The initial public offering (IPO) of Glenmark Life Sciences has subscribed 2.78 times on July 27, the first day of bidding.
The offer has received bids for 4.17 crore equity shares against the IPO size of 1.5 crore equity shares, the subscription data available on exchanges showed. The IPO size has been reduced to 1.5 crore equity shares after the company garnered Rs 454 crore from anchor investors on July 26, a day before the opening of the issue.
The reserved portion of retail investors has already been subscribed 5.16 times and that of non-institutional investors 85 percent. Qualified institutional buyers have put in bids for 10,540 equity shares against their reserved portion of 42.42 lakh equity shares.
The subsidiary of Glenmark Pharma plans to raise Rs 1,513.6 crore through the public issue which comprises a fresh issue of Rs 1,060 crore, and an offer for sale of 63 lakh equity shares by promoter.
The price band for the offer, which will close on July 29, has been fixed at Rs 695-720 per equity share.
"We believe the company is well poised to maintain consistent service quality as well as assure supply chain availability with its 1) leading manufacturing capabilities in key APIs, 2) strong relationship with global clients, 3) cost leadership, 4) quality-focused compliant production & R&D infrastructure and 5) experienced management team," said Prabhudas Lilladher which recommended subscribing to the IPO for long term gains.
Also read - Glenmark Life Sciences IPO opens: Issue size, price, lot size, company financials and other details
Glenmark Life is an R&D driven leading developer and manufacturer of high value, non-commoditized active pharmaceutical ingredients (APIs) in chronic therapeutic areas. It is engaged in developing and manufacturing APIs for four major therapeutic areas - cardiovascular (CVS), central nervous system (CNS), pain management (PMS) and diabetes.
Also read - Glenmark Life Sciences IPO opens today, should you subscribe?Disclaimer: The views and investment tips expressed by investment expert on Moneycontrol.com are his own and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.