New Delhi [India], May 9 : Shares of Mankind Pharma made a strong debut on the Stock exchange.
On exchanges NSE and BSE, the company's shares were listed at Rs 1,300 against the issue price of Rs 1,026-1,080 per share, a 20.4 per cent premium to the issue price.
At the time of writing this report, the shares were at Rs 1,371.55.
The pharmaceutical and consumer health company's over Rs 4,300 crore initial public offering (IPO) was open for subscription during April 25-27.
The company's public offer got subscribed 15.32 times overall, readily available market data showed. The Qualified Institutional Buyers (QIBs) category got subscribed 49.16 times, the Retail Individual Investors (RIIs) portion received 0.92 times subscription and non-institutional investors 3.8 times.
Incorporated in 1981, it is engaged in developing and marketing pharmaceutical and consumer healthcare. Some of their popular brands include ManForce, PregaNews, and GasoFast.
"Mankind Pharma is a well-known and established pharmaceutical company that offers pharmaceuticals as well as several consumer healthcare products. The company has strong fundamentals and it is already attracting outperforming ratings from global brokerage Macquarie," said Santosh Meena, Head of Research, Swastika Investmart moments after the shares traded on the exchanges.
"Our recommendation for the IPO was to subscribe, and we maintain a bullish view of the stock, advising investors to hold it for the long term."
However, Meena recommended that investors who applied for listing gains may either choose to exit or hold it with a stop loss at the IPO issue price.
According to Hemang J, Head of Equity Strategy, Motilal Oswal Financial Services, "Mankind Pharma received good response from its anchor clients given its domestic-focused business with strong brand recall in both chronic and consumer healthcare segment. Given its healthy financial track record, domestic focus and extensive network, Mankind is likely to continue doing well."
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