Emcure Pharmaceuticals
Mainboard₹1,952 Cr issue
+31.45%
Listing gain over issue price
Issue size
₹1,952 Cr
1 lot at cut-off
₹14,112
Lot size
14shares
Open
03 Jul 2024
Close
05 Jul 2024
Allotment
08 Jul 2024
Listing
10 Jul 2024
Listing performance
Issue price
₹1,008
Listed at
₹1,325.05
Listing-day close
₹1,359.15
Latest price
₹1,770.40
Close on 23 Oct 2026
Listing gain
+31.45%
Return since issue
+75.63%
Scheduled dates
Tentative timetable — a past date is not confirmation the step completed
Issue details
- IPO date
- 03 Jul 2024 – 05 Jul 2024
- Listing date
- 10 Jul 2024
- Face value
- ₹10 per share
- Issue price
- ₹1,008 per share
- Lot size
- 14 shares
- Total issue size
- ₹1,952 Cr
- Market cap at offer price
- ₹19,030 Cr
- Promoter holding
- 83.21% → 78.08% pre-issue → post-issue
- ISIN
- INE168P01015
- Registrar
- MUFG Intime India Pvt.Ltd.
- Lead managers
- Kotak Mahindra Capital Co.Ltd.
- Registered office
- Plot No.P-1 and P-2, IT-BT Park, Phase II, M.I.D.C., Hinjawadi, Maharashtra
Reservation and application size
How the issue is split between investor categories, and what each may bid
| Investor category | Shares | % of net | % of total |
|---|---|---|---|
| Anchor investor · within QIB | 57,79,850 | — | — |
| Market maker | 0 | — | — |
Application size
Minimum 14 shares per lot, in multiples, at ₹1,008
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (min) | 1 | 14 | ₹14,112 |
| Retail (max) | 14 | 196 | ₹1,97,568 |
| S-HNI (min) | 15 | 210 | ₹2,11,680 |
| S-HNI (max) | 70 | 980 | ₹9,87,840 |
| B-HNI (min) | 71 | 994 | ₹10,01,952 |
Category limits
| Category | Bid size | Cut-off |
|---|---|---|
| Retail (RII) | Up to ₹2 lakh | Yes |
| Small HNI (sNII) | ₹2 lakh – ₹10 lakh | No |
| Big HNI (bNII) | Above ₹10 lakh | No |
| Employee | Up to ₹5 lakh | Yes |
Bidding at cut-off means accepting the final issue price without naming one. Only retail and employee applicants may do so.
Anchor investors
Institutional allocation placed a day before the issue opens, carved out of the QIB portion and locked in after listing.
Shares allocated
57,79,850
Anchor portion
₹583 Cr
at ₹1,008 per share
Valuation and performance
Valuation at offer price
₹1,008 per share
| Metric | Pre-issue | Post-issue |
|---|---|---|
| EPS (₹) | 29.17 | 27.95 |
| P/E (×) | 34.56 | 36.06 |
| Price to book (×) | 6.18 | — |
| Market cap | — | ₹19,030 Cr |
Key performance indicators
Latest reported period
- Return on net worth
- 16.87%
- ROCE
- 19.37%
- Debt / equity
- 0.67
- PAT margin
- 7.86%
- NAV per share
- ₹163.22
- Price to book
- 6.18
Single period as reported. Year-on-year movement is in the financials table below, where every period is published.
About Emcure Pharmaceuticals
Emcure Pharmaceuticals Limited was originally incorporated as a private limited company under the Companies Act, 1956 on April 16, 1981. The company became a deemed public company in 1993 and was converted to a public company in 2001. The company is a research and development driven pharmaceutical company with a differentiated product portfolio that includes orals, injectables and biotherapeutics, which has enabled it to reach target markets across over 70 countries, with a strong presence in India, Europe and Canada. In India, the company is present across acute and chronic therapeutic areas, with key therapeutic areas including gynecology, cardiovascular, vitamins, minerals and nutrients, human immunodeficiency virus antivirals, blood-related and oncology/anti-neoplastics.
Company Analysis
from RHPEmcure Pharmaceuticals Limited is an Indian pharmaceutical company engaged in developing, manufacturing and globally marketing a broad range of pharmaceutical products across several major therapeutic areas including orals, injectables and biotherapeutics.
