LIVE: Corona Remedies IPO Day 3 – Check subscription, allotment status; GMP rises to 25%

According to Deven Choksey Research, “the company has undertaken recent acquisitions like Myoril from Sanofi and Spye from Bayer. It is bolstering its gynaecology and cardiology portfolio and executed a partnership with Ferring for Solifenacin. Between FY23-25, the revenue grew at a compounded annual growth rate

(CAGR) of 18%. The company is targeting revenue CAGR of

20% in the next 2-3 years by undertaking 15-20 new launches

every year. In terms of capacity, it has expanded the Bhayla

hormones facility.”

They highlighted that as a long-term strategy, “it will enter the

exports market and increase its revenue contribution to 5%

by FY28.”

A report by Geojit highlights that “Corona Remedies has been ranked as the second fastest-growing company among the top 30 players in the Indian pharmaceutical market (IPM), with domestic sales rising at a 16.8% CAGR over the period from Moving Annual Total (MAT) June 2022 – June 2025. “

According to them, “this growth outpaced the industry’s 9.21% CAGR and is 1.8 times higher than the overall market.”

The Indian domestic formulation market has been valued at Rs 2.3 trillion in FY25 (2% of global pharma). It has grown at an annually 9% rate on a compounded basis between FY20–FY25 and is projected to reach Rs 3.3–3.5 trillion by FY30 at 8–9% CAGR, driven by rising chronic diseases, greater healthcare awareness, and improved access.

The company’s R&D capabilities are integrated within its manufacturing sites, with a team of 103 employees (as of June 30, 2025) engaged in formulation development, manufacturing process optimisation, packaging R&D and process engineering. The company’s pipeline is oriented towards differentiated hormone and speciality products, supporting both domestic and international expansion.

“At the upper price band of Rs 1,062, Corona Remedies is available at a P/E of 43.5x (FY25 post issue basis), which appears to be fairly priced. With a strong distribution network, successful acquisitions and in-licensing, resilient financial performance, lean balance sheet and continued focus on R&D and innovation, the company is well-positioned for long-term growth. We therefore assign a ‘Subscribe’ rating for investors with a long-term investment horizon,” said Geojit Investments in an IPO note.

Corona Remedies ranked as the second fastest-growing company among the top 30 players in the Indian pharmaceutical market (IPM), with domestic sales rising at a 16.8% CAGR over the period from Moving Annual Total (MAT) June 2022 to June 2025. This growth outpaced the industry’s 9.21% CAGR and is 1.8 times higher than the overall market.

A key driver of growth is the company’s strategic focus on the “middle of the pyramid,” emphasising specialist and super-specialist engagement across urban and semi-urban geographies. Specialists contributed 76% of prescriptions in MAT June 2025, compared with 61% for the IPM. This strategy has supported consistent prescription share gains and an improvement in overall IPM ranking from 37th in MAT June 2022 to 29th in MAT June 2025.

“With increasing awareness of treatments of various diseases women’s healthcare in India has evolved in the recent years. With a strong base in chronic and sub-chronic therapies, a focus on specialists, Corona Remedies is strategically positioned to capitalise on the sustained growth of India’s pharmaceutical sector and strengthen its leadership within the domestic market. Investors may consider the IPO as a potential long-term investment opportunity,” said Master Capital Services in an IPO note.

Corona Remedies is ranked 6th in women’s healthcare, 5th in pain management, 22nd in cardio-diabeto (cardiac and diabetes care), and 9th overall in domestic sales, supported by the launch of its urology division in 2023, Geojit Investments said in its report

Investors have a window until December 10 to place their bids, as the pharmaceutical company seeks to sell a portion of its existing stake to the public.

The company raised Rs 194.85 crore in the anchor round. The key participants include SBI Mutual Fund, ICICI Prudential Mutual Fund, Kotak Mahindra AMC, and Axis Mutual Fund.

The company operates two manufacturing facilities in Gujarat and Himachal Pradesh with a combined installed capacity of 1.29 billion units per annum across 11 production lines. A hormone manufacturing facility in Gujarat is expected to be commissioned in Q1 FY27.

As per the latest update, the company’s shares are trading at Rs 1,319 in the unlisted markets. This indicates a GMP of 24% over the upper price band of the shares. However, the GMP is down slightly from day of 1 bidding as on the first day shares were trading at Rs 1,324.

But it is important to note that GMP is an unofficial metric for determining the listing price of shares. It fluctuates and changes depending on market mood and conditions

“At the upper price band of ₹1,062, CRL is available at a P/E of 43.5x (FY25 post issue basis), which appears to be fairly priced,” Geojit Investments said.

