Emcure Pharmaceuticals Files DRHP to Raise Rs. 4500 – Rs. 5000 Crores via IPO

On 19 August 2021, Emcure Pharmaceuticals filed its DRHP with the market regulator, SEBI, to launch its initial public offer. As per the DRHP filed, the issue size of this proposed IPO will be between Rs. 4500 and Rs. 5000 crores.

Here’s more on this topic.

Crucial Details about Emcure Pharmaceuticals IPO

As per the latest reports, Emcure’s public offer will comprise a new issue of shares worth Rs. 1,100 crores and an OFS of a maximum of 18,168,356 shares. The offer for sale will include stakes of private equity investor, Bain Capital and promoters –

• Satish Mehta’s 2,030,000 shares
• Sunil Mehta’s 2,50,000 shares

Wondering how the company plans to use its proceeds?

According to Emcure, it plans to use the IPO proceeds from its new share issue for these purposes –

• Partial or full repayment of its existing debt
• Meeting general corporate purposes

Emcure is also expected to launch a pre-initial public offer placement amounting to Rs. 200 crores. If this placement is concluded successfully, the new issue size will decrease accordingly.

Emcure has appointed entities such as Credit Suisse Securities (India) Private Limited, Axis Capital Limited, JM Financial Limited, and BofA Securities India Limited as its global co-ordinators and lead managers. Whereas BOB Capital Markets Limited will act as this upcoming public offer’s book running lead managers. This company plans to list its equity shares on both NSE and BSE.

A Sneak Peek of Emcure’s Market Reputation

Emcure is among the leading pharmaceutical companies in India. It is closely associated with the development, manufacturing and marketing of pharmaceutical products across multiple therapeutic areas.

Currently, Emcure has a global presence in nearly 70 markets. It is also proactively developing an RNA vaccine for coronavirus through Gennova Biopharmaceuticals, a subsidiary company. This company has a well-differentiated product portfolio, including biologics, orals, and injectables.

Final Takeaway

It is too early to make speculations about Emcure Pharmaceuticals IPO. Stag investors who are interested in initial public offers of pharmaceutical companies could keep an eye on this one. However, it will be best to carry out a thorough analysis of Emcure’s market presence, prospects, business strength and weaknesses to gain a better idea.

Currently, the pharmaceutical sector is gaining a lot of attention from institutional and retail investors. Investors could make the most of this temperament by including strong pharma names into their investment portfolio.

Frequently Asked Questions

1. Who is the registrar for Emcure Pharmaceuticals IPO?

Emcure Pharmaceuticals is yet to announce its registrar.

2. Where will Emcure Pharmaceuticals list its shares?

Emcure will list its shares on the National Stock Exchange and Bombay Stock Exchange.

3. What will be the issue type of Emcure PharmaceuticalsIPO?

Emcure IPO will follow book built issue type.

4. What is the tentative date of Emcure IPO?

Emcure is yet to announce the tentative date of its public offer.