Onyx Biotec IPO: Over 9.95 Times Subscribed, Strong Retail Demand

Onyx Biotec IPO: Over 9.95 Times Subscribed, Strong Retail Demand

Onyx Biotec IPO: Over 9.95 Times Subscribed As the Onyx Biotec IPO approaches its closing date on November 18, 2024, it continues to attract significant investor attention. The IPO has seen a strong subscription, with a total oversubscription of 9.95 times as of November 14, 2024. Here’s a breakdown of the latest subscription data, grey market premium (GMP), company performance, key dates, and expert opinions.

Subscription Status

The Onyx Biotec IPO has seen notable interest from certain investor categories, particularly retail investors, though participation from Qualified Institutional Buyers (QIBs) has been absent:

– Qualified Institutional Buyers (QIB): 0.00 times
– Non-Institutional Investors (NII): 8.15 times
– Retail Investors: 16.40 times

The overall subscription indicates significant retail interest, despite the lack of involvement from QIBs.

Grey Market Premium (GMP)

As of November 14, the grey market premium (GMP) for Onyx Biotec shares stands at ₹15, suggesting that the shares could list at around ₹76, compared to the issue price of ₹61. This indicates a positive market sentiment and potential listing gains for investors.

Company Financials

Onyx Biotec has reported solid financial growth for the fiscal year ending May 31, 2024:

– Revenue: ₹53.74 crore, up from ₹39.48 crore in FY23
– Profit After Tax (PAT): ₹3.03 crore, compared to ₹1.84 crore in FY23

The company’s focus on sterile pharmaceutical products positions it well for growth in the expanding healthcare sector.

Important Dates

Investors should take note of the following key dates related to the IPO:

– IPO Open Date: November 13, 2024
– IPO Close Date: November 18, 2024
– Basis of Allotment Date: November 19, 2024
– Credit to Demat Accounts: November 20, 2024
– IPO Listing Date: November 21, 2024

 

Should You Apply?

Considering the current subscription figures and GMP trends, here are some factors for potential investors:

– Strong Retail Interest: The retail segment has been oversubscribed 16.40 times, showing high demand from individual investors.
– Positive GMP: A GMP of ₹15 suggests potential listing gains upon market debut.
– Lack of QIB Participation: The absence of institutional interest could raise concerns about long-term stability.

 

Expert Opinions

Some analysts recommend applying for the IPO based on strong retail demand and positive GMP trends. However, others advise caution due to the lack of institutional interest, which could point to risks in the IPO’s long-term performance.

 

Conclusion

The Onyx Biotec IPO presents a promising opportunity for retail investors, driven by robust subscription numbers and favorable grey market sentiment. However, investors should carefully consider both market trends and expert advice before making decisions.

 

Onyx Biotec IPO Subscribed 9.83x on the Second Day

Onyx Biotec IPO: Over 9.95 Times Subscribed The Onyx Biotec IPO saw strong interest on its second day of subscription, with the overall subscription reaching 9.83 times by 5:00 PM on November 14, 2024. The Qualified Institutional Buyer (QIB) segment remained unsubscribed at 0x, while the Non-Institutional Investors (NII) subscribed 8.11x, and Retail Individual Investors (RII) subscribed 16.17x. In total, Onyx Biotec received bids for 3.15 crore shares, compared to the 32 lakh shares on offer.

The IPO, which opened on November 13 and is scheduled to close on November 18, has a price band set between ₹58 and ₹61 per share, with a face value of ₹10.

On the first day of the subscription, the IPO was subscribed 3.15x.

 

Company Overview

Onyx Biotec IPO: Over 9.95 Times Subscribed Onyx Biotec, which began its operations in the pharmaceutical sector on May 13, 2015, initially specialized in sterile water for injection. Over time, the company has expanded its offerings to include a range of sterile pharmaceutical products such as Dry Powder Injections and Dry Syrups for both domestic and international markets. It ranks among India’s top pharmaceutical companies, known for its high-quality, affordable products. Onyx Biotec operates two manufacturing facilities, Unit I and Unit II, which produce large quantities of Sterile Water for Injection, Dry Powder Injections, and Dry Syrups daily.

 

Financials

Onyx Biotec IPO: Over 9.95 Times Subscribed For the fiscal year 2024, Onyx Biotec reported a revenue of ₹53.87 crore, up from ₹39.62 crore in 2023. The company’s profit also grew, reaching ₹3.03 crore in 2024 compared to ₹1.84 crore in 2023.

 

Grey Market Premium (GMP)

Onyx Biotec IPO: Over 9.95 Times Subscribed As of November 14, 2024, the Onyx Biotec IPO was trading at a GMP of ₹15, indicating that shares could list at ₹76, representing a premium over the issue price of ₹61.

