Medicamen Organics
Listing performance
Scheduled dates
Tentative timetable — a past date is not confirmation the step completed
Issue details
- IPO date
- 21 Jun 2024 – 25 Jun 2024
- Listing date
- 28 Jun 2024
- Face value
- ₹10 per share
- Issue price
- ₹34 per share
- Lot size
- 4,000 shares
- Issue type
- Book Building issue
- Total issue size
- ₹10.54 Cr
- Market cap at offer price
- ₹39.78 Cr
- Promoter holding
- 81.21% → 59.69% pre-issue → post-issue
- ISIN
- INE0PE401018
- Registrar
- Kfin Technologies Ltd.
- Lead managers
- GYR Capital Advisors Pvt.Ltd.
- Registered office
- 10 Community Centre, No 2 Ashok Vihar Phase II, New Delhi
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 | 8,76,000 | — | — |
| Market maker | 1,72,000 | — | — |
Application size
Minimum 4,000 shares per lot, in multiples, at ₹34
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (min) | 1 | 4,000 | ₹1,36,000 |
| S-HNI (min) | 2 | 8,000 | ₹2,72,000 |
| S-HNI (max) | 7 | 28,000 | ₹9,52,000 |
| B-HNI (min) | 8 | 32,000 | ₹10,88,000 |
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.
Valuation and performance
Valuation at offer price
| Metric | Pre-issue | Post-issue |
|---|---|---|
| EPS (₹) | 1.11 | 2.21 |
| P/E (×) | 30.63 | 15.38 |
| Price to book (×) | 2.39 | — |
| Market cap | — | ₹39.78 Cr |
Key performance indicators
- Return on net worth
- 15.83%
- ROCE
- 14.50%
- Debt / equity
- 0.83
- PAT margin
- 9.51%
- NAV per share
- ₹17.66
- Price to book
- 2.39
Single period as reported. Year-on-year movement is in the financials table below, where every period is published.
About Medicamen Organics
Medicamen Organics Limited was incorporated on March 15, 1995 as 'Panchdeep Pharmaceuticals Limited' and renamed to 'Medicamen Organics Limited' on November 14, 1995. The company operates a B2B contract manufacturing model, producing pharmaceutical dosages for government (both state and central) and private institutions. Products are marketed across India and internationally (Congo, Benin, Cameroon, Togo, Senegal, Burkina Faso, Philippines, Myanmar, Mozambique, Burundi, Kyrgyzstan, and Kenya) through third-party distributors or on a loan license basis. The company has a track record of exporting directly—for instance, exporting products to Burundi in fiscal 2023. Revenue from operations for fiscal 2024, 2023, and 2022 were ₹2,527.17 lakhs, ₹2,214.71 lakhs, and ₹2,097.52 lakhs respectively.
Company Analysis
from RHPMedicamen Organics Limited develops, manufactures, and distributes a broad range of pharmaceutical dosages including tablets, capsules, oral liquids, ointments, gels, syrups, suspensions, and dry powders for government and private institutions as a contract/third-party manufacturer, marketing products domestically and internationally.
Medicamen Organics Limited was incorporated on March 15, 1995 as 'Panchdeep Pharmaceuticals Limited' and renamed to 'Medicamen Organics Limited' on November 14, 1995. The company operates a B2B contract manufacturing model, producing pharmaceutical dosages for government (both state and central) and private institutions. Products are marketed across India and internationally (Congo, Benin, Cameroon, Togo, Senegal, Burkina Faso, Philippines, Myanmar, Mozambique, Burundi, Kyrgyzstan, and Kenya) through third-party distributors or on a loan license basis. The company has a track record of exporting directly—for instance, exporting products to Burundi in fiscal 2023. Revenue from operations for fiscal 2024, 2023, and 2022 were ₹2,527.17 lakhs, ₹2,214.71 lakhs, and ₹2,097.52 lakhs respectively.
