Windlas Biotech Limited IPO Details and Review

Dates, Price band, Lot size, Risks, Review and broker recommendations etc.
Windlas-Biotech-IPO

Windlas Biotech IPO: Key Details

  • Grey Market Premium (GMP) today: ₹430 – ₹450

Note: We neither trade nor encourage our readers to trade in the Grey Market. We share the GMP information for educational purposes only, so that, you can make an informed decision.

Company Information

Windlas Biotech Limited, incorporated in 2001, is amongst the top five players in the domestic pharmaceutical formulations contract development and manufacturing organization (“CDMO”) industry in India in terms of revenue.

They provide a comprehensive range of CDMO services ranging from product discovery, product development, licensing, and commercial manufacturing of generic products, including complex generics, in compliance with current Good Manufacturing Practices (“GMP”) with a focus on improved safety, efficacy, and cost.

In Fiscal 2020, its market share was approximately 1.5% in terms of revenue in the domestic formulations
CDMO industry. In addition to providing services and products in the CDMO market, they also sell their own branded products in the trade generics and OTC markets as well as export generic products to several countries.

Competitive Strengths

  • CDMO player with focus on the chronic therapeutic category
  • Innovative portfolio of complex generic products supported by robust R&D capabilities
  • Efficient and quality compliant manufacturing facilities with significant entry barriers
  • Long-term relationships with Indian pharmaceuticals companies
  • Consistent track record of financial performance
  • Experienced Promoters and senior management with a professional and technically qualified team

Company Strategy

  • Capitalize on expansion opportunities by leveraging the leadership position in the CDMO industry
  • Continue to grow the CDMO customer base
  • Expand product portfolio and delivery systems by enhancing R&D and manufacturing capabilities
  • Focus on the Domestic Trade Generics and OTC Brands SBV and high growth export markets by capitalizing on industry opportunities
  • Foray into high growth injectables segment
  • Selectively pursue strategic investments and acquisitions

Proceeds from fresh issue of Windlas Biotech IPO will be used to:

  • Fund longterm capital expenditure requirements and purchase of equipment required for
    (i) capacity expansion of the existing facility at Dehradun Plant – IV; and
    (ii) addition of injectables dosage capability at the existing facility at Dehradun Plant-II;
  • Funding incremental working capital requirements of the Company;
  • Repayment/prepayment of certain of the borrowings; and
  • General corporate purposes

The proceeds from the Offer for Sale shall be received by the Selling Shareholder (i.e. Rivendell PE LLC).

Windlas Biotech IPO: Financials

201920202021
Revenue from Ops₹307.27 Cr₹328.85 Cr₹427.60 Cr
Profit before Excep*₹27.34 Cr₹32.13 Cr₹43.53 Cr
Profit after Tax63.82 Cr₹16.21 Cr₹15.57 Cr
EPS (Basic)38.618.908.70
*Tax and Exceptional Items
As of March 2020EPS (Avg*)P/E (Floor)P/E (Cap)
Based on basic EPS13.7532.5833.45
* Weighted Average for last 3 years

Windlas Biotech IPO: Comparison with listed industry peers

Based on RHP, there are no listed companies in India that engage in a business similar to that of this Company. Hence, it is not possible to provide an industry comparison in relation to the Company

Windlas Biotech IPO Dashboard

Issue Details

TypeValue
Issue Size₹401.54 Cr
Fresh Issue₹165 Cr
Offer for Sale₹236.54 Cr
Face Value₹10/- per Equity Share
IPO Price₹448 – ₹460
Lot Size30 shares
LotsMin 1 – Max 14

Key Dates

Date TypeDate
Bid Open 04/08/2021
Bid Close 06/08/2021
Allotment Finalization11/08/2021
Initiation of Refunds12/08/2021
Credit of Shares13/08/2021
Listing Date17/08/2021

Lot Size and Price

LotsSharesAmount
130₹13,800
14420₹1,93,200

Promoter Holding

HoldingPercentage
Pre-Issue78.00 %
Post-Issue65.16 %

Windlas Biotech IPO: Investor Quota and Shares Offered

Investor TypeQuotaShares on Offer
QIB50%[●] shares
NII15%[●] shares
RII (Retail)35%[●] shares
Total100%[●] shares

Windlas Biotech IPO: Risks

  • Dependent on the success of its relationships with CDMO customers, including leading Indian pharmaceutical companies and multinational companies.
  • They are subject to strict technical specifications, quality requirements, regular inspections and audits by CDMO customers including leading Indian pharmaceutical companies
  • Operations are dependent on the success of their research and development (“R&D”)
  • They operate in a market that is highly competitive.

For complete internal and external risk factors, you can refer to the RHP of the company.

Windlas Biotech IPO: Registrar and Lead Managers

Registrar of the Issue

Link Intime
C-101, 247 Park
L B S Marg, Vikhroli (West)
Mumbai 400 083
Maharashtra, India

Phone: 022 4918 6200
Email: [email protected]

Lead Managers of the Issue

SBI Capital Markets Limited
DAM Capital Advisors Limited
IIFL Securities Limited

Phone: +91 22 4646 4600 / +91 22 2217 8300
Email: [email protected]

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