Mankind Pharma fixes IPO price band at ₹1,026-1,080 

Delhi-based Mankind Pharma’s price range for its IPO is fixed between ₹1,026 and ₹1,080 per share. The IPO is scheduled to open on April 25th and close on April 27th.

The IPO is an offering for the entire sale by the promoters and existing shareholders of the company, who will offload about 4 crore shares with a face value of $1 each.

Giving details of the shares to be offloaded by the promoters, the company said that it included the sale of up to 37.05 thousand shares by Ramesh Juneja. 35.05 lakh shares by Rajeev Juneja; and 28.04 lakh shares for Sheetal Arora.

The Offer also includes the sale of Shareholders from the investors: Rs. 1.74 crore share by Cairnhill CIPEF Limited; 26.23 lakh shares of Cairnhill CGPE Limited; 99.64 lakh shares of Beige Limited; and 50,000 shares by Link Investment Trust.

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The size of the IPO is at Rs 4,300 crore in the higher price range, according to reports, which would make it among the largest pharmaceutical IPOs in recent times (after more than Rs 6,000 crore. IPO from Gland Pharma in November 2020). Since the IPO is entirely OFS, the company will receive no net proceeds from the issuance and the entire amount raised will go to the selling shareholders.

With revenues close to Rs 8,000 crore, Mankind Pharma has a presence in the pharmaceutical and consumer healthcare sectors.

The bid is to be submitted through a book-building process in which no more than 50 per cent will be available for allocation on a pro-rata basis to QIB (eligible institutional bidders), provided that the Company and the selling shareholders, in consultation with the BRLMs (writers of existing lead managers), They may allocate up to 60 percent of the bank’s stake to anchor investors, according to a note issued by the company.

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The bidding date for the main investor is on April 24th. To advertise the price range, bids may be submitted for a minimum number of 13 shares and multiples of 13 shares thereafter.

Moreover, he said that at least 15 percent of the supply will be available for allocation to National Insurance Institutions (non-institutional category). A minimum of 35 percent of the supply will be available for allocation to RIIs (retail category).

Kotak Mahindra Capital Company, Axis Capital, IIFL Securities, Jefferies India Private and JP Morgan India are the lead managers for the offering.