Sai Parenteral's IPO

Sai Parenteral’s is a pharmaceutical formulation company specialising in developing and producing a diverse array of pharmaceuticals covering multiple types of therapeutics, such as cardiology, diabetes, trauma, pulmonary, and dermatological products.

The company has transitioned from being an injectable pharmaceutical company to expanding into multiple types of pharmaceutical formulations. The business operations are conducted through two segments: Branded generics, which represent the company's proprietary branded therapeutics sold in India, and another is contract manufacturing (CDMO), where the company partners with various pharmaceutical companies to manufacture their drug products.

The company's diverse product offering includes a wide variety of dosage forms such as parenteral dosage forms (injectables), oral dosage forms (tablets and capsules), topical dosage forms (syrups and ointments), and the company conducts business in both domestic and international markets.

The company's branded generics segment is the core business, accounting for 72% of total revenue in H1FY26 with a portfolio of 302 branded generic products sold to hospitals, government institutions, and wholesale distributors throughout India. The company's CDMO segment is smaller, but growing rapidly, from ₹5.317 crore in FY23 to ₹31.246 crore in FY25 (80%+ CAGR). The CDMO segment provides product development, regulatory filing, and manufacturing services for several global pharmaceutical companies, principally in highly regulated countries.

The company has five operational manufacturing plants (4 in Hyderabad and 1 in Ongole) with a combined annual capacity of 116 crore units. These manufacturing facilities are also compliant with all relevant global regulations as certified by various agencies, including WHO-GMP, PIC/S, and TGA (Therapeutic Goods Administration) Australia. Each plant is responsible for producing a particular type of formulation, such as injectables, penicillin, cephalosporins, and oral medicine, to ensure the manufacture of products across a variety of categories with flexibility. Manufacturing capacity utilisation has improved significantly from 14.75% in FY23 to 53.45% in FY25 and nearly 60% in H1FY26. Certain plants, such as Plant II, are operating near full capacity (~95%) while others, like Plant IV, have much greater ability to expand operations within a reasonable degree without incurring heavy capital expenditures.

In FY22 and FY23, the company acquired two additional manufacturing facilities to reinforce its regulatory capability base. Revat Laboratories (now a wholly-owned subsidiary) generated more than 35% of total revenue during H1FY26. The most significant investment was the purchase of a 74.6% interest in Noumed Pharmaceuticals (Australia) for AUD 22 million, providing the company with entry to developed markets along with previously negotiated long-term supply agreements. Noumed currently produces 526 SKUs under 15 long-term supply agreements within national pharmacy chains in Australia that are effective until CY27-CY29. Additionally, they currently have more than 451 product dossiers, which can assist them in entering into regulated countries around the world. This acquisition can help the company to expand its global presence.

The global pharmaceutical market is projected to be approximately $1.8 lakh crore in 2025, and it is anticipated to reach approximately $2.9 lakh crore by 2033 at an estimated CAGR of +5.9%. Some of the main drivers of this growth include an ageing population, a growing burden of chronic diseases, increasing R&D investments expected to expand to approximately $28,800 crore in 2024, and increased competition for medicines from developing countries.

The injectables segment of the pharmaceutical industry is projected to have the highest growth rate among dosage forms, with an estimated CAGR of +6.5%, comprising approximately 29% of the overall global pharmaceutical market value in 2024. Additionally, the global CDMO market is projected to expand from approximately $19,200 crore in 2020 to approximately $60,900 crore by 2033 with a CAGR of +9.4%. In India, the pharmaceutical industry is projected to grow at an estimated CAGR of +11.2% and exceed approximately $14,600 crore by 2033. Additionally, it is expected that the domestic CDMO market will exceed approximately $4,500 crore by 2033, as a result of favourable government policies, including production-linked incentives and bulk drug park initiatives in India. India is experiencing an increased demand for injectable drugs to treat chronic illnesses such as diabetes and cancer. The injectable drugs market has been estimated to grow from $817 crore in 2025 to $2,047 crore by 2035, more than a doubling of the size of the current market. As such, the company will be able to position itself well among the demand surge. Moreover, the Indian healthcare system is currently funded at a rate of only 3.3% of GDP. The recent government initiatives, such as Ayushman Bharat and Jan Aushadhi, are expected to increase the number of people with access to affordable medications through these two programs alone (approximately 67.8 crore in total), which may directly benefit the company's growth prospects.

Now, Sai Parenterals Limited is launching its initial public offering (IPO), which consists of a fresh issue of ₹285 crore and an offer for sale of ₹124 crore. The total issue size of the IPO is ₹409 crore. Its shares will be listed on the NSE and BSE.

You can pre-apply for Sai Parenteral's IPO on Upstox. The pre-application for this IPO, which means the pre-apply open date, usually begins a day before the IPO opens for subscription.

Follow these steps to pre-apply for the IPO:

If you are interested in this investment opportunity but unsure how to apply for the Sai Parenteral's IPO, here are the steps that you need to follow.

When the public issue opens for subscription, one can follow this step-by-step guide on how to apply for the Sai Parenteral's IPO on Upstox:

When the allotment process is completed, you can check the status of your application on the Upstox app. Share allotment is generally completed on the next working day after an IPO closes.