Emcure Pharmaceuticals Limited was originally incorporated as a private limited company under the Companies Act, 1956 on April 16, 1981. The company became a deemed public company in 1993 and was converted to a public company in 2001. The company is a research and development driven pharmaceutical company with a differentiated product portfolio that includes orals, injectables and biotherapeutics, which has enabled it to reach target markets across over 70 countries, with a strong presence in India, Europe and Canada. In India, the company is present across acute and chronic therapeutic areas, with key therapeutic areas including gynecology, cardiovascular, vitamins, minerals and nutrients, human immunodeficiency virus antivirals, blood-related and oncology/anti-neoplastics.
PharmaceuticalsOralsInjectablesBiotherapeutics
Objects of the Issue
- Repayment and/or prepayment of all or a portion of certain outstanding borrowings availed by our Company ₹6,000.00 million p.25
- General corporate purposes p.25
- Repayment and/or prepayment of all or a portion of certain outstanding borrowings availed by our Company p.87
- General corporate purposes p.87
- Fresh Issue of Equity Shares aggregating up to ₹8,000.00 million ₹8,000.00 million p.102
- Repayment and/or prepayment of all or a portion of certain outstanding borrowings availed by our Company ₹6,000.00 million p.156
- General corporate purposes p.163
- Fresh Issue ₹8,000.00 million p.494
Issue Structure
- Total Issue
- Up to [●] Equity Shares of face value of ₹10 each, aggregating up to [●] million
- Fresh Issue
- Up to [●] Equity Shares of face value of ₹10 each, aggregating up to ₹8,000.00 million
- Offer for Sale
- Up to 11,428,839 Equity Shares of face value of ₹10 each, aggregating up to [●] million
- Price Band
- [●] per Equity Share (Floor Price) to [●] per Equity Share (Cap Price)
- Lot Size
- [●] Equity Shares of face value of ₹10 each and in multiples of [●] Equity Shares of face value of ₹10 each thereafter
- Face Value
- ₹10 each
Business Model
The company develops, manufactures and globally markets pharmaceutical products across several major therapeutic areas. It operates across domestic formulation sales in India and international markets across over 70 countries.
Business Segments
Manufacture and sale of branded generic pharmaceutical formulations
Manufacture and sale of generic pharmaceutical formulations
Manufacture and sale of active pharmaceutical ingredients
Manufacture and sale of branded patented pharmaceutical products
Sale of branded pharmaceutical formulations in the Indian market, subject to price controls for certain products listed on the National List of Essential Medicines.
Manufactures and sells pharmaceutical products for treatment of chronic diseases including cardiovascular diseases, anti-diabetic treatments, respiratory disorders, neurological conditions, gynecological treatments, and other chronic conditions
Manufactures and sells pharmaceutical products for treatment of acute diseases including anti-infectives, gastro-intestinal treatments, pain and analgesics, and dermatological treatments
Includes Hematinics and Iron combinations, Progestogen and similar combinations. Key brands include Orofer-XT, Orofer-FCM, Orofer-S, Ferium-XT, Feronia, Galact and Emprogest.
Includes chiral pure molecules, calcium channel blockers, beta blockers, anti-hypersensitive combinations, statins, anti-coagulants and diuretic combinations. Key brands include Metpure, Eslo, Elaxim, Lomoh and Asomex.
Comprises cephalosporins and ampicillin. Key brands include Zostum, Augpen, Merotec, Tazotum and Scavista.
Includes multi-vitamins with nutrients, metabolites and protein supplements. Key brands include Bevon, Zinconia, Coralium D3, Zu-C 500 and Vitanova.
Comprises antiretrovirals. Key brands include Spegra, Instgra, Vonavir, Viropil and Atazor-R.
