Drug firm Rubicon Research on Monday fixed a price band at ₹461 to ₹485 per share for its upcoming initial share sale.
The Mumbai-based company is set to raise ₹1,377.5 crore through its initial public offering (IPO), which will open for subscription on October 9.
The company proposes to utilise the net proceeds from the fresh issue offer towards prepayment or scheduled repayment of all or a portion of certain outstanding borrowings availed by the company, funding inorganic growth through unidentified acquisitions and other strategic initiatives and general corporate purposes, it said in a statement.
The issue will close on October 13, while the bidding for anchor investors will open for a day on October 8.
Rubicon Research’s proposed IPO comprises a fresh issue of equity shares worth ₹500 crore, along with an offer-for-sale (OFS) of shares valued at ₹877.5 crore by promoter General Atlantic Singapore RR Pte Ltd.
Proceeds of ₹310 crore from the fresh issue would be used for debt repayment, and a portion would be allocated for inorganic growth through acquisitions, strategic initiatives, and general corporate purposes.
In September, General Atlantic Singapore sold 28.89 lakh equity shares (1.86 per cent stake) for ₹140 crore at ₹484.47 apiece to TIMF Holdings and 360 ONE, while in August, it transferred 51.60 lakh equity shares (3.3 per cent stake) to Amansa Investments in the company at the same price for ₹250 crore.
Following the transfer, it remained the majority shareholder with 52.15 per cent of the company.
Apart from General Atlantic, other promoters of the company include Pratibha Pilgaonkar, Sudhir D Pilgaonkar, Parag S Sancheti, Surabhi P Sancheti, and Sumant S Pilgaonkar.
Rubicon Research is a pharmaceutical formulations company with a strong focus on R&D and innovation.
Its portfolio includes an increasing number of speciality products and drug-device combination products targeting regulated markets, particularly the US.
In June, it acquired Alkem Laboratories’ formulations facility in Pithampur, Madhya Pradesh, in an all-cash deal worth ₹149 crore.
It currently operates two USFDA-inspected R&D facilities — one in India and another in Canada — along with two manufacturing plants in India accredited by multiple regulatory authorities, including USFDA, Maharashtra FDA (WHO-GMP), and Health Canada.
In terms of allocation, 75 per cent of the issue size has been reserved for qualified institutional buyers, 15 per cent for non-institutional investors and the remaining 10 per cent for retail investors.
Rubicon Research is expected to make its stock market debut on October 16.