Mankind Pharma sets IPO price band at Rs 1,026-1,080

NEW DELHI: Mankind Pharma has fixed the price band for its upcoming initial public offer (IPO) at Rs 1,026 - Rs 1,080. The public issue which opens for subscription on April 25 will run till April 27.

The IPO is entirely an offer for sale (OFS) by promoters and existing investors who are looking to divest their stakes in the Delhi-based pharmaceutical company. The total equity shares on the block will be 40,058,844 according to the red-herring prospectus (RHP) filed by the company.

The face value of equity shares is Re 1 per share.


Promoters Ramesh Juneja, Rajeev Juneja and Sheetal Arora will offload 3,705,443, 3,505,149 and 2,804,119 equity shares, respectively.

Apart from the promoters, investors including Cairnhill CIPEF Limited (17,405,559 equity shares), Cairnhill CGPE Limited(up to 2,623,863 equity shares), Beige Limited (up to 9,964,711 equity shares) and Link Investment Trust (up to 50,000 equity shares) will be divesting their stakes.

The quota for qualified institutional investors (QIB) is fixed at 50% of the total available shares while for retail individual investors (RIIs), the quota stands at 35%. For non-institutional investors (NIIs), the subscription quota is 15%.

Retail investors will be able to subscribe to at least 1 lot of 13 shares aggregating to Rs 14,040 and in multiples thereof.

The company has said that the process from the OFS will not go to the company and will go to the selling shareholders.

Complete Timeline
– Basis of Allotment: May 3, 2023
– Initiation of Refunds: May 4, 2023
– Credit of Shares to Demat: May 8, 2023
– IPO Listing Date: May 9, 2023

The company has hired Kotak Investment Banking, Axis Capital, IIFL Securities, Jefferies and JP Morgan as BRLMs while KFin Technologies as the registrar for this issue.

The company's total covered market for its consumer healthcare business amounted to Rs 206,82 crore in 2022, the RHP said. The company also claims to be the category leader in the male condom category under the 'Manforce' brand, the domestic sales of which was approximately Rs 461.60 crore (representing a market share of approximately 29.6%). The pregnancy detection kit category under the Prega News brand had domestic sales of approximately Rs 184.40 crore representing a market share of approximately 79.7%, the RHP said.

"This growth has been fueled by our product innovation, focused marketing campaigns and strategic selection of distribution channels, which have enabled us to build customer connect," the RHP said further.

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