Asston Pharmaceuticals IPO

About Asston Pharmaceuticals IPO

Asston Pharmaceuticals Limited IPO is an IPO of up to 22,41,600 equity shares, aggregating up to ₹27.56 crores. It consists of a fresh issue of up to 22,41,600 equity shares, aggregating up to ₹27.56 crores. The shares will be allotted on June 14, 2025. The credit of shares to the demat account will take place on July 15, 2025, and the initiation of refunds will take place on July 15, 2025.

Asston Pharmaceuticals is engaged in the manufacture and export of pharmaceutical formulations and nutraceutical products in domestic and various African markets. The company is involved in the manufacturing and marketing of tablets, capsules, oral liquid, external preparations, etc.

The company has also set up their own regulatory department for formulation development and has tie-ups with 2 NABL accredited laboratories, ensuring adherence to industry standards from production to export. From manufacturing to exports and distributions, the company takes responsibility and oversees each phase of the supply chain.

The company is FDA certified by both the Central and State FDA, accredited by NQA (Nuclear Quality Assurance), and complies with the Quality Management System (QMS) standards.

Objective of Asston Pharmaceuticals IPO

• Funding capital expenditure requirements towards acquiring machinery in the manufacturing unit.
• Funding the incremental working capital requirements of the company.
• Repayment and/or prepayment, in part or full, of certain of the outstanding borrowings availed by the company.
• General corporate purposes.

Industry Outlook

Market size of the Indian pharmaceuticals industry is expected to reach US$ 6500 crores by 2024, US$ 13,000 crores by 2030, and US$ 45,000 crores by 2047. According to the government data, the Indian pharmaceutical industry is worth approximately US$ 5,000 crores with over US$ 2,500 crores of the value coming from exports. About 20% of the global exports in generic drugs are met by India. The current market size of the medical devices sector in India is estimated to be US$ 1,100 crores and its share in the global medical device market is estimated to be 1.5%. The government has set ambitious targets to boost the medical devices industry in India, aiming to elevate it from its current US$ 1,100 crores valuations to US$ 5,000 crores by 2030.

Company Information

Asston Pharmaceuticals Limited is engaged in the manufacturing and export of both pharmaceutical formulations and nutraceutical products in domestic and various African markets. Presently, the company is involved in the business of manufacturing and marketing of tablets, capsules, oral liquid, external preparations (ointment, cream, gel, and lotion) and oral powder (sachet, dry syrup) etc. Apart from manufacturing products for direct sales, they also manufacture various pharmaceutical products for different marketers on loan license or on a contract manufacturing basis. Their business is primarily conducted on a principal-to-principal basis with various marketers.

Anchor Investor Information

The Anchor Investor Bid/Issue Period shall be one Working Day prior to the Bid/Issue Opening Date.

IPO Registrar and Book Running Lead Managers

Book running lead managers:

Sobhagya Capital Options Private Limited

Registrar for the IPO is Maashitla Securities Private Ltd

Asston Pharmaceuticals Business Model

The company earns its revenue from the following sources:

• Export Sales: They develop and manufacture pharmaceutical products across various therapeutic areas for emerging markets through their WHO-GMP approved manufacturing facility at Ambarnath (Thane), Maharashtra.

• Sales on Contract Manufacturing/Loan License through Merchant Exporter: The company sells its products to a merchant exporter, who in turn sells them onwards.

• Domestic Sales: Sales within the domestic market are influenced by local economic conditions, consumer demand, and competitive pressures.

Asston Pharmceuticals Company Growth Trajectory

Total income for the financial year 2023-24 stood at ₹15.84 crores, whereas in the financial year 2022-23, the same stood at ₹7.19 crores, representing an increase of 120.26%. During the financial year 2023-24 the net revenue from the operation of the company increased to ₹15.59 crores as against ₹6.54 crores in the financial year 2022-23, representing an increase of 138.39%.

Asston Pharmaceuticals Company Market Position

They have established a relationship with around 10 pharmacies globally to whom they regularly export their products. They export their products to regulated markets like West Africa and South Africa. Their primary focus is on emerging markets in Africa and Asia.

How To Check Allotment Status of Asston Pharmaceuticals IPO?

You can check the allotment status of shares either on the website of the Bombay Stock Exchange (BSE) or on the website of the registrar Maashitla Securities Private Limited. To check the status on the BSE website:

• Visit the BSE website
• Click on “Investor Services” and choose “Application Status Check”
• Choose the issue type — Equity or Debt (Equity in this case)
• Select the Issue Name from the drop-down. The issue name is the company’s name, which is Asston Pharmaceuticals Limited
• Enter your application number or PAN number
• Check the box which says “I’m not a Robot” and click on “Search” to know the allotment status

Follow these steps to know the allotment status on the registrar’s website:

• Visit the Maashitla Securities Private Limited website
• Choose “Public Issues” from the “Investor Services” drop-down
• Select Asston Pharmaceuticals Limited from the drop-down
• Enter your PAN number or Application number
• Click on “Submit” to know the allotment status

How to Apply for Asston Pharmaceuticals IPO?

To apply for this 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