Infinion Biopharma Ltd IPO

Upcoming DRHP

IPO Synopsis

Details on IPO

Infinion Biopharma has filed preliminary papers with Sebi to raise funds through an initial share sale. The initial public offering (IPO) comprises the sale of 45 lakh equity shares at a face value of Rs. 10 per share. The company may consider a pre-IPO placement of up to 7 lakh equity shares.
Aryaman Financial Services is the sole book-running lead manager to the issue.

Objective of the Issue
The net proceeds will be used towards 
1.    investment in Mobius Biomedical Inc, 
2.    acquisition of licenses for product development of skincare and women's health products 
3.    working capital requirements
 

About Infinion Biopharma Ltd

Infinion Biopharma is an innovation driven life sciences company that combines biophysics and engineering with traditional pharmacology and biochemistry to produce high-value, innovative products across a range of therapeutic areas. It has created a global scientific ecosystem multiple disciplines including biophysics, biochemistry, pharmacology and biotechnology to create innovative products to manage and treat various diseases.
It is engaged in the business of pharmaceutical licensing and commercialization of high-value, innovative products across a range of therapeutic areas with focus areas including: 
•    Formulation Technology – to enable better products for skin care and women‘s health 
•    Biotechnology – to enable better diagnostic and treatment options for neurological conditions 
•    Process Technology – to enable better processes to manufacture biological drugs
The significant investment in Ansella Therapeutics Inc. has enabled it to acquire the product licenses and provide the ability to develop and market the products created using innovative formulations in India. Further, investment in Aurum Biosciences Ltd. allows access to the development of a new molecule for stroke management and other neurological conditions. Also, some of the funds from the proceeds will be used to invest in another research based company, Mobius Biomedical Inc., situated in Lowell, USA enabling to gain access to new process technologies for manufacturing high-value biopharmaceuticals including biologics and biosimilars.
The company’s ultimate vision is to bring new technology to India along with the rest of the world, and enable the Indian people to access high-end innovative treatments as and when the same are launched world-wide.

Financials

Particulars (in Rs. Crores)

FY21

FY20

FY19

Revenue from operations

6.90

0.00

0.00

EBITDA

0.00

0.00

0.00

PAT

6.45

-1.37

-0.36

EPS (basic in Rs.)

6.24

-1.71

-0.66

ROE

37.93%

-16.59%

-5.21%

 

Particulars (in Rs. Crores)

FY21

FY20

FY19

Total Assets

18.30

8.69

7.58

Share Capital

10.45

9.99

7.55

Total Borrowings

0.00

0.30

0.37

 

Particulars (in Rs. Crores)

FY21

FY20

FY19

Net cash generated from / (used in) operating activities

7.49

-1.46

-7.61

Net cash from / (used in) investing activities

-9.86

0.00

0.00

Net cash flow from / (used in) financing activities

3.25

1.44

7.92

Net increase (decrease) in cash and cash equivalents

0.88

-0.03

0.31


The key points are-

IPO Key Points

  • Strengths

    1.    Track Record of successful investment in R & D Companies
    2.    Significant upfront value generation due to strong relationship with technology partners and access to proprietary distribution network
    3.    First mover advantage
    4.    Patented Licensed Technology
    5.    Tie-ups with recognised manufacturing partners
    6.    Strong Advisors to the Company
     

  • Risks

    1.    Inability to develop or commercialise new products in a timely manner
    2.    Significantly dependent upon third party contract manufacturers for the product development as well as further manufacture of the licensed products
    3.    Inability to generate sufficient cash flows to allow the firm to make required payments for creditors and expenses subject to working capital intensive nature of the business
    4.    Bound by the terms of the License Purchase agreement for the proposed products due to which it may face limitations towards commercialisation of the same to its full potential, pricing limitations and renewal terms. 
    5.    Any termination of the relevant lease or leave and license agreement in connection with such property
    6.    Unable to obtain, renew or maintain the statutory and regulatory licenses, registrations and approvals required to operate the business
     

How to apply for IPO?

  • Login to your 5paisa account and select the issue in the current IPO section

  • Enter the number of lots and price at which you wish to apply for

  • Enter your UPI ID and click on submit. With this, your bid will be placed with the exchange

  • You will receive a mandate notification to block funds in your UPI app

  • Approve the mandate request on your UPI and funds will be blocked