Hindustan Laboratories Ltd, a company that makes and supplies generic medicines to government institutions has filed a draft red herring prospectus (DRHP) with SEBI for its proposed Initial Public Offering (IPO).
The offer with a total issue size of up to 1.41 crore shares of face value of ₹10 comprises a fresh issue of up to 50 lakh equity Shares and an Offer for sale of up to 91 lakh shares. The company proposes to utilise the net proceeds towards funding working capital requirements and general corporate purposes, a note on the IPO said.
Rajesh Vasantray Doshi, Kunjal C Dedhia and Krishiv Rajesh Doshi are the promoters of the company, that primarily makes generic formulations – which are medicines for which the patents have expired and that are typically used as a substitute for other expensive branded medicines.
“The company supplies its products primarily under procurement contracts for central government projects under the Ministry of Health and Family Welfare through GoI agencies as well as state government agencies or bodies,” it said. These products are supplied either under brand names or under their generic names, depending on the specific requirements and preferences of its customers, it added.
All products, except those made for others, carry the company’s logo, it said, and its product portfolio encompasses a range of therapeutic segments in both acute and chronic healthcare needs. “These include anti-allergic, anti-diabetic, anti-infectives, anti-malarial, antiparasitic, blood related, cardiac, gastro-intestinal, keratolytic. nutritional and mineral supplements, pain and analgesics, respiratory nutritional and mineral supplements and vitamin supplements,” the note said.
Choice Capital Advisors Private Ltd is the book running lead manager to the issue.