Windlas Biotech IPO

 

Windlas Biotech was established in 2001 and offers pharmaceutical innovation, large-scale production, and credible but reasonable products to distributors and clients all over the globe. Windlas Biotech IPO will hit the market on 04 August 2021.

About

At their 4 state-of-the-art production plants in Dehradun, Uttarakhand, India, they employs approximately 1500 staff.  They also have a marketing force and supply chain that covers nearly all of India’s regions.

To serve the semi-urban and remote populations, they market their own manufactured genuine nutraceutical, medicinal, and ayurvedic drugs at reasonable costs.

“Windlas Biotech Limited (Previously popular as Windlas Biotech Private Limited) is the firm’s legal name.”

Core

At Windlas, they pride themselves on their ability to innovate. For drug production, product delivery, and cost efficiency, they provide customers with customized innovation strategies and end-to-end distribution chain systems.

Their mission is to reduce their partners’ drug development time frames and minimize their period to launch. To fix technical problems and help in any distribution delays, they use their own research and development resources.

Windlas Biotech IPO

Windlas Biotech Limited, headquartered in Dehradun has submitted Draft Red Herring Prospectus(DRHP) to Securities and Exchange Board of India(SEBI) for initial public offering (IPO) of INR 401.53 crore on 14 May 2021.

The Offer includes a fresh equity of Rs. 165 crore and an offer to sell(OFS) up to 51.4 lakhs equity shares of Windlas Biotech with face value Rs 5 each by the promoters.

The management confirmed that it is in talks with its book running Banks to raise INR 50 million via a pre-IPO placement. According to the firm, the anchor investor offer phase will begin one business day prior to the IPO launch date.

They got approval from Securities and Exchange Board of India(SEBI) on 07 July, 2021 to float the initial public offering (IPO) in the market.

Financials Trends

Particulars	For the year/period ended ( in Cr.)
	31-Dec-20	31-Mar-20	31-Mar-19	31-Mar-18
Total Assets	315.88	338.49	298.18	289.89
Total Revenue	323.09	331.34	311.53	356.58
Profit After Tax	9.67	16.21	63.82	11.20

Basic and Diluted Earnings Per Share (EPS)

Financial Period	Basic EPS (in INR)	Diluted EPS (in INR)	Weight
Financial Year 2020	8.90	8.90	3
Financial Year 2019	38.61	37.65	2
Financial Year 2018	7.06	6.80	1
Weighted Average	18.50	5.46
(9 months) Dec. 31, 2020	5.46	10.56	–

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.
• The firm will allocate a total of INR 475.6 million to finance additional working capital needs and INR 200 million to offset existing debt. Its gross unpaid borrowings were INR 321.6 million as of March 2021.

Basis of the offer

The following are some of the basic criteria and key strengths that go into determining the Offer Price:

• India ‘s top CDMO, focusing on the chronic therapeutic category.
• A diverse portfolio of complicated generics backed by strong R&D skills.
• Manufacturing facilities that are efficient and quality-compliant, with considerable entrance obstacles.
• Long-term partnerships with top pharmaceutical firms in India.
• A proven track record of financial success.
• Professional and technically trained staff with seasoned promoters and top management.

Windlas Biotech IPO Peer Comparison

There are no publicly traded firms in India with a range of products and services equivalent to theirs, or a scale of operations comparable to theirs.

Windlas Biotech IPO Details

IPO Opening Date	04 August 2021
IPO Closing Date	06 August 2021
Issue Type	Book Builting
Face Value	5 per  share
IPO Price	448 to 460 per equity share
Market Lot	30
Min Order Quantity	30
Listing At	BSE, NSE
Issue Size	401.53
Fresh Issue	165 Cr.
Offer for Sale	51.4 lakhs equity shares

Windlas Biotech IPO Tentative Date

The Windlas Biotech IPO opening date is 04 August 2021, and the closing date is 06 August 2021. The issue may list in 2021.

IPO Open Date	04 August 2021
IPO Close Date	06 August 2021
Basis of Allotment Date	11 August 2021
Initiation of Refunds	12 August 2021
Credit of Shares to Demat Account	13 August 2021
IPO Listing Date	17 August 2021

Windlas Biotech IPO 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.

Windlas Biotech 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 Windlas Biotech IPO.

Windlas Biotech IPO GMP

Windlas Biotech 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)
16 August 2021
15 August 2021	65	3800	450
14 August 2021	54	3200	300
13 August 2021	50	4300	500
12 August 2021	42	700	100
11 August 2021	60	1700	150
10 August 2021	65	2200	250
09 August 2021	75	1200	150
08 August 2021	85	1800	200
07 August 2021	109	3800	400
06 August 2021	126	2000	200
05 August 2021	145	5400	600
04 August 2021	185	4500	550
03 August 2021	165	4200	500
02 August 2021	162	3500	450
01 August 2021	170	3200	350
31 July 2021	200	2500	250
30 July 2021	250	1500	200
29 July 2021	325
28 July 2021	350
27 July 2021	No Trade	No Trade	No Trade

Check Out The GMP Of other IPOs

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• Exxaro tiles IPO
• Nuvoco Vistas IPO
• Devyani International IPO

Windlas Biotech IPO Review

Windlas Biotech is a unique business model. However, volatility in financial performance is alarming about the company. You can subscribe with a long term view. Risk taking investors can apply for some decent listing gain & if you are risk cautions then you can avoid it for listing gains.

Windlas Biotech IPO Risk

• They rely on the success of their CDMO clients’ relationships. Any negative developments, as well as their failure to form or sustain such connections, might have a negative impact on their company.
• Their operations rely on research and development (“R&D”), and failing to invent innovative solutions to fulfil their customers’ expectations may have a negative impact on their business
• The current and future impact of the ongoing COVID-19 pandemic on their business.
• Their production facilities are all located in the same area. If they are unable to operate in this location, it may have a negative impact on the business.
• Any disruption in the supply of their raw materials might have a negative impact on overall operations.

Other Threats

• They are needed to obtain, renew, or maintain statutory and regulatory permissions and approvals in order to operate, and any delay or difficulty in doing so might have a negative effect on the business.
• Their company might suffer if any of their solutions cause, or are believed to induce, significant negative effects.
• Their production capacity may be underutilised, which might have a negative impact on their business.
• There are ongoing legal actions against their company and its directors. Any negative conclusion in these proceedings might have a negative impact on their company.
• One of our Independent Directors has previously been listed on the list of directors who were disqualified.

Windlas Biotech IPO Brokerage views

• Yes Securities : Subscribe with caution
• Choice Brokering: Subscribe
• Axis Securities: Subscribe with caution
• IIFL Securities: Subscribe
• Trade swift: Subscribe
• Anand Rathi : Subscribe
• ICICI Securities: Subscribe

Windlas Biotech IPO Subscription Status

Date	Day	QIB	NII	Retail	Employees	Total Subscription
04 August 2021	1	0.00	0.34	6.22	N/A	3.18
05 August 2021	2	0.04	1.13	13.67	N/A	7.09
06 August 2021	3	24.10	15.91	24.54	N/A	22.56

Promoters

Promoters

• Ashok Kumar Windlass
• Hitesh Windlass
• Manoj Kumar Windlass
• AKW WBL Family Private Trust

Promoter Holding

Pre Issue Share Holding	70.20%
Post Issue Share Holding