Company introduction

Established in Hyderabad in 1978 and now spread its operations in 60 countries serving mainly in United States, Europe. It is one of the fastest growing generic injectables-focused companies. They are presently in sterile injectables, oncology and ophthalmics, and focus on complex injectables, NCE-1s, First-to-File products and 505(b)(2) filings.

They have seven manufacturing facilities in India.They sell their products primarily under a business to business (“B2B”) model.

Industry overview

Global Pharmaceutical market grew at a CAGR of approximately 5.8% from 2014 to reach US$1,096 billion in 2019. The market is estimated to reach US$1,359 billion by 2024. North America is expected to contribute approximately 47% of the overall market by value in 2024. India and China are expected to contribute approximately 2% and 9%, respectively, of the market by value, with India expected to grow at a faster rate than china.

Promoters of the company

Fosun Singapore and Shanghai Fosun Pharma are the Promoters of the Company.

Strengths

  • Diversified B2B-led model across markets, complemented by a targeted B2C model in India
  • Extensive portfolio of complex products supported by internal R&D and regulatory capabilities.
  • Track record of growth and profitability from a diversified revenue base with healthy cash flows.

Management

Yiu Kwan Stanley Lau:    Chairman and Independent Director.

Srin ivas Sadu:                  MD and CEO.

Objects of the Issue

1. Funding incremental working capital requirements of the Company;

2. Funding capital expenditure requirements of the Company; and

3. General corporate purposes.

Financial strength 

 2020 20192018
ASSETS(Cr)4,0863,5232,929
REVENUE(Cr)2,7722,1301,671
PROFIT/LOSS(Cr)768452320
EPS(Rs)49.8829.1620.72

Key Notes

The following table sets forth their revenue from operations based on the customer location as a percentage

of the total revenue from operations for the years specified.

 201820192020
United states71.25%62.50%66.74%
India18.49%18.97%17.74%
Europe  3.39%  5.38%  4.44%
Canada  1.08%  1.12%  1.78%
Australia  0.69%  0.44%  0.50%
Rest of the world  5.10%11.59%  8.80%
IPO date Nov 9- Nov 11,(2020)
Issue size 6,480 Cr( 43,196,968 Eq    shares)
Listing price band 1490 -1500 per equity share
Face value 1 Rs
1 Lot size shares
Retail portion 35%
Minimum quote 15,000 Rs
Maximum quote 1,95,000 Rs
Listing in BSE,NSE
Offer opens onNov 9, 2020
Offer closes onNov 11, 2020
Credit of shares in demat accountNov 19,2020
Listing dateNov 20, 2020

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