Glenmark Life Sciences initiated its operations in 2011. It is the leader in the manufacturing of the API. It produces APIs for multiple fields of diagnosis. The company also functions into contract based development and manufacturing of operations. The company exports to many countries like Japan, Latin America, North America and Europe. There are a total of 4 manufacturing facilities of the company in Ankleshwar, Kurkumbh, Dahej, Mohol.
IPO DETAILS
The Glenmark Life Sciences IPO is set to launch on 27th July, 2021. The subscription timeline extends till 29th July, 2021. The size for the IPO is 1513.60 Crore Rs. Shares issued through Offer for sale are 453.60 Crore Rs. Shares worth Rs. 1060 Crore are issued through Fresh issue. The minimum lot size is shares and the price is set at 695 Rs. – 720 Rs./ share. The company is going to get listed at both the exchanges NSE and BSE. The face value per share is Rs. 2 and this is a book built issue. The registrar for the company is Karvy Fintech Private Limited.
TABULAR REPRESENTATION OF IPO DETAILS
| IPO OPENING DATE | 27th July, 2021 |
| IPO CLOSING DATE | 29th July, 2021 |
| ISSUE TYPE | Book Built Issue |
| Face Value per share | 2 Rs. per share |
| IPO price band | 695 Rs. – 720 Rs. |
| LOT SIZE | 20 shares |
| MINIMUM ORDER QUANTITY | 20 shares |
| ISSUE SIZE | 1513.60 Crore Rs. |
| OFFER FOR SALE | 453.60 Crore Rs. |
| FRESH ISSUE | 1060 Crore Rs. |
| LISTING AT | NSE, BSE |
| LISTING DATE | 6th Aug, 2021 |
IMPORTANT DATES
| IPO OPENING DATE | 27th July, 2021 |
| IPO CLOSING DATE | 29th July, 2021 |
| IPO ALLOTMENT DATE | 3rd Aug, 2021 |
| REFUNDS | 4th Aug, 2021 |
| DEMAT A/C CREDITED ON | 5th Aug, 2021 |
| IPO LISTING DATE | 6th Aug, 2021 |
The Glenmark Life Sciences IPO begins for subscription from 27th July, 2021. The IPO subscription would continue till 29th July, 2021. The allotment status for the shareholders who applied would come on 3rd Aug, 2021. The refunds for the ones who did not get allotment would be initiated on 4th Aug, 2021. The DEMAT accounts of shareholders would be credited on 5th Aug, 2021. The listing of the company would be accompanied on 6th Aug, 2021.
PROMOTER AND LEAD MANAGERS
The promoters for Glenmark Life Sciences is the company Glenmark Pharmaceuticals itself.
The lead managers for the company are :
- SBI Capital Markets Limited
- DAM Capital Advisors Ltd.
- Kotak Mahindra Capital Company Limited
- BOB Capital Markets Limited
- BoA Merrill Lynch
- Goldman Sachs Securities Private Limited
The minimum lot size for the company is decided at shares. This holding accounts to Rs.. The maximum lot size is decided at shares. This amounts to Rs. . Hence the company’s final holdings would be set as :
| Shares | Amount | |
| Minimum | 20 shares | 14400 Rs. |
| Maximum | 260 shares | 187200 Rs |
OBJECTIVES FOR THE IPO
- The money from the IPO can also be utilized to meet general corporate purposes.
- There have been quite large outstanding dues on behalf of the promoter. This would help the company to be a debt free API business dominator.
COMPANY FINANCIALS
| Particulars (in Million Rs.) | 2020-21 | 2019-20 | 2018-19 |
| ASSETS | 19970 | 17256 | 14753 |
| REVENUE | 18859 | 15493 | 8868 |
| NET PROFIT | 3515 | 3130 | 1995 |
| EPS | 32.61 | 29.04 | 24.64 |
The company has been doing great on the financial front. There has been a constant growth in the company’s assets. The company has been making a rise of almost 1500 Crore Rs every year. On the other hand the revenue is increasing in outstanding amounts. The first rise of 1500 Crore Rs in Assets gave a boost of almost 6500 Crore Rs in revenue. Similarly the next 1500 Crore Rs gave a robust increase of 4000 Crore Rs on revenues.
One plus point for the company has been the COVID situation. However the profit margins have been the most impressive fronts for the company. Glenmark has been making constant 20% profits on the revenues. Thus making the company a better prospect to invest into. One can also think of going long term on the company as it has constant support from the promoter Glenmark Pharmaceuticals.
PROS
- The company is one of the leaders in the API manufacturing business.
- It exports its products to multiple countries.
- It has a very strong financial position.
CONS
- The company exports to multiple countries however its manufacturing facilities are in India only.
IPO APPLICATION PROCESS WITH ZERODHA
It is very easy to apply for an IPO now if you have a DEMAT account with Zerodha. Follow the steps below for the same :
- Logging into Zerodha console through its website or KITE platform.
- Clicking the IPO link present in the Portfolio section
- Click the Glenmark Life Sciences IPO button and press the BID button
- Entering the details asked for like UPI ID, Quantity and price
- Submit the application form of IPO
- Visiting the application of UPI for approving the transaction
Now, applying for an IPO online is possible with most of the Discount and online brokers.
