Concord Biotech Limited

About Concord Biotech Limited IPO  Incorporated in 1984, Concord Biotech is a biopharma company. It is one of the leading global developers and manufacturers of select fermentation-based APIs (Active Pharmaceutical Ingredients) across immunosuppressants and oncology. With a market share of 20%, its products are supplied to over 70 countries, including the USA, Europe, Japan and India, as of 2022. Across India, it is present in 20 states and five union territories.  Concord’s product portfolio consists of 23 API products under the immunosuppressant, anti-bacterial, anti-fungal and oncology category as of 31 March 2023. These products are used by patients undergoing organ transplants, to treat autoimmune disorders, cancer and kidney conditions. Company manufactures its products through its three manufacturing facilities situated in Gujarat. In addition, company markets its products through a portfolio of 27 brands across different categories.  Between FY21 and FY23, company witnessed a 11.4% CAGR growth in its revenue from operations. Meanwhile, its profit margins have consistently stayed above 20% in the last three fiscal years. Moreover, the global small-molecule fermentation-based API market is expected to grow at a CAGR of 3.6% to $14 billion between 2022 and 2026, which could benefit the company.  And now, Concord Biotech Limited is coming out with its initial public offer (IPO). The IPO is entirely an offer for sale wherein existing shareholders of the company will sale more than two crore shares. Further, the company expects the proposed IPO listing will enhance its brand image and visibility. Its shares will be listed on the NSE and the BSE.  Here are key details about the Concord Biotech IPO:     Company Name  Concord Biotech Limited   Company Type  Private    Company Established On  1984   Concord Biotech Limited IPO Opening Date  4th August, 2023    Concord Biotech Limited IPO Closing Date  8th August,2023   Concord Biotech Limited IPO Allotment Status  11th August,2023    Credit of Shares to the Demat Account  17th August,2023   Concord Biotech Limited IPO Listing Date  18th August,2023    Concord Biotech Limited IPO Face Value  ₹ 1 per share   Concord Biotech Limited IPO Lot Size  20 shares    Concord Biotech Limited IPO Issue Size  Approx ₹1551 crore   Concord Biotech Limited IPO to be Listed on  BSE, NSE    Concord Biotech Limited IPO Price band  ₹705 – ₹741        Financial snapshot     Particulars  FY 21  FY 22  FY 23    Revenue  ₹ 616 crore  ₹ 712 crore  ₹ 853 crore    Net Profit  ₹ 234 crore  ₹ 174 crore  ₹ 240 crore               A quick look at Concord Biotech Limited IPO’s strengths, risks and threats  Strengths   Established presence across the fermentation value chain since 2001 with a difficult-to-replicate technical expertise in the fermentation process.  Between FY21 to FY23, the company's total revenue increased at a CAGR of over 11%.  Enjoys global leadership in a market that is expected to grow at a CAGR rate of 9.6% for immunosuppressants and 14.3% for oncology drugs between 2022 and 2026.  Maintains manufacturing facilities with a track record of regulatory compliance supported by a 148 member R&D team as of 31 March 2023.  Holds long-standing relationships with 200+ customers in 70 countries. It generated approximately 44.17%, 43.51% and 44.28% of its revenue from operations from the top ten customers in FY21, FY22 and FY23, respectively.  Two of its largest customers include Intas Pharmaceuticals Limited and Glenmark Pharmaceuticals Limited.  Witnessed an EBITDA margin of 53.02%, 37.82% and 40.47% in FY21, FY22 and FY23 respectively.   Risks and threats   Subject to extensive government regulations.  Subject to risks arising from exchange rate fluctuations as 59.05%, 52.67% and 49.35% of its revenue came from exports in FY21, FY22 and FY23 respectively.  Operates in a highly competitive industry and faces competition from fermentation-based API manufacturers and pharmaceutical companies in China, Taiwan, Korea and India.            Concord Biotech Limited IPO details  | Concord Biotech Limited IPO date  According to the offer document filed by the company with the SEBI, the Concord Biotech IPO’s opening date – in other words, the Concord Biotech IPO launch date – will be 4th August 2023. The Concord Biotech IPO closing date is 8th August 2023. After this, investors will be updated about the allotment status on 11th August 2023.  