Akums Drugs and Pharmaceuticals is scheduled to hit the market on July 30, 2024 and close on August 01, 2024. Akums Drugs and Pharmaceuticals plans to raise around ₹1,856.74 Cr through an IPO with a sale of up to 27,345,162 equity shares of ₹2 each. The Retail offered 10%, QIB Shares Offered 75%, HNI Shares Offered 15%.
Akums Drugs and Pharmaceuticals Limited, established in 2004, is a pharmaceutical contract development and manufacturing organization (CDMO) that offers a wide range of products and services both in India and internationally. The company specializes in end-to-end solutions for product development, manufacturing, research and development of formulations, and regulatory dossier submissions. Additionally, Akums manufactures and sells branded drugs and active pharmaceutical ingredients (APIs), producing various dosage forms such as tablets, capsules, vials, ampoules, and more.
In the financial year 2023, Akums successfully manufactured formulations for 26 of the top 30 pharmaceutical companies in India by revenue. The company operates 10 manufacturing units with a total production capacity of 49.21 billion units annually and has commercialized over 4,025 formulations across more than 60 dosage forms. To further enhance its capabilities, Akums plans to commission two new production units for its CDMO business in FY 2025. Many of its facilities are accredited by global regulatory bodies, including EU-GMP and WHO-GMP. As of September 30, 2023, the company employed 16,463 people, comprising 7,211 full-time and 9,252 contract employees.
Akums Drugs and Pharmaceuticals IPO Details
Akums Drugs and Pharmaceuticals IPO opens on July 30, 2024, and closes on August 01, 2024. The Listing date for Akums Drugs and Pharmaceuticals IPO is on August 06, 2024. The price band for IPO is ₹646 to ₹679 per share and lot size of 22 Shares.
| IPO Date | July 30, 2024 to August 01, 2024 |
| Listing Date | August 06, 2024 |
| Price | ₹646 to ₹679 per share |
| Lot Size | 22 Shares |
| Issue Size | ₹1,856.74 Cr |
| Face Value | ₹2 per share |
Akums Drugs and Pharmaceuticals IPO Tentative Timetable
Akums Drugs and Pharmaceuticals opening date is July 30, 2024 and close date is August 01, 2024. The IPO allotment date is August 02, 2024. Therefund initiation of IPO is on August 05, 2024. The credit of shares in demat account is on August 05, 2024. The listing date is on August 06, 2024.
| Event | Date |
|---|---|
| IPO Opening | July 30, 2024 |
| IPO Closing | August 01, 2024 |
| IPO Allotment Date | August 02, 2024 |
| Refund Initiation | August 05, 2024 |
| Shares Credit to Demat | August 05, 2024 |
| Lisiting Date | August 06, 2024 |
Akums Drugs and Pharmaceuticals IPO Lot Size
Lot Size of this IPO is 22 shares. A retail-individual investor can apply for up to 13 lots (286 shares or ₹194,194).
| Category | Lots | Shares | Amount |
|---|---|---|---|
| Retail(Minimum) | 1 | 22 | ₹14,938 |
| Retail(Maximum) | 13 | 286 | ₹194,194 |
| S-HNI (Minimum) | 14 | 308 | ₹209,132 |
| B-HNI (Minimum) | 67 | 1,474 | ₹1,000,846 |
Akums Drugs and Pharmaceuticals IPO Promoter Holding
| Pre Issue Share Holding | 84.94% |
| Post Issue Share Holding |
Akums Drugs and Pharmaceuticals IPO Review
Akums Drugs & Pharmaceuticals Ltd. (ADPL) is a leading contract development and manufacturing organization (CDMO) in India, offering a wide array of pharmaceutical products and services both domestically and internationally. ADPL's core business revolves around providing end-to-end product development and manufacturing solutions, including formulation research and development (R&D), regulatory dossier preparation, and various testing services. The company also manufactures and sells branded pharmaceutical formulations and active pharmaceutical ingredients (APIs). ADPL stands out as the largest India-focused CDMO in terms of revenue, production capacity, and clients served during FY23. With 10 manufacturing units and an annual production capacity of 49.23 billion units as of March 31, 2024, ADPL serves top pharmaceutical companies and maintains rigorous quality standards accredited by global regulatory agencies.
