Aptus Pharma Makes Modest Debut on BSE SME Platform After Strong IPO Subscription
Aptus Pharma, a Gujarat-based pharmaceutical distributor, listed on the BSE SME platform following a Rs 13.02 crore IPO. The offering was oversubscribed 22.27 times, with retail investors showing the highest interest at 31.43 times. The company distributes over 194 pharmaceutical products and reported a revenue of Rs 24.64 crore, up 38%, and a profit after tax of Rs 3.10 crore, up 288%. IPO proceeds will be used for working capital, new office infrastructure, and general corporate purposes. Despite strong subscription, the grey market premium stands at a modest 6%.
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Aptus Pharma, a Gujarat-based pharmaceutical distributor, made its debut on the BSE SME platform on September 30, marking a significant milestone for the company. The initial public offering (IPO) of Aptus Pharma, which raised Rs 13.02 crore, garnered substantial investor interest despite expectations of modest listing gains.
IPO Details and Subscription
The IPO was priced in the range of Rs 65-70 per share and witnessed a robust response from investors, with an overall subscription of 22.27 times. The breakdown of subscription rates across investor categories revealed:
- Retail investors: 31.43 times
- Non-institutional investors: 28.75 times
- Qualified institutional buyers: 1.24 times
Additionally, the company successfully raised Rs 3.70 crore from anchor investors prior to the public issue.
Company Profile
Aptus Pharma has established itself as a prominent pharmaceutical distributor in Gujarat. The company's business model includes:
- Distribution of over 194 pharmaceutical products
- Focus on acute, chronic, and wellness segments
- Partnerships with manufacturers in Gujarat, Uttarakhand, and Himachal Pradesh
- Operations through 125 distribution partners
- A sales force of 54 personnel
Financial Performance
The company has demonstrated strong financial growth:
| Metric | Amount | Growth |
|---|---|---|
| Revenue | Rs 24.64 crore | 38.00% |
| Profit After Tax | Rs 3.10 crore | 288.00% |
Utilization of IPO Proceeds
Aptus Pharma plans to utilize the funds raised from the IPO for the following purposes:
- Working capital requirements: Rs 8.00 crore
- New office infrastructure: Rs 1.63 crore
- General corporate purposes
Market Response
Despite the strong subscription levels during the IPO, the grey market premium for Aptus Pharma stands at a modest 6.00%. This indicates that while there is investor interest in the company, expectations for listing gains are relatively conservative.
The listing of Aptus Pharma on the BSE SME platform represents an important step for the company in its growth journey. As the pharmaceutical sector continues to evolve, investors and industry observers will be watching closely to see how Aptus Pharma leverages this opportunity to expand its operations and enhance its market position.
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