Glenmark Life Sciences subscribed 2.78 times on day 1 of IPO, garners THIS much investment

On Tuesday, July 27, the initial public offering (IPO) of Glenmark Life Sciences witnessed strong investors’ interest on the first day of bids as the issue has been subscribed 2.78 times. As per the National Stock Exchange of India Limited (NSE) data, the IPO received bids for 4,17,79,260 shares against 1,50,18,279 shares on offer. The price band for the IPO of Glenmark Life Sciences has been fixed at Rs 695-720 per equity share.

The portion reserved for retail investors was subscribed 5.17 times, while the non-institutional investors' category was subscribed 86 per cent. Qualified institutional buyers have put in bids for 10,540 equity shares against their reserved portion of 42.42 lakh equity shares.

On July 26, a day before the opening of the issue, the IPO size has been reduced to 1.5 crore equity shares after the company garnered Rs 454 crore from anchor investors

The company has decided to allocate 63,06,660 equity shares to 19 anchor investors at Rs 720 a share, aggregating to Rs 454 crore, according to a regulatory filing.

On July 29, the issue will close that comprises fresh issuance of 1.47 crore equity shares (worth around Rs 1,060 crore) and an offer for sale of up to 63 lakh shares by its parent company Glenmark Pharmaceuticals. 

About Glenmark Life Sciences

Glenmark Life Sciences is a subsidiary of Glenmark Pharmaceuticals, which develops and manufactures high-value, non-commoditized active pharmaceutical ingredients (APIs) in chronic therapeutic areas, including cardiovascular disease (CVS), central nervous system disease (CNS), pain management, and diabetes.

The lead managers to the issue are Goldman Sachs (India) Securities Private Limited, SBI Capital Markets, Kotak Mahindra Capital Company, BofA Securities India Ltd, DAM Capital Advisors Ltd, and BoB Capital Markets. The equity shares of the company will be listed on BSE and NSE.

The shares of the company were available at a premium of Rs 110 in the grey market. On August 6, the issue is expected to be listed on the stock exchanges. Several investors have given the Glenmark IPO a subscribe rating. BofA Securities India, Kotak Mahindra Capital Company, and Goldman Sachs (India) Securities are the book managers for the Glenmark IPO.

(Image credit: UNSPLASH/PTI)