Onyx Biotec
Listing performance
Scheduled dates
Tentative timetable — a past date is not confirmation the step completed
Issue details
- IPO date
- 13 Nov 2024 – 18 Nov 2024
- Listing date
- 22 Nov 2024
- Face value
- ₹10 per share
- Issue price
- ₹61 per share
- Lot size
- 2,000 shares
- Issue type
- Book Building issue
- Listing at
- NSE
- Total issue size
- ₹29.34 Cr
- Market cap at offer price
- ₹111 Cr
- Promoter holding
- 88.60% → 65.10% pre-issue → post-issue
- ISIN
- INE0WVU01018
- Registrar
- MAS Services Ltd.
- Lead managers
- Horizon Management Pvt.Ltd.
- Registered office
- Bir Plassi, Near Sainimajraropar, Nalagarh Road, Himachal Pradesh
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 | 13,66,000 | — | — |
| Market maker | 2,44,000 | — | — |
Application size
Minimum 2,000 shares per lot, in multiples, at ₹61
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (min) | 1 | 2,000 | ₹1,22,000 |
| S-HNI (min) | 2 | 4,000 | ₹2,44,000 |
| S-HNI (max) | 8 | 16,000 | ₹9,76,000 |
| B-HNI (min) | 9 | 18,000 | ₹10,98,000 |
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 (₹) | 2.28 | 4.33 |
| P/E (×) | 26.75 | 14.09 |
| Price to book (×) | 3.10 | — |
| Market cap | — | ₹111 Cr |
Key performance indicators
- Return on net worth
- 4.99%
- ROCE
- 3.71%
- Debt / equity
- 1.21
- PAT margin
- 12.42%
- NAV per share
- ₹19.66
- Price to book
- 3.10
Single period as reported. Year-on-year movement is in the financials table below, where every period is published.
About Onyx Biotec
Onyx Biotec Limited was incorporated on May 13, 2005 as a private limited company and converted to a public limited company in May 2024. The company started operations in the pharmaceutical industry in 2010 with sterile water for injections and has since become a prominent supplier of sterile products to major pharmaceutical corporations across India. The company operates two manufacturing units in Solan, Himachal Pradesh. Onyx manufactures Sterile Water for Injections and acts as a pharmaceutical contract manufacturer offering a comprehensive range of Dry Powder Injections and Dry Syrup for India and overseas markets. The company's core business is focused on providing end-to-end product development and manufacturing solutions to clients, with products processed and manufactured in accordance with FDA practices and WHO-GMP certification. The company generates revenue through contract manufacturing services for pharmaceutical companies and sale of its own sterile products.
Company Analysis
from RHPOnyx Biotec manufactures sterile pharmaceutical products including sterile water for injections, dry powder injections, and dry syrup for pharmaceutical and contract manufacturing sectors in India and overseas.
Onyx Biotec Limited was incorporated on May 13, 2005 as a private limited company and converted to a public limited company in May 2024. The company started operations in the pharmaceutical industry in 2010 with sterile water for injections and has since become a prominent supplier of sterile products to major pharmaceutical corporations across India. The company operates two manufacturing units in Solan, Himachal Pradesh. Onyx manufactures Sterile Water for Injections and acts as a pharmaceutical contract manufacturer offering a comprehensive range of Dry Powder Injections and Dry Syrup for India and overseas markets. The company's core business is focused on providing end-to-end product development and manufacturing solutions to clients, with products processed and manufactured in accordance with FDA practices and WHO-GMP certification. The company generates revenue through contract manufacturing services for pharmaceutical companies and sale of its own sterile products.
