Blue Jet Healthcare IPO fully subscribed on Day 2. Check GMP and other details

The initial public offer (IPO) of Blue Jet Healthcare was fully subscribed on the second day of the bidding process, led by NII and retail categories. The overall subscription stood at 1.32 times.

The NII portion was subscribed the most at 2.84 times, followed by retail investors at 1.37 times. The QIB part was booked just 9% so far. The issue closes tomorrow.


According to market analysts, the company's shares are trading with a premium of Rs 34 in the unlisted market.

Most analysts have a subscription recommendation on the IPO, which is entirely an offer for the sale of 2.42 crore shares. Under the OFS, promoters Akshay Bansarilal Arora and Shiven Akshay Arora will offload the shares.

Blue Jet Healthcare has established a contract development and manufacturing organization (CDMO) business model with specialized chemistry capabilities in contrast to media intermediates and high-intensity sweeteners.

"The CDMO model allows the company to benefit from the accessibility to innovations of new molecules and helps lessen research costs and concentrate on efficient product development on a large scale," analysts said.

The IPO was priced in the range of Rs 329-346 per equity share and at the upper end, the company plans to raise about Rs 840 crore. Investors can bid for a minimum of 43 equity shares and in multiples thereafter.

About 50% of the offer is reserved for qualified institutional buyers, 35% for retail investors and 15% for non-institutional investors.

For the three months ended June, the company's total income rose 24% year-on-year to Rs 185 crore, while net profit was up 59% to Rs 44.1 crore.

Kotak Investment Banking, ICICI Securities and JP Morgan are the book-running lead managers to the issue, while Link Intime India is the registrar.

The company is likely to finalise its IPO allotment by November 1 and the tentative listing date is set as November 6. The equity shares are proposed to be listed on NSE and BSE.

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