Blue Jet Healthcare IPO Day 1: Issue subscribed 0.69 times, retail portion bought 0.78 times

Ahead of the IPO, Blue Jet Healthcare raised Rs 252.08 crore from 22 anchor investors

Blue Jet Healthcare’s Rs 840.27 crore IPO, which opened for subscription on October 25, has been subscribed 0.69 times on Day 1, receiving bids for 1.16 crore shares against the issue size of 1.7 crore shares. Retail investors bought 0.78 times while high networth individuals picked 1.37 times the allotted quota.

The public issue is entirely an offer-for-sale (OFS) of over 2.4 crore equity shares by promoters, and there is no fresh issue component. The price band for the issue, which will conclude on October 27, has been fixed at Rs 329-346 per share. The stock is expected to be listed on the bourses on November 6.

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

Ahead of the IPO, the company raised Rs 252.08 crore from 22 anchor investors on October 23. Global and domestic investors participated in the anchor book included 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, Troo Capital, Societe Generale, M3 Investment, BNP Paribas Arbitrage, Singularity Growth Opportunities Fund, and Integrated Core Strategies (Asia).

Akshay Bansarilal Arora, Shiven Akshay Arora and Archana & Akshay Arora are the promoters of the company. The book-running lead managers to the issue are Kotak Mahindra Capital Company, ICICI Securities, and JP Morgan India while Link Intime India is the registrar.

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.

Also Read: Blue Jet Healthcare IPO opens today: Should you subscribe to the Rs 840.27 crore issue?

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).