Sai Life Sciences IPO GMP Indicates Muted Listing Ahead Of Issue Open On Dec. 11

The grey market premium of contract research, development, and manufacturing organisation (CRDMO) Sai Life Sciences Ltd., which will open its initial share sale on Dec. 11, indicates a listing gain of 5.83% on debut. Sai Life Sciences IPO GMP stood at Rs 32 as of 11:55 am on Dec. 10, as per InvestorGain, indicating a muted listing over the upper price band if the current trends are sustained.

Since starting trading on Dec. 6, Sai Life Sciences shares' GMP has decreased from Rs 31 to Rs 28 at the unlisted market.

Note: GMP or grey market price is not an official price quote for the stock and is based on speculation.

Investors can place their bids for Sai Life Sciences' IPO from Dec. 11 to Dec. 13. Share allotment for the issue is likely to be done on Monday, Dec. 16. The company's shares are likely to list on BSE and NSE on Dec. 18.

Sai Life Sciences IPO price band has been fixed at Rs 522 to Rs 549 apiece. Retail investors can bid in the IPO with a minimum lot size of 27 shares, resulting in an investment of Rs 14,823 for a single application.

The public offer is a combination of a fresh issue of 1.73 crore shares worth Rs 950 crore and an offer-for-sale component of 3.81 crore shares totalling Rs 2,092.62 crore. The issue has a total offer size of Rs 3,042.62 crore. 

KFin Technologies Ltd. is the registrar for the offer. The company has appointed Kotak Mahindra Capital Company Ltd., Jefferies India Pvt. Ltd., Morgan Stanley India Company Pvt. Ltd. and IIFL Securities Ltd as the book-running lead managers for the IPO.

Use of Proceeds

In its red herring prospectus, Sai Life Sciences said that it would use the proceeds from its IPO to repay its debts and for general corporate purposes.

About Sai Life Sciences Ltd.

Sai Life Sciences Ltd. is engaged in research, development and manufacturing of small-molecule new chemical entities. It offers custom-made services to biotech firms and global pharma companies.

As of Sept. 30, 2024, the company's CDMO product portfolio consisted of over 170 innovator pharmaceutical products, including 38 products used in the manufacturing of 28 commercial drugs.

Disclaimer: Investments in initial public offerings are subject to market risks. Please consult with financial advisors and read red herring prospectus thoroughly before placing bids.