The Initial Public Offering (IPO) of Anthem Biosciences Ltd is set to close for bidding on Wednesday, July 16. The Rs 3,395 crore issue has generated significant investor interest, especially among retail and high net-worth individual (HNI) categories, since opening on July 14.
This IPO is a pure offer-for-sale (OFS), with 5.96 crore equity shares being sold by existing shareholders. The company will not receive any proceeds from the issue. The price band has been fixed at Rs 570 per share.
As of the end of Day 2 of bidding:
The overall IPO was subscribed 3.48 times
The retail investor portion was booked 2.21 times
The non-institutional investor (NII) quota witnessed a robust 10.26 times subscription
However, the qualified institutional buyer (QIB) category was only 0.62 times subscribed
The final subscription figures will be revealed once bidding ends at the close of market hours on July 16.
The grey market premium (GMP) for Anthem Biosciences has been rising steadily, indicating strong demand in the unofficial market.
As of July 16 (7:31 am), the GMP stood at Rs 156, which implies an expected listing price of Rs 726—a 27.37% premium over the upper price band.
This reflects positive investor sentiment, with expectations of strong listing gains.
Multiple brokerages have given a 'Subscribe' rating for the IPO, citing Anthem’s strong market position, financial consistency, and long-term prospects in the contract research, development, and manufacturing (CRDMO) sector.
SBI Securities described Anthem Biosciences as a company well-positioned in the rapidly expanding CRDMO industry. Key highlights:
Strong revenue and profit track record
Diversified business with over 240 active projects
Fairly valued compared to listed peers
Recommended applying at the cut-off price for long-term benefits
Anand Rathi also recommended subscribing, noting:
Anthem’s niche in specialty ingredients and peptides
Trusted client relationships
A sustainable fee-for-service model
Despite a high P/E ratio of 70.6 based on projected FY25 earnings, the brokerage believes the fundamentals support the valuation.
Rajan Shinde, Research Analyst at Mehta Equities, acknowledged that while the IPO’s valuation may seem elevated, it's still lower than the CRDMO industry average of 80x–90x. He emphasized:
Anthem has successfully executed over 8,000 projects
It serves more than 675 clients
Focuses on both small and large molecule platforms
Leverages green chemistry and advanced technologies
Shinde said this IPO presents a solid entry point for long-term investors, considering its strong growth trajectory and improving profit margins.
Anthem Biosciences has demonstrated solid financial growth:
FY24 revenue surged 34.3% year-on-year
FY25 revenue rose by 30%
Net profit increased by 22.9% in FY25, rebounding from a slight dip in FY24
The company has maintained healthy EBITDA margins
Its R&D-driven model supports innovation in complex drug development
With a pipeline of 240+ active projects, the company is poised for continued expansion in the high-growth biotech services segment.
IPO Closes: July 16
Share Allotment Date: July 17
Expected Listing Date: July 21 on BSE and NSE
Investors interested in subscribing should complete their applications before market hours end today.