Eight years on, Emcure Pharma takes a second shot at IPO


Pune-based Emcure Pharmaceuticals Ltd is making its second attempt to float an initial public offering (IPO), joining a bunch of healthcare companies to tap into the stock market buoyancy. 

Emcure has filed a draft prospectus with the capital markets regulator Securities and Exchange Board of India for the IPO that includes both primary and secondary share sales.

While the drugmaker aims to raise Rs 1,100 crore by issuing fresh shares in the IPO, its promoters and investor Bain Capital plan to sell a total of 18.16 million shares. Private equity firm Bain alone will sell almost 10 million shares.
Emcure joins a growing list of healthcare services and pharmaceutical companies to float an IPO. Already, companies such as pathology chain Krsnaa Diagnostics Ltd, hospital operator Krishna Institute of Medical Sciences and drugmakers Windlas Biotech Ltd and Glenmark Life Sciences Ltd have gone public this year.

Emcure’s planned IPO comes eight years after Emcure first approached SEBI for its maiden share sale in July 2013. However, the drugmaker eventually scrapped the proposal. 
Emcure makes and sells a wide range of pharmaceutical products across several therapeutic areas. The company claims it is the 12th largest drugmaker in India by revenue and the largest in segments such as gynaecologyand HIV anti virals .The company says it is also developing a Covid-19 vaccine.

Emcure was set up in 1981. It operates 14 manufacturing plants.The company’s consolidated net profit soared to Rs 418.59 crore for the year through March 2021 from Rs 100.61 crore a year earlier. Revenue from operations jumped to Rs 6,056.41 crore from Rs 5,048.55 crore.