{"id":39362,"date":"2024-07-29T15:52:00","date_gmt":"2024-07-29T10:22:00","guid":{"rendered":"https:\/\/flattrade.in\/kosh\/?p=39362"},"modified":"2024-07-29T15:54:48","modified_gmt":"2024-07-29T10:24:48","slug":"akums-drugs-and-pharmaceuticals-ipo","status":"publish","type":"post","link":"https:\/\/flattrade.in\/kosh\/akums-drugs-and-pharmaceuticals-ipo\/","title":{"rendered":"Akums Drugs and Pharmaceuticals IPO"},"content":{"rendered":"\t\t
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Akums Drugs and Pharmaceuticals IPO is a book-built issue of Rs 1,856.74 crores. The issue is a combination of a fresh issue of 1 crore shares aggregating to Rs 680.00 crores and an offer for sale of 1.73 crore shares aggregating to Rs 1,176.74 crores.<\/span><\/p>

Akums Drugs and Pharmaceuticals IPO opens for subscription on July 30, 2024 and closes on August 1, 2024. The\u00a0price band\u00a0for the IPO\u00a0is set at \u20b9646 to \u20b9679 per share\u00a0and the minimum lot size for an application is 22 Shares.<\/span><\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t

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Company Summary <\/b><\/strong><\/span><\/p>

Established in 2004, Akums Drugs and Pharmaceuticals Limited is a pharmaceutical contract development and manufacturing organization (CDMO) offering a comprehensive range of pharmaceutical products and services in India and overseas.<\/span><\/p>

The company primarily provides end-to-end solutions for product development and manufacturing as well as research and development (R&D) of formulations, preparation and submission of regulatory dossiers in the Indian and global markets, and other testing services. The company is also engaged in the manufacture and sale of branded drugs and active pharmaceutical ingredients (APIs).<\/span><\/p>

As a CDMO, the company manufactures a wide range of dosage forms including tablets, capsules, liquid medicines, vials, ampoules, blow-filled closures, topical preparations, eye drops, dry powder injections and gummy bears, to name a few.<\/span><\/p>

The company has produced a total of 4,025 commercialized formulations in over 60 dosage forms. In the financial year 2023, the company manufactured formulations for 26 of the top 30 pharmaceutical companies in India in terms of revenue. For its CDMO business, the company operates 10 manufacturing units with a cumulative production capacity of 49.21 billion units annually (as of September 30, 2023).<\/span><\/p>

As of September 30, 2023, Akums Drugs and Pharmaceuticals had a total of 16,463 employees, including 7,211 full-time employees and 9,252 contract employees.<\/span><\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t

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Company Strengths<\/b><\/strong><\/span><\/p>

They are the largest India-focused CDMO in terms of revenue, production capacity, and clients served during the Financial Year 2023.<\/span><\/p>

Along with their Subsidiaries, as of March 31, 2024, they operate 12 manufacturing units with a cumulative formulations manufacturing capacity aggregating to 49.23 billion units annually, to produce a wide range of dosage forms.<\/span><\/p>

They have demonstrated robust growth and delivered superior returns, achieving CDMO revenue growth at a CAGR of 10.79% between Financial Years 2022 and 2024, and EBITDA growth at a CAGR of 10.28% between Financial Years 2022 and 2024.<\/span><\/p>

As of March 31, 2024, their client base for their CDMO business comprised of 1,524 Indian and multinational pharmaceutical and wellness companies, increasing from 1,386 as of March 31, 2022.<\/span><\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t

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Company Financials<\/b><\/strong><\/span><\/p>

Period Ended<\/b><\/strong><\/span><\/p><\/td>

31 Mar 2024<\/b><\/strong><\/span><\/p><\/td>

31 Mar 2023<\/b><\/strong><\/span><\/p><\/td>

31 Mar 2022<\/b><\/strong><\/span><\/p><\/td><\/tr>

Assets<\/b><\/strong><\/span><\/p><\/td>

3,516.37<\/span><\/p><\/td>

3,266.53<\/span><\/p><\/td>

3,069.05<\/span><\/p><\/td><\/tr>

Revenue<\/b><\/strong><\/span><\/p><\/td>

4,212.21<\/span><\/p><\/td>

3,700.93<\/span><\/p><\/td>

3,694.52<\/span><\/p><\/td><\/tr>

Profit After Tax<\/b><\/strong><\/span><\/p><\/td>

0.79<\/span><\/p><\/td>

97.82<\/span><\/p><\/td>

-250.87<\/span><\/p><\/td><\/tr>

Net Worth<\/b><\/strong><\/span><\/p><\/td>

709.50<\/span><\/p><\/td>

717.19<\/span><\/p><\/td>

621.98<\/span><\/p><\/td><\/tr>

Reserves and Surplus<\/b><\/strong><\/span><\/p><\/td>

861.01<\/span><\/p><\/td>

868.70<\/span><\/p><\/td>

787.79<\/span><\/p><\/td><\/tr>

Total Borrowing<\/b><\/strong><\/span><\/p><\/td>

491.56<\/span><\/p><\/td>

536.97<\/span><\/p><\/td>

357.95<\/span><\/p><\/td><\/tr>

Amount in \u20b9 Crore<\/b><\/strong><\/span><\/p><\/td><\/tr><\/tbody><\/table>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t

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Objectives of the IPO<\/b><\/strong><\/span><\/p>

The Company proposes to utilize the Net Proceeds towards the funding of the following objects
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