IPO

Akums Drugs and Pharmaceuticals Limited IPO

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Pharmaceuticals

Listed On: Aug 6, 2024 at ₹ 725.0(NSE)

₹ 14938 /22 Shares

Check Allotment

30 Jul, 2024

Open Date

01 Aug, 2024

Close Date

02 Aug, 2024

Allotment Date

06 Aug, 2024

Listing Date
Price Summary

Last Closing

462.95 (-31.82%)

52 Week High

939.95

52 Week Low

405.00

Last Update

17-Oct-2025 3:30 PM
Akums Drugs and Pharmaceuticals IPO Issue Details
  • Issue Price ₹646-679 per equity share
  • Face Value ₹2 Per Equity Share
  • Total Issue Size 2,73,45,162 shares(aggregating up to ₹1856.74 crore)
  • Fresh Share 1,00,14,727 shares(aggregating up to ₹680 crore)
  • Offer For Sale 1,73,30,435 shares(aggregating up to ₹1176.74 crore)
  • Listing at BSE, NSE
  • List Price 725.0(NSE)
  • Listing Date 2024-08-06
  • Lead Manager ICICI Securities Limited
    Axis Bank Limited
    Citigroup Global Markets India Private Limited
    Ambit Private Limited
  • Registrar Link Intime India Private Ltd
Market Lot Size

Investors can bid for a minimum of 22 shares and in multiples thereof. The following table depicts the minimum and maximum investment by Retail Investors and HNI in terms of shares and amount.

ApplicationLotsSharesAmount
Retail (min)122₹14,938
Retail(max)13286₹1,94,194
Akums Drugs and Pharmaceuticals IPO Reservation

Akums Drugs and Pharmaceuticals IPO offers total 27,368,151 shares. Out of which 8,137,276 (29.73%) allocated to QIB, 4,068,637 (14.87%) allocated to NII,2,712,424 (9.91%) allocated to RII, 243,902 (0.89%) allocated to employees and 12,205,912 (44.6%) allocated to Anchor investors.

Investor CategoryShares OfferedMaximum Allottees
Anchor Investor Shares Offered12,205,912 (44.6%)
QIB Shares Offered8,137,276 (29.73%)
NII (HNI) Shares Offered4,068,637 (14.87%)
bNII < ₹10L2,712,425 (9.91%)
sNII < ₹10L1,356,212 (4.96%)
Retail Shares Offered2,712,424 (9.91%)
Employee Shares Offered243,902 (0.89%)
Total Shares Offered27,368,151 (100%)
Akums Drugs and Pharmaceuticals IPO Documents
DRHP
RHP
ANCHOR
Akums Drugs and Pharmaceuticals IPO Details


Akums Drugs and Pharmaceuticals IPO is a book-built issue of ₹1856.74 crores, The total issue size is ₹1856.74 crores. The IPO of Akums Drugs and Pharmaceuticals is priced at ₹646-679 per equity share, which has a face value of ₹2 Per Equity Share each, IPO bidding starts from Jul 30, 2024 and ends on Aug 1, 2024. The allotment for Akums Drugs and Pharmaceuticals IPO will be finalized on Aug 2, 2024. Akums Drugs and Pharmaceuticals IPO will be listed on BSE, NSE, with a tentative listing date fixed as Aug 6, 2024. The company shall list its equity shares on the BSE, NSE. Link Intime India Private Ltd is the registrar of the issue.

Retail investors can bid for a minimum of 22 shares, extendable to 14,938. The book-running lead manager for the IPO is/are ICICI Securities Limited, Axis Bank Limited, Citigroup Global Markets India Private Limited, Ambit Private Limited.

The total issue ₹1856.74 crore, comprising a fresh issue of 1,00,14,727 shares ₹680 crore and having Offer for Sale (OFS) of 1,73,30,435 shares to mop up ₹1176.74 crore.

