Mankind Pharma's IPO Subscribed 87% on day 2 of Issue

On Wednesday, the penultimate day of the sale, Mankind Pharma's initial public offering was subscribed to 87%. Institutional investors subscribed 1.86 times, rich investors 1.02 times, and regular investors 25%. Mankind Pharma distributed Rs 1,298 crore of shares to 77 anchor investors on Monday, including 16 domestic mutual funds that participated through 41 schemes. The company's initial public offering (IPO) has been set at Rs 1,026 to Rs 1,080 per share. The Rs 4,326-crore IPO is purely a secondary share sale by the company's proprietors, global private equity firm Cairnhill, and some other investors.

Mankind is India's fourth-largest pharmaceutical firm by domestic sales and third-largest by sales volume. The company develops, manufactures, and markets pharmaceutical formulations as well as a variety of consumer healthcare products. Because the company is focused on the domestic market, revenue from operations in India accounted for 97.60% of total revenue from operations for the fiscal year 2021-22.

Since entering the consumer healthcare business in 2007, the company has built numerous distinct brands in the fields of condoms, pregnancy detection, emergency contraception, antacid powders, vitamin and mineral supplements, and anti-acne products. The company sells the Manforce brand of condoms, which has a 30% market share, and the Prega News pregnancy test kit, which has an 80% market share. As of December 31, 2022, the corporation operated 25 production plants around the country and employed 4,121 manufacturing workers.

Its formulations manufacturing facilities have a total installed capacity of 42.05 billion units per year for a variety of dosage forms such as tablets, capsules, syrups, vials, ampoules, blow fill seals, soft and hard gels, eye drops, creams, contraceptives, and other over-the-counter products. Kotak Mahindra Capital, Axis Capital, IIFL Securities, Jefferies India, and J.P. Morgan India are the book-running lead managers for the offer.