Akums Drugs Raises ₹828.8 Crore from Anchor Investors

30 Jul 2024 , 09:09 AM

New Delhi-based pharma company Akums Drugs and Pharmaceuticals has successfully raised ₹828.8 Crore from a group of prominent anchor investors, just before the opening of its public issue on July 30. The allocation included several global and domestic investors.

Among the key global investors, Blackrock, Smallcap World Fund, Abu Dhabi Investment Authority, HSBC Global, Florida Retirement System, Carmignac Portfolio, and Neuberger Berman Emerging Markets Equity Fund acquired a combined 33.5 lakh equity shares, valued at ₹227.5 Crore. Akums Drugs confirmed the allocation of 1,22,05,912 equity shares to these anchor investors at the upper price band of ₹679 per share.

Prominent domestic mutual funds also participated in the anchor book, including SBI Mutual Fund, International Growth Fund and Income Fund, Aditya Birla Sun Life Trustee, Franklin India, Templeton India, DSP India Fund, IIFL Asset Management, Tata Mutual Fund, Motilal Oswal Mutual Fund, Bandhan Mutual Fund, Edelweiss Trusteeship, PGIM India, and JM Financial Mutual Fund. In total, nine domestic mutual funds applied through 24 schemes, reflecting widespread institutional interest.

Additionally, major insurance companies such as SBI Life Insurance, ICICI Prudential Life Insurance, HDFC Life Insurance, Max Life Insurance, Aditya Birla Sun Life Insurance, Reliance Nippon Life Insurance, and Canara HSBC Life Insurance also invested in Akums Drugs.

The company’s initial public offering (IPO), valued at ₹1,856.74 Crore, will open for subscription on July 30 and close on August 1. The IPO comprises a fresh issue of equity shares worth ₹680 Crore and an offer-for-sale (OFS) of 1.73 Crore shares worth ₹1,176.74 Crore by existing shareholders. The price band for the offer is set at ₹646-679 per share.

Akums Drugs has allocated up to 75% of the net issue size for qualified institutional buyers, 15% for non-institutional investors, and 10% for retail investors. The funds raised from the fresh issue will be utilized for repaying debts, meeting incremental working capital requirements, pursuing inorganic growth initiatives, and general corporate purposes.