Largest India-Focused CDMO Company Akums Goes Public: Price Band Set at ₹ 646-679 Delhi-based pharma company Akums Drugs and Pharmaceuticals Limited announced its transition into a public company at a press meet held today.
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Delhi-based pharma company Akums Drugs and Pharmaceuticals Limited announced its transition into a public company at a press meet held today.
The company said it shall open the bid concerning its Initial Public Offer (IPO) of Equity Shares on 30 July 2024.
The Offer comprises a fresh issue of such number of Equity Shares face value INR 2 each by the company aggregating up to INR 6,800 Million in 'Fresh Issue' and offer for sale (OFS) of up to 17,330,435 Equity Shares by existing shareholders of the company.
Akums boasts a market-leader status, with a 30 per cent market share in the Indian Contract Development And Manufacturing Organization (CDMO) market, and has more than 900 DCGI and FSSAI approvals in its inventory.
The Offered Shares comprise up to 1,512,000 Equity Shares by the Co-Founder and Joint Managing Director Sanjeev Jain, up to 1,512,000 Equity Shares by Sandeep Jain, the other Co-Founder and Joint Managing Director of the company and up to 14,306,435 Equity Shares by Ruby QC Investment Holdings Pte. Ltd. Ruby QC is backed by Quadria Capital, a healthcare-focused private equity fund operating in Asia.
According to the company, the Offer includes a reservation of up to such number of Equity Shares aggregating up to INR 15.00 Crore) for subscription by eligible employees.
The Price Band of the Offer has been fixed at INR 646-679 per Equity Share and bids can be made for a minimum of 22 Equity Shares and in multiples of 22 Equity Shares after that.
Akums revealed that it intends to utilize the net proceeds from the IPO for rep Fresh Issue of Equity Shares by the Company for repayment and prepayment of debts incurred, repayment/ prepayment of indebtedness of its subsidiaries namely, Maxcure Nutravedics Limited and Pure and Cure Healthcare Private Limited and finally, funding incremental working capital requirements of the company while pursuing inorganic growth initiatives through acquisitions.
These equity shares are being offered through the Red Herring Prospectus (RHP) of the Company dated July 24, 2024, filed with the Registrar of Companies, Delhi and Haryana at New Delhi.
ICICI Securities Limited, Axis Capital Limited, Citigroup Global Markets India Private Limited, and Ambit Private Limited are the book-running lead managers to the Offer (BRLMs).
