Namita Thapar-Backed Emcure Pharma Debuts At 31 Per Cent Premium Over Issue Price

The maiden offer of the firm consisted a fresh issue of equity shares worth Rs 800 crore and an offer-for-sale (OFS) of 1.14 crore shares worth Rs 1,152 crore by existing shareholders and promoters

Emcure Pharmaceuticals Ltd debuted in the stock market on Wednesday at a premium of 31 per cent over the issue price. The shares of the pharma player started trading in the market at Rs 1,325.05 apiece, climbing 31.45 per cent against the issue price of Rs 1,008 on both BSE and NSE.

During trading, the company’s stock climbed to touch Rs 1,384 apiece on the BSE, rallying up by 37.30 per cent. Backed by Shark Tank India judge and entrepreneur, Namita Thapar, the company’s market valuation touched Rs 25,546.24 crore. 

The maiden offer of the firm consisted a fresh issue of equity shares worth Rs 800 crore and an offer-for-sale (OFS) of 1.14 crore shares worth Rs 1,152 crore by existing shareholders and promoters. The issue was open for subscription from July 3 to 5, 2024, reported Moneycontrol. As market closed on Wednesday, the company's shares settled at Rs 1,358.85 apiece on the BSE.

The issue remained very popular amongst Qualified Institutional Buyers (QIBs) who subscribed 92.94 times their allotted quota, followed by non-institutional investors who bid for 42.57 times their reserved share. The issue was priced between the range of Rs 960 and Rs 1,008 apiece.

The company’s employees also bid 7.9 times their allotment and the issue received 6.33 times bids from retail investors.

Based in India, Emcure Pharma is involved in the development, manufacturing, and marketing of pharmaceutical products across the globe. The company boasts of a portfolio including orals, biotherapeutics, and injectables, and expands to cover more than 70 countries.

Kotak Mahindra Capital Company Limited, J P Morgan India Private Limited, Axis Capital Limited, and Jefferies India Private Limited managed the issue, while Link Intime India Private Ltd served as the registrar for the listing. The firm currently operates 13 manufacturing sites across the country.