Sudeep Pharma Limited is a Gujarat-based specialty chemicals company specialising in the manufacture of mineral-based APIs and nutraceutical ingredients along with advanced formulation technologies. The segments include Pharmaceuticals, Nutraceuticals and Industrial Applications, and are supported by its expertise in mineral chemistry and precision processing. With production in India and subsidiaries in the U.S., Netherlands, and Ireland, the Company supplies a variety of customers throughout the world. The IPO consists of a fresh issue along with an offer for sale, with the offer for sale making up the majority of the issue.
Offer details of the IPO
Price Band: INR 563 to INR 593 per Equity Share
Book Running Lead Managers
Specialty Ingredients and Excipients Industry Overview
The specialty ingredients, pharmaceutical excipients, and energy storage chemicals industry is a high-growth, innovation-driven sector that serves as a critical enabler for global pharmaceutical, food & nutrition, and advanced materials markets. This industry encompasses the development, manufacturing, and distribution of functional additives and compounds that enhance the performance, stability, bioavailability, and consumer experience of end-products across multiple verticals.
Table: Key Segments
| Segment | Sub-Category | Description |
| Pharmaceutical, Food and Nutrition | Pharmaceutical excipients, micro-nutrient premixes, encapsulated minerals, spray-dried & granulated functional ingredients | This category consists of pharmaceutical excipients (inactive substances that act as a carrier for the active ingredients in drug formulations), micronutrient premixes, encapsulated minerals, and spray-dried/granulated functional ingredients for nutraceuticals / dietary supplements / fortified foods. Such products are critical for the development of drug delivery systems, increased shelf-lives, taste masking and nutritional fortification. |
| Specialty Ingredients | Battery electrolytes, polymer additives, cosmetic actives, industrial formulations | This category includes technologically sophisticated functional chemicals applied in high-value usages such as battery electrolyte, polymer additive, cosmetic active and industrial formulation. This technology covers proprietary processes, such as encapsulation, co-processing and controlled release. Growth is driven by the global shift to sustainable energy (lithium-ion batteries), clean-label consumer products, and personal nutrition. |
Source: RHP
Both segments are characterised by high barriers to entry due to stringent regulatory compliance (e.g., USP, EP, FDA, FSSAI), significant R&D investment, and long customer qualification cycles. The industry is increasingly consolidating as players scale to meet global demand and invest in integrated manufacturing and formulation capabilities.
Table: Industry Growth Rates (Past and Future)
| Segment | Past CAGR (FY2021–FY2024) | Future CAGR (FY2025–FY2029F) | Comment |
| Pharmaceutical, Food and Nutrition | 8.2% | 9.5% | Strong demand from emerging markets (India, Southeast Asia, and LATAM) and increasing adoption of functional foods and personalised medicine. Regulatory harmonisation and clean-label trends are accelerating growth. |
| Specialty Ingredients | 11.4% | 12.8% | Driven by battery chemical demand (EV boom), advanced drug delivery systems, and high-margin niche applications. India’s production-linked incentive (PLI) schemes and export competitiveness are key growth catalysts. |
| Overall Industry (Combined) | 9.3% | 10.7% | The industry is evolving towards value-added, technology-based services. There is an expectation for enhanced consolidation and vertical integration, with the leaders achieving outsized market presence. |
Source: RHP
Sudeep Pharma Limited – Company Overview
Sudeep Pharma Group is a Gujarat-headquartered vertically integrated company operating in the Pharmaceuticals, Nutraceuticals and Advanced materials. Founded in 1989, the company is led by Sujit Jaysukh Bhayani and his son, Shanil Sujit Bhayani. Operations of the company have expanded to strategically based international subsidiaries worldwide.
Key Relationships with Entities
Subsidiaries & Affiliates:
The Group holds a number of subsidiaries in important markets:
Competitive Positioning
Sudeep Pharma Group is a fast-growing player in APIs & Nutraceuticals, particularly specialising in mineral-based APIs (API grade Calcium Carbonate). It has strong regulatory support, vertical integration and an expanding international footprint. On the other hand, Client and supplier concentration remain key risks. Also, competitive pressures are high with global, local and emerging players vying for market share. Its competitive strategy to achieve sustainable growth is to evolve into custom formulations and diversify its global presence.
Strengths
Weaknesses
Financial Profile
Robust Revenue Growth: The company has consistently derived healthy revenue worth ₹5,019.99 million in FY2025, which increased from ₹4,287.39 million in FY2023 at a CAGR of 8.21%. The company’s sales growth during FY2024-25 was supported by good growth in mineral-based APIs and nutraceutical ingredients, and better traction on the export front.
Table: Key Drivers of revenue growth
| Key Revenue Driver | Description |
| Market Extension & Diversification | Expanded customer base geographically and catered to increased demand for high-purity specialty chemicals. |
| Operational Efficiency | Improved capacity utilisation and supply chain efficiencies led to higher output without significant cost escalation. |
| Key Customer Relationships | The company has strong retention of key clients, and related-party revenue is less than 1%. |
| New Products & Premiumization | Introduced advanced, higher-margin products to drive pricing as well as revenue. |
Source: RHP
Better Profitability: The company delivered healthy profitability in FY2025 with PAT increasing to ₹1,386.91 million and an attributable PAT margin of 27.63%. The EBITDA grew to ₹1,992.81 million on the back of better operating leverage. Gross margin ratio increased to 67.17% on a year-over-year basis, due to improved sourcing, higher premium product mix and process improvements, aided by new formulations like Novelcap and Lipoboost. The company’s ROACE was at 29.53% and management expects the cost of capital to moderate from FY2024 levels.
Table: KPI Comparison
| Company | Particulars (Units) | FY2023 | FY2024 | FY2025 | CAGR |
| Sudeep Pharma Limited
|
Revenue from operations (₹ mn) | 4,287.39 | 4,592.81 | 5019.99 | 8% |
| PBT (₹ mn) | 859.80 | 1,748.18 | 1828.45 | – | |
| PAT (₹ mn) | 623.21 | 1,331.87 | 1386.91 | 49% | |
| Adjusted Gross Margin (₹ mn) | 2,462.72 | 2,939.76 | 3372.09 | – | |
| Revenue Growth YoY (%) | – | 7.12% | 9.30% | – | |
| PAT Growth YoY (%) | – | 113.71% | 4.13% | – | |
| PAT Margin (%) | 14.54% | 29.00% | 27.63% | – | |
| EBITDA (₹ mn) | 986.42 | 1,877.55 | 1992.81 | 42% | |
| EBITDA Growth YoY (%) | – | 90.34% | 6.14% | – | |
| EBITDA Margin (%) | 23.01% | 40.88% | 39.70% | – | |
| Adjusted EBITDA (₹ mn) | 1,427.40 | 1,877.55 | 1,992.81 | – | |
| Adjusted EBITDA Growth YoY (%) | – | 31.54% | 6.14% | – | |
| Adjusted EBITDA CAGR FY23–FY25 (%) | – | – | 18.16% | – | |
| Adjusted EBITDA Margin (%) | 33.29% | 40.88% | 39.70% | – | |
| ROE (%) | 27.91% | 37.41% | 28.13% | – | |
| ROCE (%) | 29.40% | 41.17% | 29.82% | – | |
| Net Working Capital Cycle (days) | 143 | 148 | 282 | – | |
| Net Debt to Equity Ratio | 0.32 | 0.17 | 0.20 | – | |
| Net Debt to EBITDA | 0.73 | 0.33 | 0.49 | – |
Source: RHP
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