Jobaaj Stories
Mumbai-based Concord Biotech, with the backing of renowned investor Rakesh Jhunjhunwala, is gearing up to debut in the capital markets with its much-anticipated Initial Public Offering (IPO). The IPO comprises a pure offer-for-sale of up to 20.93 million shares by Helix Investment Holdings Pte Ltd, offering shares in the price band of Rs 705-741 per share. The company aims to raise Rs 1,550 crore through this offering, valuing the firm at an impressive Rs 7,752 crore.
Investors and analysts are closely watching the bidding process, set to open on August 4 and close on August 8, with the anchor book scheduled to open on August 3. The basis of allotment of IPO shares is expected to be finalized by August 11, with successful investors anticipating the credit of equity shares to their demat accounts by August 17. Concord Biotech's listing on stock exchanges is slated for August 18.
The pharma sector is buzzing with excitement over Concord Biotech's IPO, given its strong market position and the backing of Rakesh Jhunjhunwala. The company commands an impressive market share of over 20 percent by volume in 2022 for identified fermentation-based Active Pharmaceutical Ingredients (API) products. Concord Biotech's expertise lies in manufacturing select fermentation-based APIs in immunosuppressants and oncology, serving over 70 countries, including regulated markets. With a diverse portfolio of 23 API products as of March 2023, the company stands as a leading player in the biopharma industry.
On the financial front, Concord Biotech has consistently displayed robust performance. For the fiscal year ending in March FY23, the company reported a substantial 37.2 percent growth in profits, amounting to Rs 240 crore. Its revenue also witnessed a commendable growth of 20 percent, reaching Rs 853.2 crore compared to the previous year. The company's EBITDA (earnings before interest, tax, depreciation, and amortization) surged by 27.3 percent, totaling Rs 343.3 crore, with an impressive margin expansion of 240 basis points, reaching 40.2 percent during the same period.
Concord Biotech's IPO has garnered significant interest from both institutional and retail investors. The company's growth potential in the biopharma sector, coupled with its strong financial performance, has positioned it as an enticing investment opportunity.
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