ADPL's financial performance has shown variability over the past three years. For FY22, FY23, and FY24, the company reported total revenues of ₹3,694.52 crore, ₹3,700.93 crore, and ₹4,212.21 crore, respectively, with net profits of ₹-250.87 crore, ₹97.82 crore, and ₹0.79 crore, respectively. A significant factor affecting these figures is the provisioning for put option liabilities, which has impacted the bottom lines. Adjusting for these provisions, ADPL posted a net profit of around ₹358 crore for FY24, suggesting a healthier financial position. The IPO aims to raise approximately ₹1,856.74 crore through the issuance of fresh equity shares worth ₹680 crore and an offer for sale (OFS) of ₹1,176.74 crore. The price band for the shares is set at ₹646 to ₹679. The funds will be utilized for debt repayment, working capital, and general corporate purposes. Post-IPO, ADPL's market capitalization is expected to be around ₹10,685.49 crore at the upper price band.
ADPL holds a dominant position in the highly competitive CDMO sector, with a domestic market share increasing from 26.7% in FY21 to 30.2% in FY24. The company's extensive client base, long-standing relationships, and diverse product offerings underscore its market strength. Despite the challenges posed by put option liabilities, ADPL's adjusted financials indicate robust profitability. The IPO, while appearing aggressively priced, becomes more attractive when considering the adjusted earnings. ADPL's ongoing expansion plans, technological innovations, and strong client relationships make it a compelling investment opportunity for the medium to long term. Investors should, however, be mindful of the company's historical earnings volatility and the inherent risks associated with the pharmaceutical manufacturing sector.
Akums Drugs and Pharmaceuticals IPO Subscription Status (Bidding Details)
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Akums Drugs and Pharmaceuticals IPO FAQs
What is Akums Drugs and Pharmaceuticals IPO?
Akums Drugs and Pharmaceuticals is issuing 27,345,162 equity shares with a face value of ₹2 each, totaling up to ₹1,856.74 Cr. The shares are being offered at a price of ₹646 to ₹679 each, with a minimum order quantity of 22 shares.
Link Intime India Private Ltd is the registrar for the IPO, and the shares are planned to be listed on the BSE and NSE.
When Akums Drugs and Pharmaceuticals IPO will open?
Akums Drugs and Pharmaceuticals will open on July 30, 2024 for QIB, NII, and Retail Investors.
When Akums Drugs and Pharmaceuticals IPO will end?
Akums Drugs and Pharmaceuticals will end on August 01, 2024.
What is Akums Drugs and Pharmaceuticals IPO Size?
Akums Drugs and Pharmaceuticals IPO size is ₹1,856.74 Cr.
What is Akums Drugs and Pharmaceuticals IPO Price Band?
Akums Drugs and Pharmaceuticals price band is ₹646 to ₹679 per share.
What is the Akums Drugs and Pharmaceuticals IPO Allotment Date?
Akums Drugs and Pharmaceuticals allotment date is August 02, 2024.
What is the Akums Drugs and Pharmaceuticals IPO Listing Date?
Akums Drugs and Pharmaceuticals listing date is August 06, 2024. The IPO is to be listed on BSE and NSE.
How to Akums Drugs and Pharmaceuticals IPO through Zerodha?
To apply for the IPO “Akums Drugs and Pharmaceuticals” on Zerodha, log in to the Zerodha website or app, go to the Portfolio section, and click on IPO. Then, click on the “Apply” button and enter your UPI ID, the desired quantity, and the price. Submit the IPO application form and then approve the mandate on your UPI app. To complete the process, you should have an demat account. If you don't have one, open a demat account with Zerodha.
How to Apply Akums Drugs and Pharmaceuticals IPO through Upstox?
To apply for the IPO “Akums Drugs and Pharmaceuticals” on Upstox, log in to the Upstox website or app, click on IPO. Then, click on the “Apply” button and enter your UPI ID, the desired quantity, and the price. Submit the IPO application form and then approve the mandate on your UPI app. To complete the process, you should have an demat account. If you don't have one, open a demat account with Upstox.
How to check Akums Drugs and Pharmaceuticals IPO Allotment Status?
July 30, 2024For Akums Drugs and Pharmaceuticals IPO Allotment status check you can visit this link, select the desired IPO and enter your PAN to check the allotment status.
What is Akums Drugs and Pharmaceuticals IPO GMP?
You can check out here: Akums Drugs and Pharmaceuticals IPO GMP