Glenmark Life Sciences
IPO Size
`1513.60 Cr
Price Band
`695-720 Per Share
Minimum Lot Size
20 Share
Face Value
`2 Per Share
Employee Discount
NA
Retail Allocation
35%
Issue Open Date
27 July, 21
Issue Close Date
29 July, 21
Listing Date
IPO Size
Price Band
Minimum Lot Size
Face Value
Employee Discount
Retail Allocation
Issue Open Date
Issue Close Date
Listing Date
About the Company:
Glenmark Life Sciences is a wholly-owned subsidiary of Glenmark Pharmaceuticals Ltd. after it acquired 100% equity interest on July 10, 2018. On January 1, 2019, the API business of Glenmark comprising of manufacturing facilities, movable assets, intellectual property, employees and all the liabilities attributable to the API business was spun off into our Company (the “Spin-off”).
The API firm of Glenmark is a leading developer and manufacturer of select high value, non-commoditized active pharmaceutical ingredients (“APIs”) in chronic therapeutic areas, including cardiovascular disease, central nervous system disease, pain management and diabetes. The company also manufactures and sells APIs for gastro-intestinal disorders, anti-infectives and other therapeutic areas. The API portfolio comprises specialized and profitable products, including niche and technically complex molecules. The firm has strong market share in select specialized APIs such as Telmisartan (anti-hypertensive), Atovaquone (anti-parasitic), Perindopril (antihypertensive), Teneligliptin (diabetes), Zonisamide (CNS) and Adapalene (dermatology). The company is increasingly providing contract development and manufacturing operations services to a range of multinational and specialty pharmaceutical companies.
Outstanding Litigation:
| S.No. | 1 - Company | 2 - Promoters | 3 - Directors | |||
| Entity Name | By the Company | Against the Company | By the Promoters | Against the Promoters | By the Directors | Against the Directors |
| Criminal cases | 1 | - | 2 | 6 | - | - |
| Material civil cases | - | 5 | - | - | - | - |
| Taxation matters | - | 8 | - | 34 | - | - |
| Regulatory Procedings | - | - | - | 13 | - | 1 |
| Amt. (In Million Rs.) | Not Quantifiable | 47.93 | 4.29 | 2888.7 | - | 0.89 |
Financial Statements:
| Income Statement (In Millions) | FY21 | FY20 | FY19 | |
| Gross Operating Income | 18859.76 | 15493.03 | 8868.65 | |
| Cost of Employee & Inventory | 10546.28 | 8327.38 | 4585.78 | |
| Other Expenses | 2394.63 | 2326.15 | 1801.23 | |
| EBITDA | 5918.85 | 4839.5 | 2481.64 | |
| Depreciation | 333.94 | 293.68 | 192.62 | |
| Interest | 875.47 | 335.15 | 6.05 | |
| Profit Before Tax | 4709.44 | 4210.67 | 2282.97 | |
| Tax | 1193.63 | 1079.69 | 327.05 | |
| Profit After Tax | 3515.81 | 3130.98 | 1955.92 | |
The promoter of the company is Glenmark Pharmaceuticals Limited.
The company will face tough competition from Divis Laboratories, Lauras Labs, Shilpa Medicare, Aarti Drugs and Solara Active Pharma Sciences.
object of the Offer for Sale is to allow the shareholders to sell an aggregate of up to 63,00,000 equity Shares held by them amounting at Rs. 453.60 cr. The company will not receive any proceeds from the Offer for Sale.
The company has planned to raise fresh capital comprising an aggregate of 1,47,22,222 equity shares having Face Value ₹2 aggregating up to Rs. 1,060 Cr at the upper price band of Rs. 720. Out of the net proceeds : An amount of Rs. 800 cr. will be allocated for payment of outstanding purchase consideration to the promoter for the spin-off of the API business from the promoter into the Company pursuant to the Business Purchase Agreement dated October 9, 2018. An amount of Rs. 152.76 cr. will be utilized for funding capital expenditure requirements . Rest will be utilized for general corporate purpose.