Namita Thapar, a promoter group member of Emcure Pharmaceuticals and known for her appearance on Shark Tank, is set to earn approximately Rs 127 crore through the company’s upcoming IPO. The issue, which opens on July 3 and closes on July 5, will see Thapar sell a portion of her stake, amounting to about 12.68 lakh shares, under the offer for sale (OFS) component.
According to an ET report, Thapar acquired her shares in Emcure at a weighted average price of Rs 3.44 per share.With the upper price band of the IPO set at Rs 1,008, her stake sale is expected to generate around Rs 127 crore. As of March 2024, Thapar holds approximately 63 lakh shares, representing a 3.5% stake in the company.
The IPO consists of a fresh issuance of equity shares worth Rs 800 crore and an OFS of 1.14 crore equity shares by promoters and existing shareholders. In addition to Thapar, promoter Satish Mehta and investor BC Investments IV Ltd, an affiliate of US-based private equity firm Bain Capital, will also be selling their stakes through the OFS.
The proceeds from the fresh issue will be utilized to repay debt and for general corporate purposes. Emcure Pharma, headquartered in Pune, is a research and development-driven company that develops, manufactures, and markets a wide range of pharmaceutical products across various therapeutic areas.
The company has a differentiated product portfolio, including orals, injectables, and biotherapeutics, and targets markets in over 70 countries, with a presence in India, Europe, and Canada. The global pharmaceutical market is projected to maintain a compound annual growth rate of approximately 5.0% to 5.5% between 2023 and 2028, reaching a value of approximately $1,900 billion (approximately Rs 157 lakh crore) to $1,950 billion (about Rs 161 trillion) by the calendar year 2028.
In the financial year 2024, Emcure Pharma’s revenue from operations increased by 11% year-on-year (YoY) to Rs 6,658 crore, compared to Rs 5,985 crore in the previous financial year. However, the company’s profit after tax saw a 6% year-on-year decline, falling to Rs 527 crore from Rs 562 crore a year earlier.
The book-running lead managers for the IPO are Kotak Mahindra Capital Company, Jefferies India, Axis Capital, and JPMorgan India.