₹ 14938 / 22 shares
IPO Details
RHP/DRHPIssue Date
30 Jul - 1 Aug'24
Investment/lot
₹ 14938
Price Range
646 - 679
Lot Size
22
IPO Size
₹ 1858.30 Cr
IPO Listing Details
Listing On
6 Aug'24
Issue Price
679
Listed Price
₹ 725
Retail Gain/Listing Gain
▲6.77%
IPO Timeline
Akums Drugs and Pharma Limited IPO Review | Issue details, products business model | Must watch
Kotak Securities
•03m 57s
Akums Drugs and Pharmaceuticals Ltd Company Background
Akum Drugs and Pharmaceuticals Limited is a pharmaceutical contract development and manufacturing organisation (CDMO) offering a comprehensive range of pharmaceutical products and services in India and overseas.
The company produces an extensive range of dosage forms including tablets, capsules, liquid orals, vials, ampoules, blow-filled seals, topical preparations, eye drops, dry powder injections and gummies, among others.
With that, let's take a look at the competitive strengths and risk factors for Akum Drugs and Pharmaceuticals Limited:
Akums Drugs and Pharmaceuticals ltd Competitive Strengths
Largest CDMO serving the Indian pharmaceutical industry
Akums Drugs and Pharmaceuticals Limited is the largest India-focused CDMO in terms of revenue, production capacity and clients served during the financial year 2023 (among CDMOs assessed by F&S) (Source: F&S Report). During the financial year 2024, the company had a market share of 30.2% by value in the Indian domestic CDMO market.
Diverse client base with longstanding CDMO relationships
As of March 31, 2024, their client base for their CDMO business comprised 1,524 Indian and multinational pharmaceutical and wellness companies, increasing from 1,386 as of March 31, 2022.
The market leader’s client base includes pharmaceutical companies, nutraceutical companies, cosmo-derma companies, wellness companies, e-commerce companies, healthcare providers and central and state government entities.
Large and rapidly growing R&D capabilities across their product portfolio:
As of March 31, 2024, the company operates four dedicated R&D units. They have also engaged 406 R&D scientists across their businesses. As of March 31, 2024, they have obtained 1,448 trademarks across various dosage forms and formulations.
Further, as of March 31, 2024, they have procured 927 DCGI approvals and 5 patents (Source: F&S Report). As of the date of this Red Herring Prospectus, they have received approval from FSSAI for 923 formulations.
Akums Drugs and Pharmaceuticals ltd Risk Factors
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They rely on domestic and international third-party suppliers for the supply of raw materials. Any delay, interruption or reduction in such supply could adversely affect their business, results of operations, etc.
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The company had issued equity shares to more than 49 investors in the past, which may have been in non-compliance with the Companies Act, 1956.
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The company has incurred losses in the past and may incur losses in the future.
Key Strategies
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Leverage their leadership position to continue to increase their market share and consolidate their position in the CDMO market.
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Sustain R&D for product development across therapies and dosage forms.
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Expand their global presence through strategic initiatives.
Akums Drugs and Pharmaceuticals Ltd Key Financials
Here are the key financials for Akums Drugs and Pharmaceuticals Limited:
Particulars (in Rs. million)
Particulars (in Rs. million)
How to apply for IPO through ASBA
Kotak Securities
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How to apply for an IPO using UPI
Kotak Securities
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Opening of account will not guarantee allotment of shares in IPO. Investors are requested to do their own due diligence before investing in any IPO.
How To Apply for Akums Drugs & Pharmaceuticals Ltd IPO?
Here are the steps to apply for Akums Drugs & Pharmaceuticals Ltd IPO:
Step 1: Log in to your Kotak Securities Demat account Log in to your Demat account to access IPO investments. Next, select the current IPO section.
Step 2: Specify IPO details Enter the number of lots and the price you wish to apply for.
Step 3: Enter UPI ID After entering your UPI ID, click submit. This will place your bid with the exchange.
Step 4: Mandate Notification Your UPI app will receive a mandate notification to block funds.
Step 5: Approve Request Your funds will be blocked once you approve the mandate request on your UPI.
Akums Drugs and Pharmaceuticals IPO FAQs
When is Akums Drugs and Pharmaceuticals IPO listing date?
Akums Drugs and Pharmaceuticals IPO will list on 2024-08-06.
What is the issue size of Akums Drugs and Pharmaceuticals IPO?
1858.30 is the issue size of Akums Drugs and Pharmaceuticals IPO.
What is the minimum lot size required for Akums Drugs and Pharmaceuticals IPO?
The minimum lot size is 22 shares and the investment required is ₹14938.
What is the price band of the Akums Drugs and Pharmaceuticals IPO?
The price band of Akums Drugs and Pharmaceuticals IPO is ₹646 to ₹679.
Where can I read more about Akums Drugs and Pharmaceuticals business?
You can read more about Akums Drugs and Pharmaceuticals and its IPO from the company’s red herring prospectus (RHP) here.
What is the Akums Drugs and Pharmaceuticals Limited IPO?
The Akums Drugs and Pharmaceuticals Limited IPO has an issue size of Rs.1856.74 crores. The IPO opens for subscription on 30th July 2024 and closes on 1st Aug 2024
Who is the Registrar for Akums Drugs and Pharmaceuticals Limited IPO?
Link Intime India Private Limited is the registrar for this IPO.