Board of directors primarily use revenue as a measure to assess the performance of the operating segment. The Group's board of directors examine the Group's performance and have identified single reportable operating segment, viz. 'Pharmaceuticals'
SWOT Analysis
Strengths
- • Established pharmaceutical company with diversified therapeutic portfolio reaching 70+ countries(p.24)
- • Multi-product presence across acute and chronic therapeutic areas with key focus areas including gynecology, cardiovascular, and specialty segments(p.24)
- • No critical adverse remarks from regulatory inspections over three years(p.48)
- • Global regulatory approvals and GMP certificates from multiple agencies(p.48)
- • No material non-compliance or quality issues over three years(p.48)
- • Diversified supplier base across multiple geographies(p.52)
- • No single supplier concentration risk(p.52)
- • Significant revenue contribution from core therapeutic areas(p.64)
- • Strong market presence in India with 5,000+ field force(p.57)
- • No marketing and distribution agreements terminated in past three years(p.58)
- • Employee stock option scheme established to reward performance and motivate contribution(p.149)
- • Strong credit ratings maintained across rating agencies(p.163)
- • Improving debt-to-equity ratio demonstrating deleveraging(p.155)
- • Leading market position in gynecology with 1st rank and 13.53% market share(p.235)
- • Dominant positions in specialty molecules with >50% market share(p.225)
- • Strong R&D capabilities with 548 qualified scientists and 220 patents granted(p.222)
- • Vertical integration through in-house API manufacturing(p.229)
- • High specialist prescriber penetration at 70.67%(p.225)
- • Consistent outperformance in key therapeutic areas(p.225)
- • 13 manufacturing facilities with diverse dosage form capabilities(p.236)
- • First-mover advantage in multiple specialty products(p.237)
- • Strong capital structure with low gearing ratio(p.374)
- • Diversified geographic revenue base with significant international presence(p.384)
- • Material non-controlling interests in profitable subsidiaries(p.404)
Weaknesses
- • Significant debt burden requiring repayment from IPO proceeds(p.25)
- • Material contingent liabilities including income tax matters and indirect tax disputes(p.28)
- • Material litigation risk with civil case against group company Heritage that could have material impact(p.27)
- • USFDA warning letter for three manufacturing facilities with import alert(p.48)
- • High working capital requirements with 128-day cycle(p.53)
- • Significant working capital borrowings at 40% of requirements(p.54)
- • Expired inventory losses at 2.1% of product revenue(p.56)
- • High attrition rate of 33.39%(p.85)
- • Negative cash position historically(p.61)
- • Contingent income tax liabilities of ₹2,613.39 million(p.61)
- • Past product recalls with losses of ₹26.07 million(p.48)
- • Reliance on internal data systems with potential for inaccuracy(p.91)
- • Limited dividend payment capacity constrained by financing obligations(p.91)
- • Risk of material inaccuracies in disclosed operating metrics(p.91)
- • Subsidiaries may not pay dividends on shares held(p.91)
- • Exposure to compulsory licensing reducing patent protection(p.92)
- • High exposure to price controls on limited product portfolio(p.92)
- • Risk of untraceable corporate records and secretarial documents(p.122)
- • Biotherapeutics manufacturing dependent on unpredictable AI/ML systems(p.93)
- • Declining profitability margins over recent fiscals(p.173)
- • Declining EBITDA margins indicating operational pressure(p.173)
- • Decreasing return on capital employed(p.174)
- • Interest coverage ratio declining, indicating reduced cushion for debt servicing(p.155)
- • Significant outstanding borrowings requiring prepayment(p.155)
- • Low prescriber penetration with only 17.50% prescribers using >5 products vs peers at 25%+(p.231)
- • Declining PAT margin from 11.87% (FY2022) to 7.86% (FY2024)(p.224)
- • Lower covered market presence at 52.66% vs peers with 61-67%(p.225)
- • Declining RoE from 33.23% (FY2022) to 16.90% (FY2024)(p.224)
- • Recent decline in cardiovascular sales with negative 3-year CAGR of -5.26%(p.234)
- • Complex regulatory compliance across multiple labor and employment laws(p.266)
