Ahead of IPO, Mankind Pharma Raises Rs 1,298 Crore From Anchor Investors

Mankind Pharma said it has raised Rs 1,298 crore from anchor investors ahead of its initial share sale that opens for subscription on April 25.

The company allotted over 1.2 crore shares to 77 funds at Rs 1,080 apiece, aggregating to Rs 1,298 crore, according to a circular uploaded on the BSE website on Monday.

Of these 77 funds, 16 domestic mutual funds through a total of 41 schemes participated in the anchor round.

Canada Pension Plan Investment Board, Government of Singapore, Monetary Authority of Singapore, Goldman Sachs, Fidelity, BlackRock, Abu Dhabi Investment Authority, Nomura, and Morgan Stanley are among the anchor investors.

HDFC Mutual Fund, SBI Mutual Fund, Axis Mutual Fund, Nippon India Mutual Fund, Aditya Birla Sun Life Mutual Fund, HDFC Life Insurance Co. and SBI Life Insurance Co. are the other anchor investors.

The company's IPO is entirely an offer for sale of 40,058,844 equity shares by promoters and other existing shareholders.

Those selling shares in the OFS are promoters Ramesh Juneja, Rajeev Juneja, and Sheetal Arora. Besides, Cairnhill CIPEF, Cairnhill CGPE, Beige Limited, and Link Investment Trust will participate in the OFS.

Since the IPO is completely an OFS, the company will not receive any net proceeds from the issue and the entire net proceeds will go to the selling shareholders.

The issue, with a price band of Rs Rs 1,026-1,080 a share, will open for subscription during April 25-27. At the upper end of the price band, the IPO size is estimated at Rs 4,326 crore.

Half of the issue size has been reserved for qualified institutional buyers, 35% for retail investors, and the remaining 15% for non-institutional investors.

Mankind Pharma is engaged in developing, manufacturing, and marketing a diverse range of pharmaceutical formulations across various acute and chronic therapeutic areas, as well as several consumer healthcare products.

It has established several differentiated brands in condoms, pregnancy detection, emergency contraceptives, antacid powders, vitamin and mineral supplements, and anti-acne preparation categories.

It has a pan-India marketing presence and operates 25 manufacturing facilities across the country.

As of December 2022, the company had a team of over 600 scientists and a dedicated in-house R&D center with four units located at IMT Manesar, Gurugram (Haryana), and Thane (Maharashtra).

Kotak Mahindra Capital Company, Axis Capital, IIFL Securities, Jefferies India, and JP Morgan India are the book-running lead managers to the issue.

The equity shares of the company will be listed on May 9 on the BSE and NSE.