With a strong distribution network, successful acquisitions and in-licensing, resilient financial performance, lean balance sheet and continued focus on R&D and innovation, the company is well-positioned for long-term growth. We therefore assign a SUBSCRIBE rating for investors with a long-term investment horizon, it added

For Q1FY26, the pharma company generated nearly 4% of its revenue from its international operations. The company plans on its expanding its overseas operations and currently operates in over 20 countries including UAE, Uzbekistan, Philippines, Kenya, Cyprus, etc.

For Q1FY26, the company reported sales worth Rs 346.5 crore, while its EBITDA for the same quarter stood at Rs 69.8 crore. The company reported a profit of Rs 46.2 crore for the Q1FY26.

“With increasing awareness of treatments of various diseases women’s healthcare in India has evolved in the recent years. With a strong base in chronic and sub-chronic therapies, a focus on specialists, Corona Remedies is strategically positioned to capitalise on the sustained growth of India’s pharmaceutical sector and strengthen its leadership within the domestic market. Investors may consider the IPO as a potential long-term investment opportunity,” said Master Capital Services in an IPO note.

Corona Remedies ranked as the second fastest-growing company among the top 30 players in the Indian pharmaceutical market (IPM), with domestic sales rising at a 16.8% CAGR over the period from Moving Annual Total (MAT) June 2022 to June 2025. This growth outpaced the industry’s 9.21% CAGR and is 1.8 times higher than the overall market.

According to CRISIL, as of June 2025, Corona Remedies is ranked 6th in women’s healthcare, 5th in pain management, 22nd in cardio-diabeto (cardiac and diabetes care), and 9th overall in domestic sales, supported by the launch of its urology division in 2023, Geojit Investments said in its report

A key driver of growth is the company’s strategic focus on the “middle of the pyramid,” emphasising specialist and super-specialist engagement across urban and semi-urban geographies. Specialists contributed 76% of prescriptions in MAT June 2025, compared with 61% for the IPM. This strategy has supported consistent prescription share gains and an improvement in overall IPM ranking from 37th in MAT June 2022 to 29th in MAT June 2025.

In the anchor round, the company raised Rs 194.85 crore. The key participants include SBI Mutual Fund, ICICI Prudential Mutual Fund, Kotak Mahindra AMC, and Axis Mutual Fund.

“On the valuation front, Based on annualized FY26 earnings, the company is seeking a P/E of 35.3 times, and a post-issue market capitalization of approximately Rs 64,952 million, making the issue appears to be fully priced. We believe the company enters the next phase of growth with high-visibility revenue drivers, differentiated capabilities, and a robust pipeline, positioning it for sustained market share gains and long-term value creation. Hence, we assign Subscribe for long term only rating for the issue,” said Anand Rathi Research in its IPO note.

The company operates two manufacturing facilities in Gujarat and Himachal Pradesh with a combined installed capacity of 1.29 billion units per annum across 11 production lines. A hormone manufacturing facility in Gujarat is expected to be commissioned in Q1 FY27.

The Indian domestic formulation market, valued at Rs 2.3 lakh crore in FY25 (2% of global pharma), grew at a 9% CAGR during FY20–25 and is projected to reach Rs 3.3–3.5 lakh crore by FY30 at 8–9% CAGR, driven by rising chronic diseases, greater healthcare awareness, and improved access.

Bigshare Services has been appointed as the registrar. The allotment process will follow after the close of bidding, and investors will be able to track refunds and demat credits once the allotment is finalised.

Retail investors can apply for a minimum of one lot, consisting of 14 shares, which translates to an investment of Rs 14,868 at the upper end of the price band. Investors can place bids in multiples of 14 shares beyond the minimum lot.

The company raised Rs 194.85 crore in the anchor round from 15 participants, including names like SBI Mutual Fund, ICICI Prudential Mutual Fund, Kotak Mahindra AMC, and Axis Mutual Fund.

The IPO allocation is divided across investor categories, with 35% of shares reserved for retail investors, 50% for qualified institutional buyers, and 15% for non-institutional investors. The subscription trends from today’s first day of bidding will provide early indications of investor interest and appetite for the issue.

“On the valuation front, Based on annualized FY26 earnings, the company is seeking a P/E of 35.3 times, and a post-issue market capitalization of approximately Rs 64,952 million, making the issue appears to be fully priced. We believe the company enters the next phase of growth with high-visibility revenue drivers, differentiated capabilities, and a robust pipeline, positioning it for sustained market share gains and long-term value creation. Hence, we assign Subscribe for long term only rating for the issue,” said Anand Rathi Research in its IPO note.

Corona Remedies IPO was subscribed 62% as of the first day of bidding. Investors booked 28,17,234 shares out of the total 45,71,882 shares available.