Valiant Laboratories IPO subscribed 50% so far on 2nd day of bidding process
Valiant Laboratories was subscribed 50% so far on the second day of the bidding process on Thursday.
At 12.19 p.m., the public issue was subscribed 0.5 times, led by strong demand from retail investors, whose category was subscribed 93%. The issue was subscribed to 17% in the NII category.
There have been no bids from qualified institutional buyers so far.
According to market sources, the grey market premium (GMP) of Valiant Laboratories was Rs 10.
The IPO, which closes on October 3, is priced at Rs 133-140 apiece and is completely a fresh equity issue of Rs 1.08 crore shares. Investors can bid for a minimum of 105 shares in one lot and in multiples thereof.
About 50% of the offer is set aside for qualified institutional buyers, 15% is reserved for non-institutional investors, and 35% for retail investors.
Net proceeds from the issue will be utilised towards part-financing its capex, funding working capital requirements and other general corporate purposes.
Valiant Labs is an active pharmaceutical manufacturing company, with a focus on producing Paracetamol.
APIs serve as raw materials for manufacturing finished dosage forms or formulations.
The pharmaceutical API industry in India is ranked third-largest globally in terms of volume. It is expected to clock a CAGR of 5-7% between fiscal 2023 and fiscal 2027, largely driven by the demand from domestic formulation manufacturers as well as export markets.
Paracetamol is one of the most commonly taken analgesics worldwide and is recommended as the first-line therapy in pain conditions by the World Health Organization (WHO).
The company's revenues grew 16% to Rs 339 crore in the fiscal year 2023, while net profit was marginally higher at Rs 28.9 crore, compared with
