The initial public offering (IPO) of Concord Biotech will list on the stock markets, the Bombay Stock Exchange and the National Stock Exchange, on August 18.
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The public offering of the R&D-driven biopharma company received a strong reception, having been oversubscribed nearly 25 times on the final day of the bidding.
Today, the shares of the company will be credited to the account of eligible bidders, based on the basis of allotment that was finalised on August 11.
As the shares of the company get ready to be listed on the stock markets, the grey market or the unlisted market indicates a positive listing for the company.
According to topsharebrokers.com, Concord Biotech’s grey market premium (GMP) stood at Rs 122, indicating that the shares of the company will get listed at Rs 863, marking an almost 16.5 per cent premium over the issue price of Rs 741.
With the IPO, the company aims to raise Rs 1,550.59 crore through an offer for sale (OFS) issue.
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It may be noted that numerous brokerages, including Motilal Oswal, SBI Securities, Ventura Securities, LKP Research, Reliance Securities, Choice Broking, Hensex Securities, Hem Securities, and SMC Capital, have endorsed a “subscribe” rating.
In its analysis, Choice Broking emphasized Concord Biotech’s appealing P/E multiple of 32.3x to its FY23 earnings, making it an enticing option relative to its industry peers.
Benefiting from a robust global presence, a diversified product range, and strong in-house R&D capabilities, Concord Biotech is strategically positioned to leverage the growth opportunities in the fermentation-based APIs market, it said.
The report from Choice Broking further recommended potential investors to consider subscribing to the forthcoming public offering.
Similarly, Reliance Securities expressed a positive outlook on the IPO, advocating for a “subscribe” rating. The firm highlighted Concord Biotech’s extensive global reach, diverse product portfolio, internal R&D strength, and experienced leadership.
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Of significant note is the notable ownership stake held by Rekha Jhunjhunwala in Concord Biotech, exceeding 24 per cent. This shareholding was acquired through RaRe Enterprise, an entity associated with Rekha Jhunjhunwala following the passing of her husband, Rakesh Jhunjhunwala.
