Summary of this article
Corona Remedies shares debuted on the NSE at Rs 1470, achieving a strong listing premium of 38.41 per cent over the issue price of Rs 1062 per share.
The public issue was massively oversubscribed 137.04 times overall, with the Qualified Institutional Buyers (QIB) segment booked 278.52 times.
Retail investors made substantial listing day gains of Rs 5,712 per minimum lot of 14 shares, highlighting strong market demand for the stock.
Corona Remedies IPO Listing Price: Corona Remedies shares listed on the NSE and BSE on December 15. Shares of the pharmaceutical company made a strong debut on the exchanges. Corona Remedies shares listed with more than 38 per cent premium compared to the issue price.
Corona Remedies shares made their debut at Rs 1,470 per share with gains of 38.41 per cent against the issue price of Rs 1,062 per share. Corona Remedies shares listed at Rs 1452 apiece on the BSE with gains of 36.72 per cent against the issue price.
Retail investors who were allotted a minimum of 14 shares or 1 lot, would have made listing day gains of Rs 5,712 (Rs 1470 - Rs 1062 x 14). As many as 7 lakh shares of Corona Remedies changed hands on the BSE and the total market capitalisation of the company stood at Rs 8,880.44 crore.
Corona Remedies IPO: Details
Corona Remedies Ltd raised Rs 655.37 crore through its public issue. The pharmaceutical company’s public issue consisted of a pure offer-for-sale of 6.2 million shares.
The minimum lot size for application for retail investors was fixed at 1 lot comprising 14 shares, which aggregated to an investment of Rs 14,868. Corona Remedies IPO saw strong demand in its three-day subscription window.
Corona Remedies IPO was subscribed 137.04 times across categories. As many as 626.5 million shares of Corona Remedies were bid for against the 4.57 million shares offered for subscription.
In the three-day bidding window, qualified institutional buyers led the demand for Corona Remedies shares, booking their quota 278.52 times. On the other hand, non-institutional investors and retail individual investors booked their quota 208.88 times and 28.73 times respectively. Employees of the pharmaceutical company booked their quota in the public issue 14.72 times.
Corona Remedies: Business Model
Corona Remedies is an India-focused branded pharmaceutical formulations maker. The company undertakes operations across various stages of drug manufacturing such as development, manufacturing, and marketing of finished dosage products. The company generates revenue via high-volume, prescription-driven domestic sales of its branded generic formulations. Over 96 per cent of the company’s revenue is derived from selling its pharmaceutical formulations.
Corona Remedies: Peers
Corona Remedies has joined other major companies in the Indian branded formulation market such as Abbott India, Alkem Laboratories, Cipla, Dr. Reddy's Laboratories and Divis Laboratories, Eris Lifesciences and Glaxosmithkline Pharmaceuticals.
At the time of writing, Corona Remedies share price was Rs 1,491 apiece up by 1.49 per cent on the NSE. Corona Remedies shares traded at Rs 1452 apiece on the BSE.
