Indegene Ltd IPO

Last Updated on October 9, 2023 by BFSLTeam BFSLTeam

Indegene Ltd, one of India’s leading digital-first life sciences commercialisation firms, has got a green signal from SEBI to float its IPO. The company filed its draft papers with the market regulator in December 2022. However, it has yet to release the tentative dates for its public issue. This is a great opportunity for investors to gain exposure to India’s emerging health tech sector. So, if you are interested in subscribing to the Indegene Lifesystems Pvt Ltd IPO, keep reading!

About Indegene Ltd

Indegene Limited is a digitally enabled commercialisation company which primarily operates in the global life sciences sector. It provides services to emerging biotech, medical devices and biopharmaceutical firms by developing products, launching them in the market and driving sales throughout the project lifecycle via modern, effective and efficient strategies. 

This company has more than 20 years of experience working in this field. It combines its sheer expertise in the healthcare domain and industry-leading technology to provide a wide array of solutions like – R&D, medical, regulatory and commercial operations. 

19 out of 20 of the biggest global biopharmaceutical companies, in terms of revenue, belong to this company’s client list. Moreover, as per the latest updates, it has 52 active customers from which the company has earned USD 0.25 million or more within the last 12 months.  

Indegene Ltd IPO Objectives

One of the primary objectives of Indegene Lifesystems Pvt Ltd IPO is to prepay/repay the loans of ILSL Holdings Inc, one of its subsidiaries. The company also plans on funding its own capital expenditures, along with that of its material subsidiary, ILSL Holdings, Inc. 

Additionally, Indegene intends to acquire additional shares in DT Associates Ltd via ILSL Holdings Inc. It also aims to cover expenses related to its inorganic growth and general corporate reasons.     

Also Read: How does an IPO work?

Indegene Ltd IPO Details

The Indegene Lifesystems Pvt Ltd IPO will have a fresh issue size of equity shares worth Rs. 950 crore. Its offer for sale size will be 3,62,91,497 equity shares with a face value of Rs. 2/share. 

Here are the names of the selling shareholders:

• Dr. Rajesh Bhaskaran Nair
• Manish Gupta
• Anita Nair
• Vida Trustees Private Limited
• CA Dawn Investments
• BPC Genesis Fund I -A SPV, Ltd
• BPC Genesis Fund I SPV, Ltd

Shares will be listed on the National Stock Exchange (NSE) and the Bombay Stock Exchange (BSE). However, the listing date, bid opening and closing dates, etc. are yet to be declared by the company. 

The book-running lead managers for this public issue are as follows:

• Citigroup Global Markets India Private Ltd
• Kotak Mahindra Capital Company Ltd
• Nomura Financial Advisory and Securities (India) Private Ltd
• J.P. Morgan India Private Ltd

Link Intime India Private Ltd will be acting as the IPO’s registrar. Indegene will announce further details regarding its public issue like the minimum bid lot size, floor and cap price, etc., after consulting with its underwriters.

Strengths

Here are the strengths of Indegene Private Limited:

• Expertise in the healthcare domain
• A wide array of in-house developed digital tools
• Consistent growth in the number of active clients over the last two years
• Global client base with 16 offices and 6 operation hubs located across Asia, North America and Europe
• Highly qualified staff with advanced degrees like MBBS, MD, BPharm, MPharm, BDS and PhD
• 11 successful acquisitions between 2005 and 2022 that facilitated the company’s overall growth

Also Read: How To Apply For An IPO?

Risks

Mentioned below are the risks of investing in the Indegene Lifesystems Pvt Ltd IPO:

• Failing to generate new engagements from clients will result in a loss of cash flow and operations
• Reduction or termination of client engagements will negatively impact its operations and cash flow
• The inability to meet the client-specified service-related regulatory requirements will severely affect business and operations
• Unauthorised disclosure of health or other private information from the company’s end can impact its reputation, leading to heavy losses

Also Read: IPO grading

Conclusion

Now that you have an idea of the company’s business model, strengths and weaknesses, you can make an informed choice on whether to invest in the Indegene Lifesystems Pvt Ltd IPO. Additionally, you need to assess your risk appetite in order to decide how much you can invest without straining your finances. 

You can also consider opening a Demat and trading account with us so that you can invest without any hassles when the IPO is live.  

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