Objects of the Issue
- Product registration in the international markets Up to ₹300 lakhs p.22
- Plant updation and increase in production capacity Up to ₹225 lakhs p.22
- To meet Working Capital requirements Up to ₹400 lakhs p.22
- General corporate purposes Up to [●] lakhs (not to exceed 25% of Gross Proceeds) p.22
- Funding of expenses proposed to be incurred towards Product registration in the international markets Up to 300.00 lakhs p.79
- Plant updation and increase in production capacity Up to 225.00 lakhs p.79
- Funding working capital requirements of our Company Up to 400.00 lakhs p.79
- General corporate purposes [●] p.79
Issue Structure
- Total Issue
- Up to ₹ [•] lakhs
- Fresh Issue
- Upto 31,00,000 Equity Shares of face value of ₹ 10 each aggregating up to ₹ [•] lakhs
- Offer for Sale
- Nil
- Price Band
- Price Band of a minimum price (Floor Price) of ₹ [●] and the maximum price (Cap Price) of ₹ [●]
- Lot Size
- [•] Equity Shares and in multiples of [•] Equity Shares thereafter
- Face Value
- ₹ 10 each
Business Model
The company earns revenue through contract manufacturing (third-party manufacturing) for pharmaceutical companies and government institutions, marketing products on a B2B basis domestically and internationally through third-party distributors.
Business Segments
SWOT Analysis
- • Experienced management team with deep industry expertise(p.110)
- • WHO GMP certified manufacturing facilities with quality certifications(p.110)
- • Diversified product portfolio across multiple therapeutic areas(p.110)
- • Scalable business model with order-driven, resource-efficient operations(p.110)
- • Geographic diversification across India and international markets(p.110)
- • Strong profitability growth with improving margins(p.110)
- • WHO GMP certified manufacturing facilities with modern equipment(p.112)
- • Wide product portfolio across multiple formulations and geographies(p.112)
- • Established relationships with distributors and established supply chains(p.113)
- • In-house quality control laboratories and engineering departments(p.114)
- • Spare manufacturing capacity available for growth(p.114)
- • High dependence on contract manufacturing revenue model(p.109)
- • Significant increase in short-term borrowings(p.50)
- • Rising working capital requirements limiting operational flexibility(p.83)
- • Substantially increased trade receivables creating cash flow pressure(p.50)
- • Limited corporate infrastructure and governance(p.53)
- • Heavy dependence on a limited customer base for revenue(p.113)
- • Limited brand awareness in key markets(p.113)
- • Absence of formal long-term financing arrangements(p.113)
- • Reliance on licensed trademark that could be withdrawn(p.128)
- • Reduced capacity utilization in Unit I (44% in FY 2023-24)(p.123)
- • Expansion into international markets with product registration(p.81)
- • Plant capacity expansion to capture growing pharmaceutical demand(p.82)
- • Strong growth trajectory in Indian pharmaceutical industry(p.103)
- • Growing export opportunities and global demand for Indian generic medicines(p.104)
- • Direct export expansion strategy to capture higher margins(p.107)
- • Government initiatives supporting pharmaceutical sector growth(p.105)
- • Expansion into new geographical markets with 42 products under registration(p.111)
- • Significant growth in iron tablet exports to new markets(p.111)
- • Capacity expansion to support 5-year growth(p.111)
- • Opportunity to establish local presence in international markets(p.111)
- • Direct export strategy to reduce dependence on intermediaries(p.113)
- • Intense competition in pharmaceutical generics market(p.102)
- • Regulatory and compliance risks in international markets(p.81)
- • Dependence on third-party distributors for market access(p.107)
- • Currency and commodity price volatility impacts(p.80)
- • Global economic uncertainty affecting pharmaceutical demand(p.101)
- • Compliance with varying pharmaceutical regulations across markets(p.107)
- • Volatility in raw material prices affecting production costs(p.113)
- • Intense competition from both organized and unorganized players(p.124)
- • Regulatory changes affecting pricing and operations(p.113)
- • Complex and evolving regulatory compliance requirements across multiple jurisdictions(p.111)
- • Dependence on contract manufacturing relationships(p.112)
Promoters
| Name | Role | Pre-Issue | Post-Issue |
|---|---|---|---|
| Mr. Bal Kishan Gupta | Promoter | 70.96% | — |
| Mr. Ashutosh Gupta | Promoter | 6.83% | — |
| Bal Kishan Gupta | Promoter | 70.96% | [●] |
| Ashutosh Gupta | Promoter | 6.83% | [●] |
| B. K. Gupta & Sons | Promoter Group | 0.03% | [●] |
| Ritu Gupta | Promoter Group | 3.33% | [●] |
| Ishaan Gupta | Promoter Group | 0.08% | [●] |
| Bal Kishan Gupta | Promoter/Chairman and Managing Director | 70.96% | — |
| Ashutosh Gupta | Promoter/Whole-Time Director | 6.83% | — |
| Bal Kishan Gupta | Promoter | 70.96% | — |
| Ashutosh Gupta | Promoter | 6.83% | — |
Leadership
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.