The initial public offering (IPO) of Senores Pharmaceuticals Limited opened for public subscription on Friday, December 20 and closes on Tuesday, December 24. Investors in the stock market have a window of two trading days in which they can request a public offer.
The Senores Pharma IPO was subscribed 1.78 times as investors subscribed to 1,51,86,662 shares compared to the 85,34,681 shares on offer. The company has set the issue price range within the range of ₹372 to 381 per share, with a lot size of 38 shares per lot.
Senores Pharma IPO latest GMP
As of December 22, the gray market premium (GMP) for the public issue is Senores Pharmaceutical ₹200 per share. With the upper price range for the IPO at ₹391, the shares are expected to be listed at ₹591 per share, a premium of 51.15 percent, according to data collected from Investorgain.com.
Gray market premium (GMP) is the willingness of investors to pay more for a public issue. The GMP has been increased to ₹200 on December 21 and maintains that level, compared to the December 20 level ₹190.
Senores Pharma IPO Subscription Status
The issue of Senores Pharma received many bids from the private investors from the first day.
The retail investors boosted the bidding round on the first day of the public offering, arriving at 7.20x the available shares for the portion. The non-institutional investors (NIIs) followed the retail sector’s lead and ended up with 1.67x the number of shares on offer, while the qualified institutional buyers (QIBs) subscribed to 10 percent of the shares available from day 1 of the public issuance.
Senores Pharma IPO To apply or not to apply?
While assigning a ‘Subscribe’ rating to Senores Pharmaceuticals’ IPO, stockbroker Anand Rathi said, “At the higher end, the company is valued at a price-to-earnings ratio of 55x with a market capitalization of ₹18,006 million post issuance of shares and a return on equity of 23.6% based on FY24. From a valuation perspective, we believe the company is reasonably priced.”
The company’s fresh issue worth Rs 500 crore is intended to be used for investment in one of the company’s subsidiaries, Havix Group Inc, and also for repayment or prepayment, in whole or in part, of certain corporate loans through the subsidiary . The rest of the money raised from the IPO is expected to go towards financing the company’s working capital needs.
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