The Akums Drugs and Pharmaceuticals IPO sets its price band at 646-679 for each share. A single application for Akums Drugs and Pharmaceuticals Limited IPO must contain at least 22 shares. Sentiment investors need to invest a minimum of 22 through their retail account. For investors to prevent oversubscription issues, they should submit bids at the cutoff price, which estimates about ₹14,938

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Akums Drugs and Pharmaceuticals IPO Subscription Analysis And Details
Retail
20.80x
QIB
90.09x
NII
42.10x
bNII
47.43x
sNII
31.45x
Total
63.44x
As onQIBNII
bNII   sNII		RetailTotal
Shares Offered / Reserved8,137,2764,068,637
2,712,425    1,356,212		2,712,42415,162,239
Day 1 30-07-24 05:00 PM
0.43 x1.96
2.04 x   1.80 x		3.35 x1.37 x
Day 2 31-07-24 05:00 PM
0.96 x8.48
8.87 x   7.70 x		8.98 x4.43 x
Day 3 01-08-24 05:00 PM
90.09 x42.10
47.43 x   31.45 x		20.80 x63.44 x
Total No of Applications
23,44,029
Subscription on the basis of Applications
Retail:17.07x BHNI:9.64x SHNI:30.73x
Akums Drugs and Pharmaceuticals Valuations
EPS Pre IPO ₹/-
EPS Post IPO ₹/-
ROE 0.11%
ROCE 3.37%
Debt/Equity 0.69
RoNW -0.57
PAT Margin 0.02
Price to Book Value 13.69
Akums Drugs and Pharmaceuticals Company Financials
In Crs.
In Cr.
31-Mar-2431-Mar-2331-Mar-22
Assets3,516.373,266.533,069.05
Revenue4,212.213,700.933,694.52
Profit After Tax0.7997.82-250.87
Net Worth709.50717.19621.98
Reserves & Surplus861.01868.70787.79
Total Borrowing491.56536.97357.95
About Akums Drugs and Pharmaceuticals Company

Akums Drugs and Pharmaceuticals Limited is a pharmaceutical contract development and manufacturing organization (CDMO) offering a comprehensive range of pharmaceutical products and services in India and overseas.

The company primarily provides end-to-end solutions for product development and manufacturing as well as research and development (R&D) of formulations, preparation and submission of regulatory dossiers in the Indian and global markets and other testing services. The company is also engaged in the manufacture and sale of branded drugs and active pharmaceutical ingredients (APIs).

As a CDMO, the company manufactures a wide range of dosage forms including tablets, capsules, liquid medicines, vials, ampoules, blow-filled closures, topical preparations, eye drops, dry powder injections and gummy bears, to name a few.

The company has produced a total of 4,025 commercialized formulations in over 60 dosage forms. In the financial year 2023, the company manufactured formulations for 26 of the top 30 pharmaceutical companies in India in terms of revenue. For its CDMO business, the company operates 10 manufacturing units with a cumulative production capacity of 49.21 billion units annually (as of September 30, 2023).

The company plans to expand its production capacity with two additional production units for its CDMO business to be commissioned in FY 2025. Some of its production facilities have been accredited by various global regulatory bodies such as the European Good Manufacturing Practice (EU-GMP), the World Health Organization Good Manufacturing Practice (WHO-GMP) and the United States National Sanitation Foundation (US NSF).

As of September 30, 2023, Akums Drugs and Pharmaceuticals had a total of 16,463 employees, including 7,211 full-time employees and 9,252 contract employees.

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Akums Drugs and Pharmaceuticals - Promoter(s)

Sanjeev Jain

Sandeep Jain

Akums Master Trust

Pre Issue Share Holding : 84.94%

Post Issue Share Holding : N/A%

Akums Drugs and Pharmaceuticals IPO - Issue Objectives
1

Repayment/ prepayment of indebtedness of the company and its Subsidiaries

2

Funding incremental working capital requirements of the company

3

Pursuing inorganic growth initiatives through acquisitions

4

General corporate purposes.

Akums Drugs and Pharmaceuticals IPO - Anchor Investors

Akums Drugs and Pharmaceuticals Limited is a pharmaceutical contract development and manufacturing organization (CDMO) that offers a wide range of pharmaceutical products and services in India and abroad. It was established in 2004.The company primarily operates in end-to-end solutions involving product development and manufacturing, alongside research and development (R&D) of formulation, preparation and submission of regulatory dossiers, in the Indian and global market, as well as other testing services. Furthermore, the group is involved in producing and selling branded drugs and API.

