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Joining the IPO rush, drug maker Alkem Laboratories plans to raise an estimated Rs 1,500-3,500 crore through an initial public offering in one of the biggest offerings in the pharma space in a long time.
The move follows the blockbuster IPO of Syngene International, biotechnology major Biocon's research arm.
With this public offer, the company is expected to be valued at around Rs 15,000 crore.
"Alkem will soon file its draft paper with capital market regulator Securities and Exchange Board of India (Sebi) to float an IPO," sources said.
The company, which has a significant presence in the country, plans to expand its footprint internationally.
Mumbai-headquartered Alkem, which was founded in 1973, began operations as a healthcare marketing company.
Since then, it has grown to become the country's seventh largest pharmaceutical company with sales revenues exceeding USD 500 million with a CAGR of 16 per cent over the last five years.
In the pharma space, Pune-based Emcure Pharmaceuticals pulled out its proposed IPO application in June last year. It was planning to garner around Rs 500 crore.
After a quiet 2014, IPO market is buzzing again as 24 companies have filed draft papers with Sebi, while some others, including GVK Airport, are in the process to file their initial papers.
While nine IPOs have already hit the market this year, many others are currently in the pipeline, including operators of popular brands like IndiGo, Cafe Coffee Day and Matrix.
These nine firms have raised nearly Rs 4,550 crore via IPOs.
In comparison, a total of six IPOs had hit the market in the entire 2014 and together garnered just Rs 1,528 crore.
Recently, the Rs 550 crore IPO of Syngene International was over-subscribed 32.03 times.
The flurry of activities also comes at a time when Sebi has announced a slew of fresh reforms in the IPO space, including halving the listing period to six days.