- • Dependence on property leases from related parties(p.312)
- • Concentrated promoter shareholding creates governance risk(p.311)
- • Audit trail deficiencies in accounting software systems(p.320)
- • Contingent liabilities from tax and regulatory disputes(p.381)
- • Litigation exposure related to drug pricing in US markets(p.381)
- • Unrecognized deferred tax assets on loss carryforwards(p.373)
- • Dependence on contingent consideration realization from acquisitions(p.408)
- • Income tax search and seizure uncertainty with unquantified potential liability(p.411)
- • Arbitration and lawsuit proceedings with uncertain financial impact relating to COVID vaccine(p.411)
- • Significant income tax disputes pending across multiple assessment years(p.412)
- • Material contingent tax liabilities from indirect tax and income tax matters(p.446)
- • Ongoing regulatory investigation by Registrar of Companies with outstanding compounding matters(p.452)
Opportunities
- • High growth trajectory in Indian domestic pharmaceutical market with 8-9% CAGR through FY2029(p.24)
- • Global pharmaceutical market expansion opportunity with sustained 5.0-5.5% CAGR through 2028(p.24)
- • Capital raised through IPO can support expansion and reduce financial leverage(p.25)
- • Expansion of market share in domestic market(p.76)
- • Deepening and expanding international presence(p.76)
- • Strategic acquisitions and partnerships(p.76)
- • Investment in R&D and manufacturing capabilities(p.76)
- • Growth in key therapeutic areas with established market presence(p.65)
- • Strategic marketing compliance under mandatory UCPMP 2024(p.93)
- • Expansion through acquisition-driven growth strategy(p.96)
- • Repayment and prepayment of high-cost borrowings to reduce finance costs(p.156)
- • General corporate purposes including acquisitions and inorganic growth(p.163)
- • Global pharmaceutical market growth at 5.0-5.5% CAGR through 2028(p.192)
- • Indian domestic formulations market to grow at 8-9% CAGR(p.203)
- • Biosimilars opportunity with increasing patent expiries(p.196)
- • Domestic market expected to grow at 8-9% CAGR to ₹2.9-3.0 trillion by FY2029(p.231)
- • Women's healthcare market expansion with rising awareness and healthcare spend(p.220)
- • Room to expand covered markets from current 52.66%(p.231)
- • Strategy to increase prescriber penetration through sales force expansion(p.231)
- • Investment in biotherapeutics and novel drug delivery systems for growth(p.232)
- • International expansion with over 70 countries presence and growth opportunities(p.227)
- • Strategic partnerships and in-licensing arrangements to expand portfolio(p.232)
- • Expansion through recent acquisition of Mantra Pharma Inc.(p.408)
- • International market penetration through established subsidiary network(p.377)
- • Government incentive schemes available(p.406)
Threats
- • Extensive regulatory environment in multiple jurisdictions with risk of non-compliance(p.45)
- • Dependency on third-party suppliers for raw materials and finished products with pricing risk(p.45)
- • Manufacturing and quality control risks affecting operations(p.45)
- • Exposure to market competition and changing competitive landscape(p.45)
- • Macro-economic risks including inflation, foreign exchange, and interest rate volatility(p.45)
- • Regulatory action and facility closure risks(p.48)
- • Manufacturing and operational disruptions(p.50)
- • Delays in regulatory approvals(p.50)
- • Supply disruptions and price volatility for raw materials(p.52)
- • Pricing pressure from customers(p.75)
- • Intense competitive industry pressure(p.79)
- • Government price controls on products(p.75)
- • Foreign exchange volatility on 51.72% of revenue(p.78)
- • Dependence on third-party transportation providers(p.76)
- • Interest rate fluctuations on floating rate borrowings(p.74)
- • Government price controls limiting revenue from key products(p.92)
- • Regulatory uncertainty from draft Drugs, Medical Devices and Cosmetics Bill 2022(p.94)
- • Broader Indian economic and political risks affecting operations(p.94)
- • Regulatory changes in labour laws increasing financial burden(p.95)
- • CCI ongoing competition law proceedings creating regulatory risk(p.96)
- • Foreign investment restrictions limiting capital availability(p.97)
