Rubicon Research IPO: Pharmaceutical innovator Rubicon Research has captured strong investor attention ahead of its much-awaited Rs1,377.5 crore initial public offering (IPO). A day before the issue opened to the public, the Mumbai-based company successfully raised an impressive Rs619.08 crore from 32 anchor investors, signaling immense confidence in its growth story and future potential.
This significant pre IPO fundraising took place on October 8, setting the stage for Rubicon’s public offering, which opens for subscription on October 9 and closes on October 13.
The upcoming IPO is a blend of both fresh equity issuance and an offer for sale (OFS). Rubicon Research plans to raise Rs500 crore through fresh shares, while its promoter General Atlantic Singapore RR will offload Rs877.5 crore worth of shares, slightly trimming its ownership below the 50% mark.
Anchor Investors Show Strong Confidence
Rubicon’s pre IPO anchor book was met with strong enthusiasm. The company revealed that it has allocated 1,27,64,691 equity shares to anchor investors at a price of Rs485 per share.
A remarkable 38.83% of this anchor allocation amounting to 49.56 lakh shares valued at Rs240.4 crore went to eight prominent domestic mutual funds. Among them were reputed names such as PGIM India, Mirae Asset, Bajaj Finserv, Kotak Mahindra AMC, HDFC AMC, and ICICI Prudential Mutual Fund.
Additionally, global investment giants like Goldman Sachs, Fidelity, Nomura Funds, Amansa Holdings, Societe Generale, University of Notre Dame, and GP Emerging Markets Strategies also participated, further boosting market confidence in Rubicon’s growth potential and business fundamentals.
How the IPO Funds Will Be Used
Rubicon Research has clear plans for the proceeds from its IPO. Out of the Rs500 crore raised through the fresh issue, the company intends to repay borrowings worth Rs310 crore, thereby strengthening its balance sheet and reducing financial leverage. The remaining funds will be channelled towards strategic acquisitions and general corporate purposes, helping the company accelerate its expansion and build a stronger global presence.
Recent Share Sale by Promoter
In a recent development just ahead of the IPO, the promoter entity General Atlantic Singapore RR sold 34.86 lakh shares (2.25% stake) between October 6 and 7 to funds managed by Motilal Oswal Small Cap Fund, Kotak Midcap Fund, and Kotak Manufacture in India Fund, at Rs484.47 per share for a total consideration of Rs168.9 crore. This transaction reduced the promoter’s stake to 49.9%.
Meanwhile, Shivanand Mankekar HUF remains the second largest shareholder with a 14.42% stake, followed by Amansa Investments, which holds 3.33% shares recently acquired from General Atlantic.
Merchant Bankers Steering the IPO
The prestigious firms Axis Capital, IIFL Capital Services, JM Financial, and SBI Capital Markets are the lead merchant bankers managing Rubicon Research’s IPO. Their involvement underscores the credibility and potential scale of this public offering in India’s thriving pharmaceutical sector.
A Bright Future Awaits
Rubicon Research’s strong investor response reflects growing optimism in India’s pharmaceutical innovation and export capabilities. With its focus on research-driven growth, robust investor backing, and strategic financial planning, Rubicon is well-positioned to carve a larger footprint in the global healthcare market.
As the IPO window opens, all eyes are on how the company performs on the bourses but one thing is clear: investor faith in Rubicon’s future is already shining bright.
Disclaimer: This article is for informational purposes only and should not be considered investment advice. Investors are encouraged to conduct their own research or consult a financial advisor before making investment decisions.
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