Rubicon Research IPO: Issue fully subscribed on day 2; retail investors take lead; check category-wise status

Until 2:50 PM, the initial share sale received bids for 19,336,590 shares as compared to 16,455,670 shares on offer, as per exchange data.

The non-institutional investor (NII) segment was subscribed 1.38 times, while the retail individual investor (RII) portion drew 3.25 times subscription. However, the qualified institutional buyers (QIB) category was booked 0.38 times.

The issue has set a price band of ₹461 to ₹485 per share. The ₹1,377.50 crore initial share sale, which will conclude on October 13, consists of a fresh issuance of shares aggregating to ₹500 crore and an offer for sale of ₹877.50 crore by the promoter selling shareholder General Atlantic Singapore RR Pte Ltd.

Capital raised to the tune of ₹310 crore will be allocated for debt clearance, and a portion will be used for inorganic growth via acquisitions, strategic initiatives and corporate general purposes.

A lot consists of 30 shares. In terms of allocation, 75% of the net offer has been reserved for qualified institutional buyers (QIBs), 15% for non-institutional investors (NIIs) and the rest, 10%, for retail investors.

Before the IPO, the company collected ₹619 crore in the anchor round from investors including Goldman Sachs, Fidelity Funds, HDFC Mutual Fund (MF), ICICI Prudential MF, Kotak Mahindra MF, Amansa Holdings and Aranda Investments Pte. It allotted over 1.27 crore shares to 32 funds at ₹485 per share.

On Wednesday, Rubicon Research, in a public announcement, also announced Kotak Mutual Fund and Motilal Mutual Fund have together invested ₹169 crore in the pharmaceutical company.

As part of the transaction, General Atlantic transferred 34.86 lakh shares, reflecting a 2.25% stake, at a price of ₹484.47 per share, amounting to approximately ₹169 crore.

The IPO’s allotment basis will be announced on October 14, followed by the initiation of refunds and credit of shares to demat accounts on October 15. The shares are set to be listed on the stock exchange on October 16.

Rubicon Research is a pharmaceutical formulations player with a strong focus on research & development (R&D) and innovation. Its portfolio includes an increasing number of speciality products and drug-device combination products for regulated markets, particularly the United States.