Laurus Labs IPO 
Laurus Labs is a leading research and development driven pharmaceutical company in India, with a leadership position in generic active pharmaceutical ingredients (APIs) for select, high-growth therapeutic areas of antiretrovirals (ARVs) and Hepatitis C. The company is one of the leading suppliers of APIs in the ARV therapeutic area to multi-national pharmaceutical formulation companies which cater to the large and fast-growing “donor-funded access-tomedicines markets” of Sub-Saharan Africa, South-East Asia and Latin America. During the financial year 2016, Laurus sold its APIs in 32 countries. The company also manufactures APIs in oncology and other therapeutic areas.
The company operates in four business lines: Generics – APIs, Generics – FDFs, Synthesis and Ingredients. The Generics – API business comprises the development, manufacture and sale of APIs and advanced intermediates. The Generics – FDF business comprises the development and manufacture of oral solid formulations while the Synthesis business includes contract development and manufacturing services for global pharmaceutical companies. The Ingredients business comprises the manufacture and sale of specialty ingredients for use in the nutraceutical and cosmeceutical sectors. Laurus Labs has launched 59 products since its inception in 2005. Its key customers include Aspen Pharmacare Limited, Aurobindo Pharma Limited, Cipla Limited, Mylan Laboratories Limited, NATCO Pharma Limited and Strides Shasun Limited. The company claims that nine out of the 10 largest generic pharmaceutical companies in the world, by revenue, were its customers during the financial year 2016.
As of 30 June 2016, Laurus Labs employed 587 and 12 scientists at its R&D centers in Hyderabad and Greater Boston, constituting 25% of its total employee strength. The company spent INR906.52 million towards R&D activities during the financial year 2016, or 5.1%, of its total revenues. As of 30 June 2016, the company owned 32 patents and had 150 pending patent applications, in several countries.
Laurus Labs currently operates three manufacturing facilities in Visakhapatnam, Andhra Pradesh. Two of its facilities manufacture APIs and ingredients, while the third facility is for the manufacturing of APIs and FDFs. It also has a kilo lab near Hyderabad, Telangana. The company is also in the process of setting up two additional manufacturing facilities, one for potent APIs (expected to commence operations by 31 December 2016) and the other for APIs, intermediates and ingredients (expected to commence construction during the financial year 2017).
Promoter of Laurus Labs: Dr. Satyanarayana Chava, Naga Rani Chava, Dr. Raju Srihari Kalidindi, Ravi Kumar Vivi, and Dr. Lakshmana Rao CV
| Laurus Labs IPO details | |
| Subscription Dates | 6 – 8 December 2016 |
| Price Band | INR426 – 428 per share |
| Fresh issue | Up to INR3 billion (INR300 crore) |
| Offer For Sale | 24,107,440 shares or INR10.31 billion (INR1031.79 crore at upper price band) |
| Total IPO size | INR13.31 billion (INR1331.79 crore at upper price band) |
| Minimum bid (lot size) | 35 shares |
| Face Value | INR10 per share |
| Retail Allocation | 35% |
| Listing On | BSE, NSE |
|
Laurus Labs’ consolidated financial performance (in INR crore) |
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| FY2014 | FY2015 | FY2016 | |
| Total revenue | 1,168.5 | 1,360.6 | 1,791.3 |
| Total expenses | 950.8 | 1,126.4 | 1,411.5 |
| Profit after tax | 97.2 | 68.3 | 132.6 |
Laurus Labs Ltd
2nd Floor, Serene Chambers, Road No. 7,
Banjara Hills, Hyderabad 500034
Phone: +91 40 3980 4333
Fax: +91 40 3980 4320
Email: [email protected]
Website: www.lauruslabs.com
Karvy Computershare Private Limited
Karvy House, 46, Avenue 4, Street No. 1,
Banjara Hills, Hyderabad – 500 034
Andhra Pradesh, India
Phone: +91 40 23312454
Fax: +91 40 23311968
Email: [email protected]
Website: http://karisma.karvy.com
Laurus Labs IPO Subscription Details
| Category | Shares offered | Subscription (no. of times, at 6 PM ) | ||
| Day 1 | Day 2 | Day 3 | ||
| QIB | 6,174,544 | 0.70 | 1.01 | 10.53 |
| NII | 4,623,879 | 0.16 | 0.53 | 3.57 |
| Retail | 10,789,051 | 0.09 | 0.39 | 1.56 |
| Employee | 323,834 | 0.03 | 0.98 | 1.69 |
| Total | 21,911,308 | 0.28 | 0.60 | 4.52 |
Laurus Labs IPO allotment status will be available on available on Karvy Computershare’s website. Click on this link to get allotment status. You can also check allotment status using application number on this link.
IPO Opening Date: 6 December 2016
IPO Closing Date: 8 December 2016
Finalisation of Basis of Allotment: 14 December 2016
Initiation of refunds: 15 December 2016
Transfer of shares to demat accounts: 16 December 2016
Listing Date: 19 December 2016
Listing Price on NSE: INR489.9 per share (Profit of 14.5% on IPO price)
Closing Price on NSE: INR480 per share (Profit of 12.2% on IPO price)
Exercise caution with every new ipo now…
I will advise to apply if the price band will be between 300 to 350 apprx…
Bhai apply to tab karoge jab ye issue aayego. I’m hearing Sheela Foam is also coming but it is clearly a difficult time for IPOs so bankers and promoters are thinking hard before bringing their offers.
