Mankind Pharma IPO Opens to a Slow Start, Subscribed Only 6% on Day 1

Mankind Pharma’s IPO was in news since a couple of days. On the first day which is Tuesday, it had a subscription rate of 6% at the time of writing the news as the investors stayed on the sidelines. The non-institutional investors (NIIs) accounted for about 7% of the subscription, while the retail investors subscribed to approximately 5% of their allotted quota. As per data available on BSE, the company has received bids for 10,94,145 shares against the total offer of 2,80,41,192 shares.

Bids for the QIBs’ portion of the shares on offer for this segment amounted to 1,170 shares against the total of 80,11,769 shares. Similarly, the non-institutional investors’ portion received bids for 4,48,591 shares out of the total of 60,08,827 shares on offer for this segment.

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Bids for the retail investors’ portion of shares on offer for this segment amounted to 6,44,384 shares, while the total number of shares on offer for this segment was 1,40,20,596. On the other hand, no subscriptions were made for the employees’ portion.

Mankind Pharma’s IPO opened for subscription on April 25 and will close on April 27. The price band for the proposed initial public offer has been set at ₹1,026 to ₹1,080 per equity share. The public offering consists of an offer-for-sale (OFS) of 40,058,844 equity shares by the existing shareholders and promoters. Each equity share has a face value of ₹1.

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At the upper end of the price range, the company aims to raise a maximum of ₹4,326.36 crore through the IPO. The IPO is being conducted through the book-building process, where non-institutional investors must be offered at least 15% of the total offer, retail individual investors must be offered at least 35%, and a maximum of 50% can be allocated to qualified institutional buyers.

Kotak Mahindra Capital Company Ltd, Axis Capital Ltd, IIFL Securities Ltd, Jefferies India Private Ltd, and JP Morgan India Private Ltd are the book-running lead managers (BRLMs) for the Mankind Pharma IPO. The registrar for the IPO is KFin Technologies Ltd. The shares are expected to be listed on both BSE and NSE on Monday, May 8.

(This is a developing story)