Objects of the Issue
- Upgradation of existing manufacturing Unit I to manufacture large volume parenterals for intravenous use ₹607.70 lakhs p.20
- Setting up a high-speed cartooning packaging line at existing manufacturing Unit II for Dry Powder Injections ₹124.05 lakhs p.20
- Prepayment or repayment of all or a portion of certain loans availed by our Company ₹1,200.00 lakhs p.20
- General corporate purposes [●] p.20
- Upgradation of existing manufacturing Unit I to manufacture large volume parentals for intravenous use ₹607.70 lakhs p.80
- Setting up a high-speed cartooning packaging line at existing manufacturing Unit II for Dry Powder Injections ₹124.05 lakhs p.80
- Prepayment or repayment of all or a portion of certain loans availed by our Company ₹1,200.00 lakhs p.80
- General Corporate Purposes p.80
- Upgradation of existing manufacturing Unit I to manufacture large volume parenterals for intravenous use ₹607.70 lakhs p.115
- Setup of high-speed cartooning packaging line at existing manufacturing Unit II for Dry Powder Injections ₹124.05 lakhs p.115
- Upgradation of existing manufacturing Unit I to manufacture large volume parenterals for intravenous use ₹607.70 lakhs p.220
- Setup of high-speed cartooning packaging line at existing manufacturing Unit II for Dry Powder Injections ₹124.05 lakhs p.220
Issue Structure
- Total Issue
- Upto 48,10,000 Equity Shares aggregating up to ₹ [•] Lakhs
- Fresh Issue
- Upto 48,10,000 Equity Shares of ₹ [•]/- aggregating up to ₹ [•] Lakhs
- Offer for Sale
- NIL
- Price Band
- [●] to [●] per Equity Share
- Lot Size
- [●] Equity Shares
- Face Value
- ₹ 10/-
Business Model
Onyx operates primarily as a contract manufacturer for pharmaceutical companies, entering into agreements with clients to manufacture sterile pharmaceutical products including Sterile Water for Injections, Dry Powder Injections, and Dry Syrup. The company also manufactures and sells its own sterile products under the Onyx brand name. Revenue is generated through purchase orders from pharmaceutical clients and distributors. The company procures raw materials and packaging materials according to client specifications and regulatory requirements, manufactures products in its ISO and WHO-GMP certified facilities, and delivers finished products to clients.
Business Segments
SWOT Analysis
- • Experienced management team with proven project execution(p.92)
- • Strong relationships with marquee pharmaceutical clients(p.92)
- • Cost-effective manufacturing operations(p.92)
- • Prominent contract manufacturer in sterile pharma(p.92)
- • Quality assurance capabilities(p.92)
- • Established brand and market presence in sterile manufacturing(p.122)
- • Strong, long-term relationships with major pharmaceutical clients(p.123)
- • Comprehensive quality assurance and control systems(p.123)
- • WHO-GMP certified manufacturing facilities(p.126)
- • Favorable geographic location in pharmaceutical hub with low labour costs(p.122)
- • Experienced management team with industry expertise(p.124)
- • Established manufacturing presence with two operational units(p.150)
- • GMP certification from regulatory authority(p.150)
- • Significant capacity expansion achieved(p.150)
- • Experienced promoter management with 16+ years in pharma(p.157)
- • No material time/cost overruns on projects(p.150)
- • No defaults with financial institutions(p.150)
- • WHO-GMP accredited manufacturing facilities with modern equipment(p.220)
- • Dual manufacturing capacity across product categories(p.220)
- • Established relationships with major pharmaceutical companies(p.220)
- • Products manufactured to FDA standards(p.220)
- • High customer concentration risk(p.97)
- • Dependence on key managerial personnel(p.42)
- • High leverage and debt burden(p.88)
- • Inadequate insurance coverage risks(p.42)
- • Limited working capital capacity(p.42)
- • Heavy dependence on top 10 customers(p.123)
- • Limited in-house R&D capabilities(p.127)
- • Declining capacity utilization trend(p.135)
- • Small marketing team(p.125)
- • Heavy reliance on debt financing with debt-to-equity ratio of 1.21(p.210)
- • Personal guarantees from directors for bank loans(p.162)
