The capital market regulator, SEBI has approved Glenmark Life Sciences and Utkarsh Small Finance Bank’s initial public offerings (IPOs), reviving the market that has witnessed minimal activity so far this fiscal year. Glenmark Life Sciences and Utkarsh Small Finance Bank are aiming to raise more than Rs. 2,500 crores through their initial public offerings. Only two IPOs have occurred since April: Power Grid InvIT and Macrotech Developers. Investors were delighted with 30 initial public offerings in the preceding fiscal year.
Utkarsh Small Finance Bank
Issue size: Rs. 1,350 crores
Utkarsh Small Finance Bank’s initial public offering will be a combination of new equity share issuance and a promoter offer for sale. According to the DRHP, the latest offering will be worth Rs. 750 crores, with the promoters selling shares worth Rs. 600 crores. The proceeds from the new offer will be used to increase Utkarsh Small Finance Bank’s tier 1 capital base in order to satisfy future capital requirements. According to Axis Capital, it is one of the most profitable SFBs in India and one of the leading SFBs in terms of return on assets, with the greatest return on equity among SFBs in India in Fiscal 2020.
With 528 banking outlets and 8,729 workers, the SFB is headquartered in Varanasi, Uttar Pradesh, and operates in 18 states and union territories. Utkarsh Small Finance Bank’s net profits have increased during the last three financial years. The bank recorded a loss of Rs. 77 crores in fiscal year 2018, but a profit of Rs. 186.74 crores in fiscal year 2019-2020.
- Utkarsh Small Finance Bank IPO Date
The listing date for Utkarsh Small Finance Bank has yet to be determined and communicated to the public. The IPO usually lasts 3 to 4 days, during which time you can apply for the shares.
- Utkarsh Small Finance Bank IPO Share Price
While Utkarsh Small Finance Bank has a face value of Rs. 10, the cash price range for the Utkarsh Small Finance Bank IPO has yet to be published.
Glenmark Life Sciences
Issue size: Rs. 1,160+ crores
Glenmark Life Sciences is planning to issue new equity shares worth Rs. 1,160 crores, as well as an offer for sale. The promoter and promoter group own 13.15 crore shares in Glenmark Pharmaceuticals Ltd, according to the company’s shareholding data. Glenmark Life Sciences is a prominent researcher and production of high-value, non-commoditized active pharmaceutical ingredients (API) in chronic therapeutic areas such as cardiovascular disease, CNS disease, pain management, and diabetes.
Since the outbreak, the API market has grown as companies around the world seek to diversify their supply chains and source APIs from places other than China. In the financial year 2017-18, Glenmark Life Sciences recorded a loss of Rs. 43 lakhs. The company’s net profit in the preceding financial year was Rs. 313 crores.
- Objective of the Glenmark Life Sciences IPO Issue
- Payment of the Promoter’s outstanding acquisition consideration.
- Capital budgeting requirements.
- Corporate activities in general
- Positive Outlook of Glenmark Life Sciences
- Leadership in Chronic Therapeutic Areas.
- Strong ties to the world’s leading generic pharmaceutical companies.
- Manufacturing and R&D Infrastructure that is Quality-Driven.
- Through careful monitoring and continuous effort, being able to maintain cost leadership across all products.
Finally, now that you have all of the necessary information on both IPOs, you can decide whether or not to invest in the company. However, in order to trade online, you’ll need a Demat Account. Angel One is the best place to start if you want to open a Demat Account since they will assist you set up your Demat Account in a hassle-free manner within a few days.
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