Glenmark Life's Rs 1,500 cr IPO subscribed 45x on strong HNI interest

Rolex Rings subscribed 9.3 times a day before close

The initial public offer (IPO) of Glenmark Life Sciences was subscribed 45.08 times on Thursday, the concluding day of the issue.

The institutional investor portion was subscribed 37.3 times, the wealthy investor portion was subscribed 125.6 times, and the retail portion was subscribed 15 times.

Meanwhile, the IPO of Rolex Rings was subscribed 9.3 times a day before its close. The institutional portion was subscribed 23 per cent, the wealthy investor portion by 5.8 times and the retail investor portion by 16 times.

Glenmark Life Sciences, a developer and manufacturer of active pharmaceutical ingredients (APIs), had priced its IPO between Rs 695 and Rs 720 per equity share. At the upper end, the company will have a market cap of Rs 8,822 crore.

A wholly-owned subsidiary of Glenmark Pharma, Glenmark Life's IPO comprised a fresh issue of Rs 1,060 crore and an offer for sale worth Rs 453.6 crore.  Post the IPO, Glenmark Pharma's stake will come down from 100 per cent to 82.84 per cent.

The company proposes to utilise the net proceeds from the fresh issue towards payment of outstanding purchase consideration to the promoter for the spin-off of the API business from the promoter into the company. And they are funding the capital expenditure requirements.

The company is a developer and manufacturer of select APIs in chronic therapeutic areas, including cardiovascular disease, central nervous system disease, pain management and diabetes. The company also provides contract development and manufacturing operations services to multinational and specialty pharmaceutical companies.

As of March 31, 2021, the company sold its APIs in India, Europe, North America, Latin America, and Japan. The company operates four multi-purpose manufacturing facilities situated at Ankleshwar and Dahej in Gujarat, India, and Mohol and Kurkumbh in Maharashtra.