- • Difficulty enforcing foreign judgments against the company(p.97)
- • Potential for significant equity dilution from future issuances(p.99)
- • Stock price volatility and lack of active trading market post-IPO(p.98)
- • Technological obsolescence requiring substantial capital investments(p.93)
- • Patent cliffs and pricing pressure in conventional generics segment(p.208)
- • Intense competition in Indian pharmaceutical market from larger players(p.210)
- • Global growth moderation expected due to fiscal consolidation and rising borrowing costs(p.189)
- • Regulatory changes and compliance requirements for capital structure(p.82)
- • Price controls on essential medicines affecting 17.39% of domestic sales(p.229)
- • High competitive intensity from larger peers in domestic market(p.249)
- • Dependence on third-party suppliers with no long-term contracts(p.249)
- • Regulatory changes including proposed Drugs Bill, 2022 with expanded scope(p.261)
- • Chronic therapy sales declining with 4.48% CAGR (3-year) vs 9.11% IPM growth(p.223)
- • Ongoing regulatory uncertainty from income tax proceedings(p.320)
- • Pending litigation and arbitration with material financial implications(p.320)
- • Complex foreign trade regulations and import restrictions on ethyl alcohol(p.269)
- • FDI restrictions on brownfield pharmaceutical projects(p.268)
- • Regulatory consolidation through labor codes creates compliance uncertainty(p.266)
- • Foreign exchange volatility exposure across multiple currencies(p.377)
- • Interest rate risk on variable rate borrowings(p.378)
- • Regulatory and litigation risks in US pharmaceutical market(p.382)
- • Patent litigation and product launch restrictions(p.381)
- • Trade receivables collection risk(p.374)
- • Anti-competitive litigation risk in U.S. generic pharmaceuticals market(p.454)
- • Significant regulatory compliance obligations across multiple jurisdictions(p.429)
- • Dependence on raw material supply without long-term contracts(p.429)
- • Foreign currency exposure from international operations(p.448)
- • Pending criminal matters related to drug quality and misbranding allegations(p.452)
Promoters
| Name | Role | Pre-Issue | Post-Issue |
|---|---|---|---|
| Satish Ramanlal Mehta | Promoter | 41.85% | — |
| Sunil Rajanikant Mehta | Promoter | 1.59% | — |
| Namita Vikas Thapar | Promoter | 3.50% | — |
| Samit Satish Mehta | Promoter | 7.48% | — |
| Promoters and Promoter Group | Promoter Group | 83.21% | — |
| Satish Ramanlal Mehta | Promoter | 41.85% | — |
| BC Investments IV Limited | Investor Selling Shareholder | 13.07% | — |
| Sunil Rajanikant Mehta | Promoter | 1.59% | — |
| Namita Vikas Thapar | Promoter | 3.50% | — |
| Samit Satish Mehta | Promoter | 7.48% | — |
| Satish Ramanlal Mehta | Promoter | — | — |
| Satish Ramanlal Mehta | Promoter | — | — |
| Satish Ramanlal Mehta | Promoter | 41.85% | — |
| Sunil Rajanikant Mehta | Promoter | 1.59% | — |
| Namita Vikas Thapar | Promoter | 3.50% | — |
| Samit Satish Mehta | Promoter | 7.48% | — |
| Satish Mehta | Promoter | 41.85% | — |
| Sunil Mehta | Promoter | 1.59% | — |
| Samit Mehta | Promoter | 7.48% | — |
| Namita Thapar | Promoter | 3.50% | — |
| Satish Mehta | Promoter/Managing Director & CEO | — | — |
| Satish Ramanlal Mehta | Promoter | — | — |
| Sunil Rajanikant Mehta | Promoter | — | — |
| Namita Vikas Thapar | Promoter | — | — |
Leadership
Berjis Minoo Desai · Chairman
Satish Ramanlal Mehta · Managing Director and Chief Executive Officer
Tajuddin Sabir Shaikh · Chief Financial Officer
Chetan Rajendra Sharma · Company Secretary and Compliance Officer
Auto-extracted from the company's RHP using AI, with each fact linked to its source passage (hover any row to see the quote & page). Provided for research only, not investment advice — verify against the official RHP before relying on it.
Emcure Pharmaceuticals IPO FAQs
What is the lot size of Emcure Pharmaceuticals IPO?
The minimum lot size of Emcure Pharmaceuticals IPO is 14 shares. One lot costs ₹14,112 at the cut-off price.
When does Emcure Pharmaceuticals IPO open and close?
Emcure Pharmaceuticals IPO opened for subscription on 03 Jul 2024 and closed on 05 Jul 2024.
What is the listing date of Emcure Pharmaceuticals IPO?
Emcure Pharmaceuticals IPO listed on 10 Jul 2024.