Glenmark Life Sciences Private Limited is in the industry of maximizing the potential of science to create high-quality medicines. They’ve built good alliances with major international generic pharmaceutical corporations over the decades which has enabled us to broaden their drug portfolio and geographic scope. Glenmark Life Sciences IPO will hit the market in 27 july 2021.
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Services
They partner with 16 of the top 20 generic pharmaceutical firms in the world. They combine creativity and operational efficiency to meet the expectations of service, stability, and reliable product accessibility with 120 APIs in their portfolio.
They offer high standard APIs to more than 540 healthcare firms in numerous nations, thanks to their vast, world-class production and research facilities.
What they Do?
They are an API provider focusing on committed research and development (R&D) in both their current products and fields where they understand there is significant expansion opportunity.
Establishing high values of system innovation and performance in their R&D and production activities, they feel, is vital to their reputation and the development of long-term client associations.
From research and development through scale-up, production, and distribution, They work through the whole value chain.
Together, they enable them to assist their clients during the product creation and corporatisation process, as well as during the life cycle planning process.
Distribution
Using state-of-the-art research facilities and production facilities, they have gradually increased the size of their product range and scope. They serves to clients in North America, Europe, Japan, Latin America, India, and the Rest of the World.
To remain ahead of the trend, They carefully combine science, technology, and economics in everything we do, from product choice and growth to commercial exploitation. Chronic therapeutic fields include cardiovascular illness, central nervous system disorders, pain control, diabetes and many others.
Future Plans
They plan to expand our API industrial capacity by adding 200 KL to their current production abilities at their Ankleshwar site in fiscal year 2022 and their Dahej facility in fiscal years 2022 and 2023.
This increased manufacturing capacity will allow us to extend the generic API output as well as their cancer product pipeline.
From the financial year 2022 onwards, they plan to build a new production plant in India for the production of generic APIs, which is scheduled to be functional in the fourth quarter of the financial year 2023.
Glenmark Life Sciences IPO
Glenmark Life Sciences, headquartered in Solapur (Maharashtra) has submitted Draft Red Herring Prospectus(DRHP) to Securities and Exchange Board of India(SEBI) for initial public offering (IPO) of INR 10,60 crore (Fresh Issue) and OFS of 6,300,000 equity shares on 16 April, 2021.
The Offer includes a fresh equity of Rs.1,060 crore and an offer for sale(OFS) up to 6,300,000 equity shares of face value of 2 per share, by the promoters.
They got approval from Securities and Exchange Board of India(SEBI) on 08 June, 2021 to float the initial public offering (IPO) in the market.
Financials Trends
| Particulars | For the year/period ended ( in Cr.) | ||||
|---|---|---|---|---|---|
| 30-Sep-20 | 31-Mar-20 | 31-Mar-19 | 31-Mar-18 | ||
| Total Assets | 1,956.57 | 17,25.60 | 1,475.40 | 0.09 | |
| Total Revenue | 1,418.47 | 1,549.30 | 886.87 | 0.25 | |
| Profit After Tax | 246.90 | 313.10 | 195.59 | (0.43) | |
Basic and Diluted Earnings Per Share (EPS)
| Financial Period | Basic EPS (in INR) | Diluted EPS (in INR) | Weight |
| Financial Year 2020 | 29.04 | 29.04 | 3 |
| Financial Year 2019 | 24.64 | 24.64 | 2 |
| Financial Year 2018 | (7.89) | (7.89) | 1 |
| Weighted Average | 21.42 | 21.42 | |
| (9 months) Dec. 31, 2020 | 22.90 | 22.90 | – |
Objects of the Issue
- Prepayment / repayment of all or a portion of the outstanding borrowings of the company to be availed on consolidated basis.
- To meet common corporate objectives.
Basis of The offer
- In chronic therapeutic fields, leadership in a few high-value, non-commoditized APIs.
- Close relations to the world’s biggest generic pharmaceutical businesses.
- Infrastructure for compliant production and R&D that is quality-focused.
- In operations, there is a strong focus on sustainability.
- Through constant monitoring and constant work, we are able to maintain cost leadership across all products.
- Management team has a track record of success.
