Blue Jet Healthcare IPO: 10 things to know before subscribing to Rs 840.27-crore issue

Blue Jet Healthcare aims to raise Rs 840.27 crore via IPO.

Blue Jet Healthcare’s 840.27-crore initial public offer opens for subscription on October 25. The Maharashtra-based pharma firm already mopped up Rs 252.08 crore from 22 anchor investors on October 23.

Here are 10 key things to know before subscribing to the offer:

The offer will open for subscription on October 25 and close on October 27.

The price band for the issue has been fixed at Rs 329-346 a share.

Blue Jet Healthcare is looking to raise Rs 840.27 crore through the issue, which is an offer-for-sale (OFS) of over 2.4 crore equity shares by promoters. The IPO has no fresh issue portion.

The company raised Rs 252.08 crore from 22 anchor investors on October 23. Government Pension Fund Global, ICICI Prudential Mutual Fund, HDFC Mutual Fund, Nippon Life, Bandhan Mutual Fund, Aditya Birla Sun Life Insurance Company, HSBC Global, Edelweiss Trusteeship and Integrated Core Strategies (Asia) were among the global and domestic investors who participated in the anchor book.

Anchor investors are institutional investors invited to subscribe to the shares before an IPO opens for subscription to shore up investor confidence.

Since there is no fresh issue component. The proceeds will go to the selling shareholders and the company will not get any money from the offer.

Also Read: Blue Jet Healthcare raises Rs 252 crore via anchor book ahead of IPO

Investors can bid for a minimum of 43 equity shares and in multiples of 43 after that. The minimum a retail investor can put in is Rs 14,147. At the upper end, the bidding amount will increase to Rs 14,878.

Blue Jet Healthcare follows a contract development and manufacturing organisation (CDMO) business model, operating in three product categories— contrast media intermediates, high-intensity sweeteners and pharma intermediates & active pharmaceutical ingredients (APIs), the company has said.

In the financial year 2022-23, the company’s revenue grew 5.5 percent from the previous year to Rs 721 crore but the net profit was down by 11.87 percent to Rs 160 crore.

In the first quarter of FY24, profit at Rs 44.1 crore jumped by 58.4 percent from the year-ago period and revenue was up 24.2 percent at Rs 179.5 crore.

Kotak Mahindra Capital Company, ICICI Securities and JP Morgan India are the lead managers to the IPO and Link Intime India the registrar.

Also Read: IPO Week Ahead: Blue Jet Healthcare, IRM Energy in spotlight; 4 SME IPOs to open this week

Akshay Bansarilal Arora, Shiven Akshay Arora and Archana & Akshay Arora are the promoters of the company.

The stock is expected to list on the NSE and BSE on November 6, though an official announcement is awaited.