye drops, dry powder injections and gummies.
As the largest CDMO by production capacity in the Indian pharmaceutical market for FY24, Akums operates 10 manufacturing plants with a total annual production capacity of 49.23 billion units – 4.5 times more than its nearest competitor. The company also plans to expand by adding two more manufacturing units to enhance its CDMO capabilities.
Akums Drugs and Pharmaceuticals IPO Price Band
The price band for the IPO of Akams Drugs and Pharmaceuticals has been fixed at Rs 646 to Rs 679 per share. Investors will have to buy at least 22 shares for each application, that is, the minimum investment for retail investors will be Rs 14,938.
Akums Drugs and Pharmaceuticals IPO GMP
According to market analysts’ reports, the grey market premium (GMP) of Akams Drugs & Pharmaceuticals IPO is Rs 195, which is 28.7% higher than the upper price band. This is lower than the GMP of Rs 211 recorded a day before the issue opened.
Where will the money be used
The funds raised from the Akams Drugs & Pharmaceuticals IPO will be allocated for multiple purposes. A major portion of it will go towards repaying the debt of the company and its subsidiaries Maxcure Nutravedics and Pure & Cure Healthcare. Apart from this, the funds will be used to meet working capital requirements and other corporate needs.