Glenmark Life Sciences IPO Details
| IPO Opening Date | 27 July 2021 |
| IPO Closing Date | 29 July 2021 |
| Issue Type | Book Builting |
| Face Value | 2 per share |
| IPO Price | 695 to 720 per equity share |
| Market Lot | 20 |
| Min Order Quantity | 20 |
| Listing At | BSE, NSE |
| Issue Size | 1515 Cr |
| Fresh Issue | 1060 cr. |
| Offer for Sale | 6,300,000 equity share |
Glenmark Life Sciences IPO Dates
The Glenmark Life Sciences IPO date for opening is 27 July 2021, and the close date is 29 July 2021. The issue may list on 06 August 2021.
| IPO Open Date | 27 July 2021 |
| IPO Close Date | 29 July 2021 |
| Basis of Allotment Date | 04 August 2021 |
| Initiation of Refunds | 04 August 2021 |
| Credit of Shares to Demat Account | 05 August 2021 |
| IPO Listing Date | 06 August 2021 |
Basis of Allotment
| Type | % of Offer | Basis of Allotment |
|---|---|---|
| Qualified Institutional Buyer | 50 |
Roughly
equivalent
|
| Non Institutional Investor | 15 |
Roughly
equivalent
|
| Retail | 35 | Minimal level of 1 lot, based on availability, for every shareholder. |
Glenmark Life Sciences IPO Allotment Status
Allotment of equity stocks subject to the Fresh Issue and transfer of the Promoter Selling Shareholders’ OFS Stocks to the winning Bidders subject to the Offer for Sale. Nevertheless, the status of the allotment has yet to be revealed.
Here, you can find the Allotment Status of Glenmark Life Sciences IPO.
Glenmark Life Sciences IPO GMP
Glenmark Life Sciences IPO Grey Market Premium is as follows and you can check GMP of other IPOs as well from links given below:
| Date | GMP (in Rs) | Subject to Sauda | Kostak (in Rs) |
| 05 August 2021 | 81 | 3600 | 350 |
| 04 August 2021 | 93 | 2100 | 250 |
| 03 August 2021 | 97 | 4100 | 550 |
| 02 August 2021 | 110 | 5000 | 600 |
| 01 August 2021 | 102 | 4500 | 400 |
| 31 July 2021 | 105 | 5200 | 550 |
| 30 July 2021 | 132 | 3100 | 300 |
| 29 July 2021 | 142 | 4200 | 450 |
| 28 July 2021 | 140 | 3000 | 200 |
| 27 July 2021 | 145 | 3500 | 400 |
| 26 July 2021 | 120 | 3200 | 350 |
| 25 July 2021 | 150 | 2200 | 250 |
| 24 July 2021 | 175 | 2500 | 300 |
| 23 July 2021 | 225 | 1300 | 200 |
| 22 July 2021 | 212 | ||
| 21 July 2021 | 210 |
Check Out The GMP Of other IPOs
Glenmark Life Sciences IPO Review
This is IPO is majorly for long term as most of the business they do with their group company glenmark pharma. So listing gains will be decent but better to keep it in portfolio for long term.
Glenmark Life Science Risk
- Any manufacturing or quality control issues might result in legal action harm their image, and negatively impact their company, results of operations, financial position, and working capital.
- Their business relies on the sale of their products to their main clients and the loss of one or more of these customers, a decline in their financial situation or opportunities, or a decrease in their demand for their products could have a negative impact on their business.
- Gujarat and Maharashtra, India, are home to our manufacturing facilities. Their production activities might be slowed or shut down, which could have a negative impact on the company.
Other Threats
- Any suspension, slowdown, or decrease in the availability of raw materials used to make their goods may have a negative impact on their company and operating performance.
- Customer pricing influence may have an impact on their gross margin, income, and capacity to raise prices, which could have a substantially negative impact on the company, results of operations, and financial position.
- They are subject to counterparty credit risk, and any postponement or non-receipt of payments might have a negative effect on our financial performance.
- They are subject to a lot of government regulation, and if we don’t get, keep, or renew their statutory and regulatory licences and permissions, we won’t be able to run their business.
Glenmark Life Sciences IPO Brokerage views
- Yes Securities : Apply
- Choice Brokering: Apply
- Axis Securities: Apply
- IIFL Securities: Apply
- Trade swift: Apply
- Anand Rathi : Apply
- ICICI Securities: Apply
Glenmark Life Sciences IPO Peer Comparison
| S. No. | Company Name | PE |
| 1 | Divis Laboratories Limited | 72.97 |
| 2 | Laurus Labs Limited | 18.20 |
| 3 | Shilpa Medicare Limited | 19.65 |
| 4 | Aarti Drugs Limited | 11.62 |
| 5 | Solara Active Pharma Sciences Limited | 33.24 |
Glenmark life Science IPO Subscription
| Date | Day | QIB | NII | Retail | Employees | Total Subscription |
| 27 July 2021 | 1 | 0 | 0.88 | 5.3 | N/A | 2.84 |
| 28 July 2021 | 2 | 1.4 | 3.48 | 8.42 | N/A | 5.41 |
| 29 July 2021 | 3 | 37.3 | 125.62 | 15 | N/A | 45.08 |
Promoters
- Glenmark Pharmaceuticals Limited
Promoter Holding
| Pre Issue Share Holding | 100% |
| Post Issue Share Holding |
Glenmark Life Sciences IPO Prospectus
Contact Details
Glenmark Life Sciences Private Limited
Plot No. 170-172, Chandramouli Industrial Estate,
Mohol Bazarpeth, Solapur 413 213, Maharashtra, India
Tel: +91 2189 234456/ +91 2189 234246
E-mail: [email protected]
Website: www.glenmarklifesciences.com
Registrar
KFin Technologies Private Limited
Selenium Tower-B, Plot 31 & 32, Gachibowli
Financial District, Nanakramguda, Serilingampally
Hyderabad 500 032
Telangana, India
Tel: +91 40 6716 2222
E-mail: [email protected]
Website: www.kfintech.com
Lead Manager(s)
- BofA Securities India Limited
- Goldman Sachs (India) Securities Private Limited
- Kotak Mahindra Capital Company Limited
- DAM Capital Advisors Limited
- BOB Capital Markets Limited
- SBI Capital Markets Limited
We hope we are able to answer all your questions about Glenmark Life Sciences IPO. If you don’t have a Demat account, open it now with Zerodha best trading app.
