Intas Pharma IPO likely, plans to raise Rs 1000-1200 cr

Intas Pharma has decided to revive its Initial Public Offer (IPO) plan. The company had earlier planned to go public in 2012 but poor market conditions had forced it to shelve its plans.

It is likely that Intas will file its Draft Red Herring Prospectus (DRHP) with Securities and Exchange Board of India (Sebi) in the next two weeks. It seeks to raise around Rs 1000-1200 crore through this IPO and plans to utilise proceeds from this IPO for capex and debt reduction, reports CNBC-TV18’s Aastha Maheshwari. Intas Pharma is an Ahmedabad based drug manufacturing company. The company is also into formulation, development and marketing. It gets around 40 percent of its sales from overseas and its gross revenues cross around Rs 3000 crore. Meanwhile bankers value this company to be more than Rs 5000 crore. Also read: Infosys to challenge new tax demand of Rs 577cr The promoters currently hold around 85 percent and Chrys Capital holds a stake of 15 percent in Intas. Chrys Capital is a private equity (PE) firm, which had invested Rs 300 crore last year before Intas had planned to hit the markets. It is understood that Chrys Capital is planning to reduce its stake significantly in Intas Pharma, from the current 15 percent to around 5 percent through this IPO process.