Glenmark Life Sciences Limited IPO: Opens today; Key details an investor should know before investing

The initial public offer (IPO) of Glenmark Life Sciences will open for subscription today, i.e. on July 27, 2021. The issue will close on July 29, 2021.

Glenmark Life Sciences, a subsidiary of Glenmark Pharmaceuticals, has fixed the price band for the offer at Rs 695-720 per share. Investors can bid for a minimum of 20 equity shares in a single lot and in multiples of 20 equity shares thereafter.

The company seeks to raise up to Rs 1,513.60 crore from the primary market investors. The initial public offer (IPO) will have a fresh issue of equity shares worth up to Rs 1,060 crore and the sale of up to 63 lakh equity shares by Glenmark Pharma. Out of shares available for sale, 50 per cent will be reserved for qualified institutional investors, 35 per cent for retail and 15 per cent for HNIs.

Proceeds from the fresh issue will be used towards the payment of outstanding purchase consideration to the promoter for the spin-off of the API business and funding the capital expenditure requirements.

Goldman Sachs (India) Securities Private Limited, SBI Capital Markets, Kotak Mahindra Capital Company, BofA Securities India Ltd, DAM Capital Advisors Ltd and BoB Capital Markets are the lead managers to the issue.

The equity shares of the company will be listed on BSE and NSE.

Besides, Glenmark Life Sciences has raised Rs 454.32 crore from 19 anchor investors ahead of its initial share sale by allotting 63,06,660 shares at Rs 720 per share. Some of the anchor investors include names like HSBC Global Investment Funds, Government Pension Fund Global, Oaktree Emerging Market Equity FUND LP, Copthall Mauritius Investment Ltd and Societe Generale among others.

Glenmark Life Sciences is a leading developer and manufacturer of select high value, non-commoditised 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.