Disclaimer
The reference of IPO Grey Market Premium (IPO GMP) is only valid for the date specified in the header.
On the IPO Grey Market, we do not purchase or sell IPO forms.
The Kostak Rate is the profit earned by selling an IPO application (in an off-market transaction) to somebody else before the issue is allotted or listed.
Do not subscribe to an IPO based solely on the premium price, as it may alter at any time before to the listing. Only consider the fundamentals of the companies when subscribing.
The GMP rates for IPOs are based on market intelligence. Please keep in mind that these IPO GMP rates may vary by geography and market.
Note:
We do not engage in grey market trading or facilitate the purchase or sale of IPO forms.
What is grey Market?
The phrase “grey market” refers to an illegal over-the-counter market where IPO applications and IPO stock are traded before the entity is listed on a stock exchange. This is a technique for dealers to help consumers who wish to sell their home before it goes on the market.
This is also a way to increase the listing fee and provide help for the issue prior to the listing. In the IPO grey market, there are two types of transactions that take place:
- IPO stocks are traded at a premium in the grey market.
- At a kostak, an IPO application is traded.
What is grey Market Premium?
The Grey Market Premium, or GMP, is the price at which IPO stock shares are exchanged in the grey market.
This could be correct or incorrect, implying that the grey market trading price is greater or cheaper than the issue price, depending on demand and supply for the stocks.
Typically, individuals who do not want to incur the risk of their shares not being allocated through an IPO can purchase shares on the grey market in the hopes of flipping them on the IPO for a profit.
What is Kostak?
The additional amount in rupees at which IPO applications are sold in the IPO Grey Market is known as kostak (or price of application). The bonus of a maximum lot retail application in an IPO is generally described as the ‘Kostak’ value.
The Kostak price is significant primarily before the offer is closed for subscription and the ultimate bidding status is made accessible to IPO participants. After the final auction status is known to investors, only a small percentage of IPO applications are exchanged.
‘Kostak’ is made for those who do not want to incur a risk on an IPO or gain from a listing.
Example:
Glenmark Life Sciences
Issue Price: Rs 306 Per Equity Share (Maximum Bid price)
Lot Size: 45
Grey Market Premium: Rs 220 to Rs 230
Kostak (Rs 13770): Rs 680 to Rs 720
This means Glenmark Life Sciences applications of Rs 13770 are being traded in IPO Grey Market at Rs 680 to Rs 720.
Despite the fact that this IPO’s Grey Market Premium is roughly 75% of the issue price, the ‘Kostak’ is just 5% of the application value.
Kostak rate
The Kostak rate is the fee received by an investor who sells his or her IPO application on the grey market. Regardless of allotment status, this is the money an individual stands to gain.
Subject to Sauda
The money that an investor stands to gain by selling his or her application for firm allotment is referred to as the subject to Sauda. Firm allocation is the important operative phrase here. The sauda will be cancelled if the applicant is not allotted.
When selling an IPO application in the grey market, the client and seller agree that the sale will only be legal if the seller receives the allocation. The deal is avoided if the seller does not get any stocks throughout the IPO procedure.
FAQ
Glenmark Life Sciences IPO Opening Date?
Glenmark Life Sciences IPO will open on 27 July 2021.
Glenmark Life Sciences IPO Allotment Date?
Glenmark Life Sciences IPO Allotment Date is 03 August 2021.
Glenmark Life Sciences IPO Listing Date?
Glenmark Life Sciences IPO Listing date is 06 August 2021
Glenmark Life Sciences IPO GMP Today?
Glenmark Life Sciences IPO Grey Market Premium is INR 81.
Glenmark Life Sciences IPO Price Band?
Glenmark Life Sciences IPO price Band is 695 to 720.
