Indegene Ltd, a prominent healthcare technology company servicing the global life sciences sector, announced on Monday its initiation of a substantial public offering. The company, poised to make a significant entry into the stock market, has set the price band for its shares at Rs 430 to Rs 452 in its Rs 1,842-crore initial public offering (IPO). The highly anticipated public subscription opens on May 6 and will run until May 8, with a special window for anchor investors beginning on May 3.
The keenly awaited IPO consists of a fresh issue of equity shares amounting to Rs 760 crore and an Offer For Sale (OFS) of up to 2.34 crore equity shares, which, at the apex of the defined price band, sums up to Rs 1,082 crore. Collectively, this brings the total offering to an impressive Rs 1,842 crore.
With the Offer For Sale component in the mix, current shareholders are set to monetize their investments. These include CA Dawn Investments, affiliated with the reputed Carlyle group, Vida Trustees as a partner of Group Life Spring, Brighton Park Capital’s BPC Genesis Fund I SPV Ltd and BPC Genesis Fund I-A SPV Ltd, along with individual stakeholders Manish Gupta, Rajesh Bhaskaran Nair, and Anita Nair.
In the company’s present shareholder structure, Nadathur Fareast Pte Ltd holds the honor of being the largest shareholder, boasting a substantial 23.64 percent share. Trailing not too far behind is CA Dawn Investments with its sizable 20.42 percent stake, followed by Brighton Park Capital possessing 12 percent of the enterprise.
Purpose-bound, the capital raised through this fresh issue is earmarked for a spectrum of strategic initiatives. The allocation of funds includes debt repayment, capital expenditure fulfillment, covering deferred consideration for a previous acquisition, supporting inorganic growth strategies, and fulfilling general corporate objectives.
Reflecting on its recent financial trajectory, Indegene made a noteworthy move in February 2021, securing USD 200 million from esteemed investors Carlyle Group and Brighton Park Capital. This infusion of capital underscored the growing confidence in Indegene’s business model and future prospects.
Since its inception in 1998, Indegene has carved out a unique niche in the healthcare tech landscape. The firm specializes in accelerating the journey from development to market launch for biopharmaceutical, nascent biotech, and medical device organizations. Their suite of solutions encompasses the full life span of products, driving sales and supporting end-to-end commercialization.
The upcoming IPO is backed by a powerful syndicate of financial institutions. Kotak Mahindra Capital, Citigroup Global Markets India, J P Morgan India, and Nomura Financial Advisory and Securities (India) collectively handle the role of book running lead managers, ushering this offering to an eager market.
Indegene’s decision to go public aligns with a broader trend of burgeoning healthcare firms seeking to leverage public capital to fuel innovation and growth. This IPO not only represents a financial milestone for the company but also stands as a testament to its almost quarter-century commitment to fostering advancements in the life sciences industry. As the market prepares for Indegene’s public offering, investors and industry observers alike are fixed on the potential impact this move could have on the healthcare tech landscape both in India and globally.
