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The Initial Public Offering (IPO) of Akums Drugs and Pharmaceuticals Limited commenced today, generating significant market interest. The IPO will be open until 1st August 2024, offering investors a four-day window to participate. Priced between Rs 646 and Rs 679 per equity share, the IPO has attracted considerable attention, nearing full subscription by 2:50 pm on its first day.
Key Details of Akums Drugs IPO
IPO Grey Market Premium (GMP): Market observers report that shares of Akums Drugs and Pharmaceuticals Limited are trading at a premium of Rs 181 in the grey market, signalling strong investor confidence and a potentially successful listing.
IPO Price Band: The company’s mainboard IPO is priced between Rs 646 and Rs 679 per equity share, reflecting its market value and strategic positioning.
IPO Dates: The IPO commenced today and will be open for subscriptions until 1st August 2024.
IPO Size: Akums Drugs plans to raise Rs 1,856.74 crore through this IPO. Of this amount, Rs 1,176.74 crore is allocated for the Offer for Sale (OFS) route, allowing existing shareholders to divest their holdings.
Lot Size: Investors can purchase the IPO in lots, with each lot consisting of 22 shares.
Allotment Date: Share allocation is expected to be finalized on Friday, 2nd August 2024.
Registrar: Link Intime India Private Ltd has been appointed as the registrar for this public issue.
Listing: The shares are set to be listed on both the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE), providing extensive liquidity and market access.
Listing Date: Following the ‘T+3’ listing rule, Akums Drugs is anticipated to debut on the stock exchanges on Tuesday, 6th August 2024.
Subscription Status
As of 2:48 pm on the first day of bidding, the IPO has seen strong participation. The overall subscription stands at 0.95 times, with the retail portion seeing 2.52 times subscription and the Non-Institutional Investors (NII) portion at 1.09 times.
Company Profile
Akums Drugs and Pharmaceuticals Limited is a well-established entity in the pharmaceutical sector, renowned for its diverse product range, including formulations, nutraceuticals, and herbal products. The company’s manufacturing prowess and market presence underscore its strategic value in the industry.
The IPO proceeds will mainly support general corporate purposes and offer liquidity to existing shareholders via the Offer-for-sale route. This strategy aims to enhance the company’s balance sheet and benefit long-term investors. Additionally, the robust grey market premium indicates positive market sentiment and potential gains upon listing.