Approval of seven IPOs worth Rs 2,500 crore might lapse in the next three months if they don’t hit the market, data show. Timelines of other big-ticket IPOs gearing up to hit the market could also get impacted, said experts. Warburg Pincus-backed generic drug maker Laurus Labs (estimated issue amount of Rs 1,000 crore) and Sheela Foam (Rs 510 crore) reportedly aimed to hit the market with their offerings by November-end. IPOs worth Rs 24,500 crore have hit the market in 2016.
http://www.business-standard.com/article/markets/market-volatility-might-upset-ipo-govt-divestment-116111701247_1.html
Now no scope of confusion. Instead of gambling money on Sheela, I’ll invest in Laurus. Pharma has been better and rewarded investors. Moreover, it is one of the sectors which will gain from a weaker rupee.
Isn’t it expensive? EPS is just 13.5 in 15/16
Laurus Labs allots 92,38,385 equity shares at INR428 per equity share aggregating to INR395.40 crore to 25 anchor investors.
Anchors include Goldman Sachs, HBM Partners, Nomura, Eastspring, Birla Sunlife MF, DSP Blackrock, ICICI Prudential MF, SBI MF, HDFC Life.
http://www.bseindia.com/markets/MarketInfo/DownloadAttach.aspx?id=20161205-23&attachedId=4050881e-add7-466a-b452-65cd4334a61c
Strong anchor list. It looks Laurus IPO will do well. what are grey rates pls?
employees get discount of 40/- and after discount is the real value of Laurus. Why no discount for general investors??
Only a small % is assigned to employees by few companies. The discount given to the employees in not necessarily the true value of the share. The discount is handed to the employees to increase their engagement with the company and also showcase to retail investors the confidence that employees have on company’s future performance.
Grey premium around 45/- for laurus but few brokers active now.
Thanks Ankit. This not very high premium IMO. If the market corrects, this premium will go away.
Right but this is only grey premium which means at least 15% returns on listing. So the question is really of allotment. FIIs are very bullish according to subscription figures.
What is the meaning of grey premium and gmp?
Sanket, grey premium means the amount which someone else offers before listing to buy your shares. Strong premium means stronger listing.
Subscription is strong and i’m sure it will be a big hit. Applied 4 applications today.
A firm endorsement of Laurus labs future prospects & readiness by its own employees with their quota getting 98% subscription by end of Day-2 – the RIIs should take note & ramp up their bids tomorrow.
The QIB sentiment is of course crystal clear with an unlikely 100% subscription by Day-2 itself
I THINK TOMORROW THAT IS THE LAST DAY OF IPO WILL BE SUBSCRIBED TO 20 TIMES.A STRONG BUY WILL BE MADE BY QIB AFTER 1 PM.
RETAILERS SUBSCRIPTION WILL BE LESS THAN 2 TIMES.BUT QIB AND NII WILL GIVE A HUGE RESPONSE TO THE IPO….
0.80 subscribed by 11:20am!
should be fully subscribed by lunch for sure!
After Sheela Foam, expect good listing in Laurus too. I entered 4 applications but allotment will be difficult
The real game changer will be NSE IPO. But don’t just apply in the IPO because the whole world will apply and only a few will get and that also just one lot. Keep an eye on IFCI, more gains next week.
fantastic call sir, IFCI is up 4% today. NSE IPO isn’t far now.
When is Pratap Food IPO coming?
Robin bhai, first let the allotment of Laurus come, I’m hoping to get shares this time.
PNB, allocation is out now. Chk this link
https://kosmic.karvy.com/eipo/ipoapp.aspx
It requires application number which I did not save. Will have to wait till tomorrow 🙁
Use PAN number to know allotment status.
This allotment link is not working. I have tried with my details, it just says no bid details found.
Any one got inf about allotment
Allotment declared now you can get detail at this link. No need to enter application number, just PAN card details will be enough
https://kcas.kfintech.com/ipostatus/
I get allotment. plan to selll on listing day, should it be a good choice???
Hold may be a good idea Sahni ji. I don’t plan to sell below 500, in fact 550 also looks possible to me.
Llisting may be between 475 to 485. go for sell
I applied for the ipo but didn’t get any shares
My dear fellow investors, I got allotment in two applications. Now my question is does it make sense to book profits on listing or hold it. If someone can update the latest GMP, that would be great too.
what is listing prize
Above 470 I’m expecting but plan to wait for 500.
I think 460 to 470 expecting listing. I am suscribing this ipo & i alloted .
Bumper! Super Duper! Listing price 490
Kya bumper bhai. It has come down to 476 which is just 11% gain. Even at 500, it will be only 17% profit.
Dead stock. It is not moving at all after listing. There is no frenzy of buyers, I think it will correct from here.
Not moving in a down market is good!!!
What is the next IPO??
no ipo for 15 days. happy christmas and new year!!!
u would soon get news for cl educate and pratap snacks on 4 th january
Happy New Year to everyone!! May 2017 be more joyous and prosperous than 2016!!
*****Happy New Year*****
May 2017 bring even more success and prosperity for IPO investors. We have a long list of upcoming IPOs and I’m personally waiting for IPO of BSE, NSE, CDSL, CL Educate and D Mart.