Anthem Biosciences IPO sees 64x subscription amid soaring investor interest
What's the story
Anthem Biosciences Ltd's ₹3,395 crore initial public offering (IPO) was subscribed 63.86 times at close, thanks to robust interest from qualified institutional buyers (QIBs). The company's shares were bid for a whopping 281.45 crore times against the 4.40 crore shares on offer. The strong investor response is attributed to the company's growth potential as global pharmaceutical giants look to India for alternatives to Chinese supplies.
Subscription breakdown
Strong response from investors
The IPO, which opened for subscription on July 14, was fully subscribed by the second day of bidding. The QIB category alone was subscribed 182.65 times while the non-institutional investors' quota was subscribed 44.36 times. Retail investors also showed interest with a subscription rate of 5.64 times, and employees' quota witnessed a subscription rate of 6.60 times, respectively.
Market performance`
Anthem Biosciences had raised ₹1,016 crore from anchor investors
Anthem Biosciences had earlier raised ₹1,016 crore from anchor investors. In the unofficial market, its shares are trading at a gray market premium (GMP) of ₹144, indicating a potential listing gain of 25% over the issue price. However, it is important to note that gray market premiums are just an indicator of how the company's shares are stacked up in the unlisted market and are subject to change rapidly.
IPO details
IPO price band, issue size, and other details
Anthem Biosciences priced its shares in a fixed band of ₹540 to ₹570. At the upper end of the price band, the company's valuation exceeds ₹31,800 crore. The entire amount raised through this public offering will go to selling shareholders as an offer-for-sale (OFS) by existing shareholders, including investors Viridity Tone and Portsmouth Technologies.
Company profile
About the company, registrar, and lead managers
Founded in 2006, Anthem Biosciences is a full-service Contract Research, Development, Manufacturing Organization (CRDMO). It provides end-to-end solutions to pharma and biotech firms, covering drug development from early research to commercial manufacturing through an integrated model that simplifies processes and reduces compliance hassles. JM Financial is the book-running lead manager of the Anthem Biosciences IPO, while Kfin Technologies serves as its registrar.