In today’s briefing:
- Mankind Pharma IPO – Quality Name but Might Not Have a Whole Lot of Upside
- Mankind Pharma IPO: Updates Warrant Caution
- Indegene Pre-IPO – Growing Client Base and Cross/Up-Selling Led to Growth
- Mankind Pharma (6596876Z IN) IPO: Pricey Valuation Limits Upside Potential
Mankind Pharma IPO – Quality Name but Might Not Have a Whole Lot of Upside
- Mankind Pharma (MP) is looking to raise up to US$527m in its upcoming India IPO.
- MP is a pharmaceutical company engaged in developing, manufacturing and marketing a range of pharmaceutical formulations across various acute and chronic therapeutic areas, as well as several consumer healthcare products
- We have looked at various aspects of the deal in our earlier notes. In this note, we talk about the implied valuations.
Mankind Pharma IPO: Updates Warrant Caution
- Mankind Pharma (6596876Z IN), a pharmaceutical company, is seeking to raise up to Rs43.3 billion (US$527 million) at Rs1,026-1,080 per share. The public offer runs from 25-27 April.
- We previously discussed the IPO in Mankind Pharma IPO: The Bull Case and Mankind Pharma IPO: The Bear Case.
- The 9MFY23 (nine months to December) disclosure showcases a slowdown in growth, market share losses, margin pressure and declining RoCE. We are cautious about the IPO.
Indegene Pre-IPO – Growing Client Base and Cross/Up-Selling Led to Growth
- Indegene Limited (1864095D IN) is looking to raise about US$400m in its upcoming India IPO.
- Indegene is a “digital-first” commercialisation firm with an exclusive focus on the global life sciences industry.
- Its solutions aim to enable biopharmaceutical, emerging biotech and medical devices companies to develop, launch and drive sales for their products in a more efficient manner.
Mankind Pharma (6596876Z IN) IPO: Pricey Valuation Limits Upside Potential
- Mankind Pharma (6596876Z IN) IPO will open for public subscription on April 24 and close on April 27. The shares are expected to be listed on May 9.
- The company has set IPO price band of INR1,026 –1,080 per share, valuing the company at INR433 billion at the top of the price band.
- The IPO price band implies P/E of 30.9x at the lower band and 32.6x at the upper band. This is pricier than other India focused pharmaceutical companies.
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