Mumbai-based pharmaceutical products trader Saroja Pharma Industries India will launch its public issue on August 31.
The issue price has been fixed at Rs 84 per share. The offer will be closing on September 5.
The company intends to raise Rs 9.11 crore from 10,84,800 equity shares, comprising only fresh issue. Out of this, 54,400 equity shares, worth Rs 45.69 lakh, will be reserved for the market maker.
The total issue will constitute 26.98 percent to the post-issue paid-up equity. The company has reserved 50 percent, or 5,15,200 shares, of the net issue of 10,30,400 shares for retail investors and the remaining 50 percent for high net-worth individuals whose application value is above Rs 2 lakh.
Investors can bid for a minimum 1,600 equity shares and in multiples of 1,600 shares thereafter. With this, retail investors can invest only for a single lot worth Rs 1,34,400 as their application size for IPO is restricted up to Rs 2 lakh.
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Saroja Pharma, which intends to enter into API manufacturing, will utilise issue proceeds for setting up API (active pharmaceutical ingredient) manufacturing unit (Rs 7.05 crore) and repaying debts of Rs 1,75 crore. The remaining Rs 31.35 lakh will be used for issue expenses.
The company is majorly engaged in the pharmaceutical business involving marketing, trading and third party distribution of wide range of pharmaceutical finished formulations and products, manufactured under contract manufacturing. It has presence in countries like Pakistan, the UK, Jordan, Singapore, Belarus, Uruguay, Australia, Germany, Egypt, Netherland, Ireland and Kenya.
The pharma products trader plans to manufacture anthelmintics human tropical and veterinary medicine cost-effective. Hence, it is setting up a manufacturing unit at a cost of Rs 23 crore in Nashik, Maharashtra.
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The listing of shares will take place on emerge platform of NSE, on September 13, as per IPO schedule.
Swastika Investmart is the merchant banker to the issue, while Kfin Technologies is the registrar to the offer.
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