Emcure Pharmaceuticals filed draft papers on Wednesday with the securities regulator for an initial public offering (IPO) that will have US private equity company Bain Capital partly exiting the Pune-based firm.
The IPO will consist of a primary issuance of shares worth Rs 1,100 crore and an offer for sale of up to 1.82 crore shares by promoters and shareholders. Emcure’s long-standing financial investor Bain will offload 99.5 lakh shares in the IPO.
Emcure will use net proceeds of the primary issuance to repay a portion of its borrowings and for general corporate purposes.
It is engaged in developing, manufacturing and globally marketing pharmaceutical products. The firm’s product portfolio focuses on chronic, sub-chronic, and therapeutic areas.
The company sells products in over 70 countries and has 14 manufacturing facilities in India. It is the 12th largest pharma company in India by sales, as per a Crisil report. The firm’s total sales grew at an annualised rate of 11.3% from Rs 3,285.6 crore in FY19 to Rs 4,068.6 crore in FY21.
Axis Capital, BofA Securities, Credit Suisse Securities, and JM Financial will act as global coordinators and book running lead managers (BRLMs) for the IPO. BOB Capital will be the book running lead manager for the offering.
AZB & Partners will act as the legal counsel to the company and selling shareholders for the IPO. Khaitan & Co and Sidley Austin LLP will be the legal counsel to the BRLMs.