As a CDMO, the company manufactures a wide range of dosage forms, including tablets, capsules, liquid medicines, vials, ampoules, blow-filled closures, topical preparations, eye drops, dry powder injections, and gummy bears, to name a few.The company has manufactured more than 60 dosage forms of total 4,025 commercialized formulations. That year, the company formulated for 26 of the top 30 pharmaceutical companies in India in terms of revenue in the FY 2023. For its business of CDMO, the company operates 10 units with cumulative annual production capacity of 49.21 billion units as of 30 September 2023.The company will expand its production capacity with two additional production units for its CDMO business to be commissioned in FY 2025. Some of its production facilities have been accredited by various global regulatory bodies such as the European Good Manufacturing Practice (EU-GMP), the World Health Organization Good Manufacturing Practice (WHO-GMP) and the United States National Sanitation Foundation (US NSF).

As of September 30, 2023, Akums Drugs and Pharmaceuticals had an aggregate number of 16,463 employees, with 7,211 regular employees, contract employees 9,252, respectively.

Akums Drugs and Pharmaceuticals IPO - Peers Comparison
Company NameEPS (Basic)EPS (Diluted)NAV (per share) (Rs)P/E (x)RoNW (%)P/BV RatioFinancial statements
Akums Drugs and Pharmaceuticals Limited-0.28-0.2849.59N/A-0.5713.69Consolidated
Divi's Laboratories60.2760.27511.2174.9911.797.24Consolidated
Suven Pharmaceuticals Limited11.811.880.5669.5414.6410.19Consolidated
Gland Pharma Limited46.946.89483.4142.458.854.12Consolidated
Torrent Pharmaceuticals Ltd.48.9448.94202.5760.224.1514.54Consolidated
Alkem Laboratories Ltd150.19150.19862.4634.1817.415.95Consolidated
Eris Lifesciences Ltd28.8228.79190.1234.9515.165.29Consolidated
JB Chemicals35.6634.85188.3751.3818.99.51Consolidated
Mankind Pharma Limited47.7547.68233.7344.6520.438.8Consolidated
Innova Captab Limited18.6618.66145.229.9111.353.84Consolidated

Notes:

  1. The P/E Ratio has been computed based on the closing price of equity shares on July 19, 2024, divided by the Diluted EPS.
  2. Return on Net Worth (%) = Net profit after tax, as restated / Average shareholders' equity (including minority interest) as restated at year/period end.
  3. NAV is computed as the closing net worth (excluding minority interest) divided by the closing outstanding number of equity shares.
  4. Net worth means the aggregate value of the paid-up share capital of the Company and all reserves created out of profits and securities premium account and debit or credit balance of profit and loss account, after deducting the aggregate value of the accumulated losses, miscellaneous expenditure not written off, as per the restated balance sheet, but does not include reserves created out of revaluation of assets, write-back of depreciation as at year/ period end, as per Restated Financial Statement of Assets and Liabilities of the Company.
Strength
They are the largest India-focused CDMO in terms of revenue, production capacity, and clients served during the Financial Year 2023. The pharmaceutical industry is characterised by significant barriers to entry, notably the high capital expenditure required to establish and maintain sizeable and diverse manufacturing units. Thus, big companies like Akums have an advantage.
Their R&D capabilities extend across a diverse range of dosage types, encompassing oral solids, oral liquids, injectables, sterile products, and topicals. Furthermore, their R&D efforts span various product categories, including pharmaceuticals, cosmeceuticals, nutraceuticals and ayurvedic products, among others.
Weakness
Their manufacturing units and research and development centres are concentrated in Haridwar, Uttarakhand and are thus exposed to risks originating from economic, regulatory, political and other changes in this region.
Any manufacturing or quality control concerns or their inability to deliver products on a timely basis, or at all, could result in the cancellation of purchase orders, breaches of relevant agreements, and termination of agreements by their clients and distributors.
Contact Details

Akums Drugs and Pharmaceuticals

304, Mohan Place, LSC Saraswati Vihar, Delhi - 110 034

+91 11 6904 1000

cs@akums.net

http://www.akums.in/

Registrar Contact Details

Link Intime India Private Ltd

+91-22-4918 6270

akumsdrugs.ipo@linkintime.co.in

https://linkintime.co.in/initial_offer/public-issues.html