Sterile products supplier Onyx Biotec to open its IPO for subscription on November 13

Sterile products supplier Onyx Biotec will open its Rs 29-crore initial public offering for subscription on November 13, with a price band at Rs 58-61 per share. The issue will close on November 18.

The IPO consists solely of a fresh issue of 48.10 lakh shares worth Rs 29.34 crore at the upper price band. Thus, the net issue proceeds (excluding offer expenses) will be received by the company.

The Punjab-based company that manufactures sterile water for injections will spend Rs 6.08 crore out of net IPO proceeds for the upgradation of its existing manufacturing to manufacture large volume parentals for intravenous use, which will be sold under the Onyx brand name to pharma companies, distributors, stockist and hospitals.

Further, it also intends to utilise Rs 1.24 crore to set up a high-speed cartooning packaging line at existing manufacturing for dry powder injections, while it will repay the debt of Rs 12 crore through issue proceeds. The remaining IPO money will be used for general corporate purposes. Its total borrowings stood at Rs 29.09 crore as of May 2024.