Thursday, 16 December 2021

IPO Update: Supriya Lifescience Limited

Company Introduction: Supriya Lifescience has evolved into one of the key chemical manufacturers and suppliers of active pharmaceutical ingredients (APIs). Over the last three years, the company has posted strong financial performance. Its revenue and profit have risen steadily, aided by growth in domestic and export pharma markets. This API manufacturer is now all set to launch its ₹700 crore IPO and list on the exchanges.

  • Has niche 38 APIs which are used in diverse therapeutic segments including antihistamine, analgesic and anesthetic 
  • As of October 2021, its products were exported to 1,296 clients across 86 countries
  • Around 77% of its revenue came from exports in FY21  


IPO Timeline

    Application start
16-12-2021
Application end
20-12-2021
Allotment begins
23-12-2021
Refund Initiation
24-12-2021
Allotment date
27-12-2021
Listing on exchange
28-12-2021


Key Strengths
  • Accounted for 45-55% and 65-70%, respectively, of the Chlorpheniramine Maleate and Ketamine Hydrochloride exports from India between FY17-FY21
  • Increased share in Salbutamol Sulphate exports from 25-30% in FY17 to 35-40% in FY21

Key Weaknesses
  • Operates in a highly regulated industry. Facilities and products are subject to periodic inspections or audits
  • High dependence on its 10 APIs, which account for over 80% of revenue 

Business Growth Opportunities

The global pharmaceutical market is expected to grow at a CAGR of 6% to ₹1,730 billion by 2025. The domestic formulations market is expected to grow at a CAGR of 11% over the next five years  

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