Corona Remedies Initial Public Offering opens for subscription today, December 8. The pharma company is launching a Rs 655 crore Offer for Sale.
Let’s take a look at the 5 key factors to watch about this issue –
Corona Remedies IPO: Key details of the issue
Corona Remedies is opening its Rs 655 crore public issue, structured entirely as an Offer for Sale.
The price band for the offer is set between Rs 1,008-1,062 per share.
Corona Remedies IPO: Grey market buzz
Recent trends show the shares are trading at a premium, with unofficial quotes suggesting levels around Rs 1,342. This works out to roughly 26% above the upper end of the price band.
However, it is important to note that GMP is not official and tends to change quickly based on market mood and demand.
Corona Remedies IPO: Objectives of issue
Since the IPO does not raise fresh capital for the company, there is no direct infusion of funds into business operations.
After the sale, the promoter group which currently holds around two-thirds of the company will see its stake reduce proportionately, though the brand’s day-to-day operations are expected to continue unchanged.
Corona Remedies IPO: Lot size
Retail investors can enter the issue with a minimum lot of 14 shares. This is the smallest allowed application size, while the maximum for retail buyers is 13 lots, equal to 182 shares. The bar is higher for high-net-worth individuals.
Small HNIs need to apply for at least 14 lots, or 196 shares, while large HNIs must bid for a minimum of 68 lots, equal to 952 shares. Employees applying under the reserved quota will also receive a discount of Rs 54 per share.
Corona Remedies IPO: Key dates for investors
The subscription window opens today and will remain open until December 10. The allotment process is expected to be completed by December 11, with refunds and demat credits set for December 12.
Corona Remedies is likely to make its market debut on December 15.