Akums Drugs and Pharma IPO shares to list on August 6: Here's what analysts say

Akums Drugs and Pharmaceuticals shares will be listed on the BSE (formerly Bombay Stock Exchange) and the National Stock Exchange (NSE) on Tuesday, August 6.

Akums Drugs and Pharmaceuticals IPO received 63.56 times subscription during the three-day bidding period from July 30 to August 1 amid massive participation from institutional buyers.

According to NSE data, the ₹1,875-crore public issue received bids for 96.36 crore shares, against 1.51 crore shares on offer.

The qualified institutional buyers (QIBs) category received 90.09 times subscription, while the retail individual investors (RIIs) portion was subscribed 21.30 times.

The non-institutional investors' part received 42.21 times the subscription.

Akums Drugs and Pharma IPO shares listing: What to expect

According to analysts, the pharma company's initial share sale was well received by investors. The shares are expected to debut at a premium of around 15% to 20%, they noted.

The IPO, which had set a price band of ₹646-₹679 per equity share, is a mix of a fresh issue of shares worth ₹680 crore and an offer-for-sale (OFS) of 1.73 crore shares aggregating to ₹1,177 crore by promoters and an existing investor.

Proceeds from the fresh issue will be used to repay debt, fund the working capital requirements, pursue inorganic growth initiatives through acquisition, and general corporate purposes.

About Akums Drugs and Pharma

Its key clients include Alkem Laboratories, Cipla, Dabur India, Alembic Pharmaceuticals, Dr Reddy's Laboratories, Ipca Laboratories, Mankind Pharma, Hetero Healthcare, MedPlus Health Services, Mylan Pharmaceuticals, Micro Labs, Sun Pharmaceutical Industries, Amishi Consumer Technologies (The Mom's Co) and Natco Pharma.