 

Onyx Biotec IPO Opens Strong: Day 1 Subscription 2.22x

Onyx Biotec IPO: Over 9.95 Times Subscribed The Onyx Biotec IPO opened for subscription on Wednesday, November 13, 2024, and saw a strong response from investors, particularly retail investors and High Net-Worth Individuals (HNIs). As of 3:30 PM on Day 1, the issue had been subscribed 2.22 times, with the retail investor segment subscribed 4.23 times and the non-institutional investor (NII) category subscribed 1.16 times. However, the Qualified Institutional Buyer (QIB) portion remained unsubscribed on the first day.

The IPO, which will close on November 18, offers shares in a price band of ₹58 to ₹61 per equity share. Onyx Biotec is looking to raise ₹29.34 crore through the issue, which involves a fresh offer of 48.1 lakh shares. The lot size is set at 2,000 shares, requiring a minimum investment of ₹1,22,000 for retail investors. The IPO allocation is divided as follows: 9.12 lakh shares for QIBs, 6.88 lakh shares for NIIs, and 16 lakh shares for retail investors.

Key Dates and Details:

– Onyx Biotec IPO opens: November 13, 2024

– IPO close date: November 18, 2024

– Allotment date: November 19, 2024

– Shares credited to Demat accounts: November 20, 2024

– IPO listing date: November 21, 2024

– GMP (Grey Market Premium): ₹10, indicating the stock may list ₹10 higher than the issue price of ₹61

Onyx Biotec plans to use the proceeds from the IPO for various purposes, including upgrading its manufacturing units and repaying outstanding loans.

The company specializes in producing sterile water for injections and offers a range of dry powder injections and dry syrups. It operates two manufacturing facilities in Himachal Pradesh.

Investors are advised to consult with financial experts before making investment decisions.

 

Onyx Biotec IPO: Over 9.95 Times Subscribed Onyx Biotec, which began its operations in the pharmaceutical industry in 2010, is known for producing sterile water for injections. The company has grown to become a significant supplier of sterile pharmaceutical products to major Indian pharmaceutical companies. It manufactures sterile water and acts as a contract manufacturer for dry powder injections and dry syrups, serving both domestic and international markets. Onyx Biotec operates two advanced manufacturing facilities in Solan, Himachal Pradesh, with a daily production capacity of 6,38,889 units of sterile water, 40,000 units of dry powder injection, and 26,667 units of dry syrup.

 

Onyx Biotec IPO Details:

– IPO Open Date: November 13, 2024

– IPO Close Date: November 18, 2024

– Price Band: ₹58 to ₹61 per share

– Fresh Issue: 48.1 lakh shares, amounting to ₹27.90 – ₹29.34 crore

– Lot Size: 2,000 shares (₹1,22,000 minimum investment)- Retail Allocation: 35.04%

– Listing on: NSE EMERGE

– Face Value: ₹10 per share

 

Onyx Biotec Financial Performance:

– Revenue: ₹44.86 crore (FY 2022), ₹39.48 crore (FY 2023), ₹53.75 crore (FY 2024)

– Net Income: ₹3.35 crore (FY 2022), ₹1.84 crore (FY 2023), ₹3.03 crore (FY 2024)

 

Valuations & Margins:

– EPS: ₹2.84 (FY 2022), ₹1.56 (FY 2023), ₹2.54 (FY 2024)

– PE Ratio: 22.83 – 24.02 (FY 2024)

– ROCE: 12.19% (FY 2024)

– Debt/Equity: 1.24 (FY 2024)

– EBITDA Margin: 15.41% (FY 2024)

 

Onyx Biotec IPO GMP and Subscription:

– Current GMP: ₹15 (as of November 18, 2024), suggesting a potential listing at ₹76

– Kostak Rate: Not available

– Subject to Sauda Rate: ₹20,000 per application

 

Subscription Status (as of November 18, 2024):

– QIB Subscription: 0.68 times

– NII Subscription: 39.98 times

– Retail Subscription: 42.04 times

– Total Subscription: 29.81 times

 

Important Dates:

– IPO Opening Date: November 13, 2024

– IPO Closing Date: November 18, 2024

– Allotment Date: November 19, 2024

– Shares in Demat Account: November 20, 2024

– Listing Date: November 21, 2024

 

Contact Details:

– Lead Manager: Horizon Management Private Limited

– Registrar: MAS Services Limited

– Company: Onyx Biotec Limited

Investors can check their allotment status on the MAS Services website after the allotment date.