Akums Drugs and Pharmaceuticals mobilises Rs 829 crore via anchor book, IPO opens on July 30

Akums Drugs and Pharmaceuticals IPO

New Delhi-based pharma company Akums Drugs and Pharmaceuticals has raised Rs 828.8 crore from several anchor investors ahead of the public issue opening tomorrow.

Marquee global investors Blackrock, Smallcap World Fund, Abu Dhabi Investment Authority, HSBC Global, Florida Retirement System, Carmignac Portfolio, and Neuberger Berman Emerging Markets Equity Fund bought 33.5 lakh equity shares worth Rs 227.5 crore.

Akums Drugs informed exchanges that it has finalised allocation of 1,22,05,912 equity shares to anchor investors at the upper price band of Rs 679 per equity share.

SBI Mutual Fund, International Growth Fund and Income Fund, Aditya Birla Sun Life Trustee, Franklin India, Templeton India, DSP India Fund, IIFL Asset Management, Tata Mutual Fund, Motilal Oswal Mutual Fund, Bandhan Mutual Fund, Edelweiss Trusteeship, PGIM India, and JM Financial Mutual Fund also participated in the anchor book.

"Nine domestic mutual funds have applied through a total of 24 schemes," Akums Drugs said in its filing to exchanges on July 29.

Insurance companies like SBI Life Insurance, ICICI Prudential Life Insurance, HDFC Life Insurance, Max Life Insurance, Aditya Birla Sun Life Insurance, Reliance Nippon Life Insurance, and Canara HSBC Life Insurance also invested in the pharma company.

Akums Drugs will open its Rs 1,856.74-crore initial public offering for subscription on July 30, with a price band at Rs 646-679 per share. The offer will close on August 1.

The Akums Drugs IPO is a mix of fresh issuance of equity shares worth Rs 680 crore and an offer-for-sale of 1.73 crore shares worth Rs 1,176.74 crore by the existing shareholders.

The company has reserved up to 75 percent of the net issue size for qualified institutional buyers, 15 percent for non-institutional investors, and the remaining 10 percent for retail investors.

Akums Drugs will utilise the net fresh issue proceeds for repaying debts, incremental working capital requirements, inorganic growth initiatives, and general corporate purposes.