- • Low cash position relative to borrowings(p.182)
- • Trade receivables exceeding six months from due date(p.198)
- • Concentration of shareholding among few promoters(p.188)
- • High debt-to-equity ratio deteriorating over time(p.213)
- • Declining current ratio indicating liquidity stress(p.213)
- • Negative debt service coverage ratio(p.213)
- • Declining profitability metrics(p.213)
- • Heavy dependence on top customers for revenue(p.223)
- • Significant finance costs relative to revenues(p.225)
- • Geographical concentration of manufacturing in Himachal Pradesh(p.221)
- • Upgrade Unit I to manufacture large-volume parentals for IV use(p.82)
- • Expand loan licensing arrangements for dry injections(p.82)
- • Install high-speed packaging line at Unit II(p.84)
- • Increase brand presence through institutional customers(p.82)
- • Expansion into large volume parentals for critical care healthcare(p.115)
- • International market expansion into CIS, African and Latin American countries(p.124)
- • Growth in Indian pharmaceutical sector and outsourcing opportunities(p.133)
- • India positioned as destination for contract manufacturing and clinical trials(p.133)
- • Expand loan licensing arrangements for dry injections(p.125)
- • Business strategy includes product development and manufacturing operations(p.151)
- • Scope to expand through new geographies and distribution channels(p.151)
- • Capacity to acquire technical knowledge and technology from external sources(p.151)
- • Joint venture and partnership capability for business expansion(p.152)
- • Expansion into large volume parenterals for intravenous use(p.220)
- • High-speed packaging line to improve efficiency and reduce costs(p.220)
- • Access to critical care healthcare segment(p.220)
- • Expected growth in turnover based on operational performance(p.224)
- • Improved capacity utilization at Unit II(p.223)
- • Regulatory changes in pharmaceutical and tax laws(p.48)
- • Heavy dependence on Indian economic conditions(p.49)
- • Currency exchange rate volatility(p.46)
- • Natural calamities and disasters(p.49)
- • Political instability and terrorism risks(p.50)
- • Global economic volatility(p.49)
- • Intense competition from large pharmaceutical players(p.133)
- • High capital intensity of pharmaceutical operations(p.133)
- • Rising regulatory compliance and quality standards(p.122)
- • Regulatory changes and legal challenges affecting market access(p.133)
- • Rising costs in developed markets and regulatory pressure(p.133)
- • Exposure to compliance with multiple labour laws and employment regulations(p.149)
- • Obligation to provide contract labour amenities or face penalties(p.149)
- • Mandatory provident fund and pension contributions increasing employment costs(p.149)
- • Applicability of Competition Act and anti-trust laws(p.150)
- • Any slowdown or shutdown in manufacturing operations(p.221)
- • Manufacturing or quality control concerns impacting client relationships(p.221)
- • Regulatory inspections and potential adverse actions(p.221)
- • Dependence on third-party suppliers for raw materials(p.221)
- • Post-COVID decline in demand for core sterile water product(p.228)
- • Fragmented and competitive industry with low entry barriers(p.230)
Promoters
| Name | Role | Pre-Issue | Post-Issue |
|---|---|---|---|
| Sanjay Jain | Promoter | 29.23% | — |
| Naresh Kumar | Promoter | 32.63% | — |
| Fateh Pal Singh | Promoter | 26.73% | — |
| Harsh Mahajan | Promoter | — | — |
| Lakshya Jain | Promoter | — | — |
| Parmjeet Kaur | Promoter | — | — |
| Naresh Kumar | Promoter | 32.63% | 23.97% |
| Sanjay Jain | Promoter | 29.23% | 21.48% |
| Fateh Pal Singh | Promoter | 26.73% | 19.64% |
| Sanjay Jain | Promoter/Managing Director | — | — |
| Naresh Kumar | Promoter/Wholetime Director | — | — |
| Sanjay Jain | Promoter | 29.23% | — |
| Naresh Kumar | Promoter | 32.63% | — |
| Fateh Pal Singh | Promoter | 26.73% | — |
| Harsh Mahajan | Promoter | — | — |
| Lakshya Jain | Promoter | — | — |
| Parmjeet Kaur | Promoter | — | — |
| Sanjay Jain | Promoter | — | — |
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.