Akums Drugs share price makes a lukewarm debut, stock opens with a mere 7% premium at ₹725 apiece on NSE

Akums Drugs share price made a lukewarm debut on the bourses today. On NSE and BSE, Akums Drugs share price today opened at ₹725 apiece, up 6.8% than the issue price of ₹679.

Market experts anticipated Akums Drugs share price to open in the range of ₹780 to ₹800 apiece.

Qualified institutional buyers and non-institutional investors drove the strong response to Akums Drugs and Pharmaceuticals Ltd.'s initial public offering on the last day of bidding today. The IPO subscription status for Akums Drugs and Pharmaceuticals was 63.44 times, based on data from the BSE. Non-institutional investors subscribed to the quota 42.10 times, compared to 20.80 times for retail investors. While the segment reserved for Qualified Institutional Buyers (QIBs) got subscriptions 90.09 times, the employee portion was booked 4.14 times.

The public subscription period for the offer was concluded on Thursday, August 1, after it opened on July 30. The issue's price bandwas set at between ₹646 and ₹679. The company said that, in advance of the public subscription period for its share sale launch, it had obtained ₹829 crore from anchor investors.

In 2004, Akums was founded as a contract development and production organisation (CDO) for pharmaceuticals. It offers a wide variety of pharmaceutical products and services both domestically in India and globally.

Akums Drugs and Pharmaceuticals IPO details

Akums Drug IPO, which is worth ₹1,857 crore, comprises a fresh issue of ₹680 crore, and an offer-for-sale (OFS) of 17,330,435 equity shares by the promoters and other investors.

Promoters Sanjeev and Sandeep Jain will each sell 15.12 lakh equity shares in the OFS, while investors Ruby QC Investment Holdings Pte Ltd plans to sell 1.43 crore shares.

The company's and its subsidiaries' (Pure and Cure Healthcare, Maxcure Nutravedics, and Pure) debts will be settled with the net proceeds of the new offering. Inorganic growth initiatives and higher working capital requirements will also be funded by the IPO's revenues.

For the Akums Drugs & Pharmaceuticals IPO, ICICI Securities Ltd., Axis Bank Ltd., Citigroup Global Markets India Private Ltd., and Ambit Private Ltd. are the book running lead managers. The offering's registrar is Link Intime India Private Ltd.

Akums Drugs and Pharmaceuticals IPO GMP today

Akums Drugs IPO GMP today or Akums Drugs IPO grey market premium is +43. This indicates Akums Drugs share price were trading at a premium of ₹43 in the grey market, according to investorgain.com.

Taking into consideration the upper end of the IPO pricing band and the current premium on the grey market, Akums Drugs' estimated listing price was proposed at ₹722 per share, 6.33% higher than the IPO price of ₹679.

'Grey market premium' indicates investors' readiness to pay more than the issue price.

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