Disclaimer: The information provided by Keeps2know regarding the stock market is intended for informational purposes only and should not be construed as investment advice. Readers are advised to consult with a qualified financial advisor before making any investment decisions. Keeps2know does not accept any liability for any loss or damage arising out of the use of all or any part of this content.
Innova Captab is a pharmaceutical company that operates in three distinct business segments. The company offers contract development and manufacturing services to domestic pharmaceutical companies.
The initial public offering (IPO) of Innova Captab has continued to attract significant interest from investors during the third day of the bidding process. The subscription for the offering was 1.41 times on the first day and rose to 3.65 times by the end of the second day.
Innova Captab aims to raise a total of Rs 570 crore through its initial stake sale, with an IPO price band set at Rs 426-448 per share. Investors have the option to bid for a minimum lot size of 33 equity shares and multiples thereof. Of the total amount being raised, Rs 570 crore will be collected via a fresh issue, while the promoters and other shareholders are selling 55,80,357 equity shares through Offer for Sale (OFS).
As of 1:15 pm, investors had made bids for 10,41,26,352 equity shares, representing 11.47 times the available 90,78,010 equity shares on Day 3. The three-day bidding process, which commenced on Thursday, December 21, is set to conclude today. The portion reserved for non-institutional investors (NIIs) was oversubscribed 24.43 times, while the retail portion was oversubscribed 11.43 times. The portion allocated for qualified institutional bidders (QIBs) was oversubscribed 1.48 times.
Established in January 2005, Innova Captab operates in three business segments, providing contract development and manufacturing services to Indian pharmaceutical companies. It also maintains a domestic business dealing in branded generics, as well as an international business specializing in branded generics. The company’s product portfolio includes tablets, capsules, dry syrups, dry powder injections, ointments, and liquid medicines.
In the financial year 2023 and the three months ending June 30, 2023, the company produced and sold over 600 different types of generics, exporting its branded generic products to 20 and 16 countries during the respective periods. Innova Captab’s grey market premium has significantly decreased to around Rs 90 per share, indicating a potential upside of 20 percent, compared to the previous premium of about Rs 210-215 before the bidding process.
Innova Captab, the company going public, has appointed ICICI Securities and JM Financial as the lead managers responsible for overseeing the initial public offering (IPO). Kfin Technologies has been designated as the registrar for the issue. Prior to the IPO, Innova Captab raised Rs 171 crore from anchor investors by issuing 38,16,963 equity shares at a price of Rs 448 per share.
The initial public offering (IPO) of Innova Captial Limited, a housing finance company, has witnessed robust demand from investors on the third day of subscription. As of the latest update, the issue has been subscribed 11.5 times, indicating strong investor interest.
The three-day subscription period for Innova Captab’s IPO commenced on November 18, 2021, and will conclude on November 20, 2021. The price band for the IPO has been fixed at Rs. 235-240 per equity share.
It is worth mentioning that the greenshoe option, also known as the GMP (Grey Market Premium), for Innova Captab’s IPO has fallen further. The GMP is the premium or discount at which securities trade in the unofficial market before their official listing on a stock exchange. Initially, the GMP was at Rs. 65-70 per share, but it has now declined to around Rs. 45-50 per share as of November 23, 2021.
The decline in GMP indicates that demand for Innova Captab’s shares in the grey market has decreased, which could be due to various factors such as profit booking by investors or reduced sentiment towards the company’s IPO. However, it is essential to note that the GMP is not an official indicator of an IPO’s success and should not be considered as a reliable predictor of future stock prices.
Investors are advised to consult with a qualified financial advisor before making any investment decisions based on this information. Keeps2know does not accept any liability for any loss or damage arising from the use of this information.
+ There are no comments
Add yours