Pune-based Emcure Pharmaceuticals is set to launch its maiden public issue for subscription on July 3. The price band will be announced by June 28.

The IPO, which is a mix of fresh issuance of equity shares worth Rs 800 crore, and an offer-for-sale (OFS) of 1.14 crore equity shares by existing shareholders including promoters, will close on July 5. The anchor book of the issue will be launched for a day on July 2.

Promoters Satish Ramanlal Mehta, Sunil Rajanikant Mehta, Namita Vikas Thapar, and Samit Satish Mehta are the selling shareholders in the OFS.

In addition, Pushpa Rajnikant Mehta, Bhavana Satish Mehta, Kamini Sunil Mehta, BC Investments IV, Arunkumar Purshotamlal Khanna, Berjis Minoo Desai, and Sonali Sanjay Mehta will also be offloading shares in the OFS.

Furthermore, the public issue includes a reservation of 1,08,900 equity shares for company's employees who may get those shares at a discount to final offer price. The issue excluding employee's portion is the net issue.

Half of the net issue size has been reserved for qualified institutional buyers (which includes up to 60 percent portion for anchor investors), 35 percent for retail investors, and the remaining 15 percent for non-institutional investors (high networth individuals).

The pharmaceutical company with a strong presence in India, Europe and Canada will utilise Rs 600 crore out of the net fresh issue proceeds for repaying debts as it has debt of Rs 2,091.9 crore on its books by the end of March 2024. The remaining funds will be used for general corporate purposes.

Emcure earned 48.28 percent of its business in financial year (2024) gone by, from India. Further, on the domestic front, it has presence in most of the major therapeutic areas, including gynaecology, cardiovascular, vitamins, minerals and nutrients, HIV antivirals, blood-related and oncology/anti-neoplastics.

The company recorded a 6 percent on-year decline in net profit at Rs 527.6 crore for the year ended March FY24, partly impacted by weak operating margin. Revenue from operations grew by 11.2 percent to Rs 6,658.3 crore, while EBITDA (earnings before interest, tax, depreciation and amortisation) rose by 4.1 percent to Rs 1,229.7 crore but margin dropped 120 bps to 18.5 percent for the year gone by (FY24).

Emcure that competes with Dr Reddy's Laboratories, Cipla, Alkem Laboratories, Torrent Pharmaceuticals, Mankind Pharma, Abbott India, and JB Chemicals will make its debut on the BSE and NSE on July 10.