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Alkem Lab raises Rs 1,350 crore from oversubscribed IPO

pharma-Pill

New Delhi: Alkem Laboratories has raised about Rs 1,350 crore at an issue price of Rs 1,050 per share from its recently concluded oversubscribed IPO.

The public issue closed on December 10 after three days of bidding in a price band of Rs 1,020-1,050. The company has now fixed the issue price at Rs 1,050, the upper end of the price band, as per the company’s prospectus.

The initial public offering of Alkem Lab elicited robust investor response, with 44.29 times over-subscription.

The quota reserved for qualified institutional buyers (QIBs) was subscribed 57.19 times, while non-institutional investors category was subscribed a staggering 129.96 times.

Retail portion received 3.17 times subscription. In its prospectus the company said, initial public offering of 1,28,53,442 equity shares for cash at a price of Rs 1,050 aggregating up to Rs 1,346.6 crore.

The offer price of Rs 1,050 has been determined by our company and selling shareholders, in consultation with the GCBRLMs on the basis of demand from investors for the equity shares through the book building process, it said.

Alkem Laboratories had raised Rs 395 crore from anchor investors.

The firm plans to expand its footprint internationally. It had a portfolio of 705 brands in the domestic market as on September 30.

PTI