Investors, who have been allotted shares, can expect them to be credited to their demat account on 17th August 2023. The Concord Biotech IPO listing date is 18th August 2023. The listing date is the date on which the shares of a company get listed on the bourses – NSE and BSE.  | Concord Biotech Limited IPO price band  The IPO is an offer for sale as well as a fresh issue. The Concord Biotech IPO price band has been set between ₹ 705 and ₹741 per share. Interested investors can choose a price within this band to apply for the IPO.  The Concord Biotech IPO listing price will be determined on 18th August 2023. The listing price is the price at which a company’s shares debut on the stock exchanges.  | Concord Biotech Limited IPO lot size  The Concord Biotech IPO details have been declared. The Concord Biotech IPO lot size is set at 2 20 shares and an investor can apply for a minimum of 1 lot. Meanwhile, the Concord Biotech IPO issue size is approx ₹ 1,551 crore.           How to apply for the Concord Biotech Limited IPO?  If you are interested in this investment opportunity but unsure how to apply for the Concord Biotech Limited IPO, here we are listing out the steps for you.  When the public issue opens for subscription, one can follow this step-by-step guide on how to apply for the Concord Biotech Limited IPO on Upstox:   Login to your Upstox account, using your six-digit PIN  After successfully logging in, click on ‘Discover’  On the Discover tab, you will find the ‘Invest in IPO’ section  Under the Invest in IPO section, look for the ‘Concord Biotech Limited IPO’ tab and click on it  Now fill in all the required information, like ‘bid price’ and ‘lot size’  Confirm and click on ‘Apply’  Accept the mandate on your UPI app            How to check the Concord Biotech Limited IPO allotment status?  When the allotment process is completed, you can check the status of your application on the Upstox app. Share allotment is generally done around five to six days after an IPO closes.  Here’s a step-by-step guide on how to check the Concord Biotech Limited IPO allotment status:   Login to your Upstox account, using your six-digit PIN  After successfully logging in, click on ‘Discover’  On the Discover page, you will find the ‘Invest in IPO’ section  Under the Invest in IPO section, you will find the ‘View all’ option  Once you click on ‘View all’, you will be directed to the ‘IPO’ tab  In the ‘IPO’ tab, click on ‘My applications’  In ‘My applications’, under the History section, your Concord Biotech Limited IPO allotment status will be mentioned             Open a demat account with Upstox to apply for the Concord Biotech Limited IPO  To apply for the Concord Biotech Limited IPO, you need to mandatorily have a demat account. A demat account helps you hold the shares you buy in a dematerialised format. If you don’t have a demat account yet, you can open one with Upstox by visiting our website or by downloading the app.  Here is a step-by-step guide on how to open a demat account with Upstox:   Click here to visit the demat account opening page on the Upstox website.  Enter your phone number and other essential details to begin opening a demat account.  Upload the scanned copies of your PAN, Aadhaar card, a cancelled cheque, and your bank statement as needed.  Complete the e-verification using the OTP sent to your registered mobile number.   This is all it takes to open a demat account with Upstox. Easy and quick, right?            Upstox – trading app to apply for the Concord Biotech Limited IPO  Applying for IPOs with Upstox is extremely easy. The user-friendly interface and top-notch security make Upstox one of the leading trading apps in India.  You can apply for the Concord Biotech Limited IPO on Upstox, provided you have a demat account. As mentioned in the previous section, you can simply follow the steps to open a demat account with Upstox. The biggest advantage is that when you apply for an IPO using your Upstox account, the brokerage charges are zero.  In fact, courtesy of its robust features and minimal charges, Upstox is among the most preferred trading apps. Lakhs of Indians trust Upstox as it is a reliable trading platform that makes IPO applications easy.