Sai Life Sciences' Rs 3,000-crore IPO opens for subscription. Check GMP and other details

The initial public offering (IPO) of Sai Life Sciences opened for public subscription today, and will close on December 13. The Rs 3,042 crore issue includes a fresh issue of 1.73 crore shares, aggregating to Rs 950 crore and an OFS of 3.81 crore shares.

The company said that it would use the proceeds from its IPO to repay its debts and for general corporate purposes.

Sai Life Sciences IPO: Price band

The company has set a price band of Rs 522-549 per share for its IPO, where investors can bid for 27 shares in one lot.

Sai Life Sciences IPO: GMP today

Ahead of the issue, the GMP for Sai Life Sciences shares is around Rs 31, indicating a 6% premium over the issue price.

Sai Life Sciences IPO: Review

Analysts are neutral on the IPO as the offer structure is more tilted towards an OFS with limited direct benefits to the company.

"Its financial performance has been positive with a sharp rise in profitability. The IPO is significantly overvalued. Given the high valuation and limited direct benefits to the company from the IPO, a cautious approach is recommended," said Swastika Investmart.

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About Sai Life Sciences IPO

Sai Life Sciences provides end-to-end services across the drug discovery, development, and manufacturing value chain, for small molecule New Chemical Entities (NCE), to global pharmaceutical innovator companies and biotechnology firms.

The global small molecule contract research, development and manufacturing organization industry is forecasted to reach $159 billion by 2028 (comprising approximately 53% of the overall global contract research, development and manufacturing organization industry), driven by increasing pharmaceutical and biotech research & development outsourcing, continued demand for small molecules and growing demand for cost-effective drugs.

Kotak Mahindra Capital Company Ltd, IIFL Capital Services Ltd (formerly IIFL Securities Ltd), Jefferies India and Morgan Stanley India Company are the book running lead managers, while KFin Technologies is the registrar for the IPO.

Sai Life Sciences IPO: Opening Date, Allotment and Listing Date

The Sai Life Sciences IPO will open up for public subscription on December 11 with the issue closing on December 13. Meanwhile, bidding for the anchor investors' segment is slated to begin on December 10.

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)