Anthem Biosciences IPO Opens: Subscribe On A Long-Term Basis, Says Geojit — Check Issue Details

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Geojit Report

Anthem Biosciences Ltd. launched its IPO on July 14 and the offer closes for subscription on July 16.

Anthem Biosciences is a fully integrated, innovation-led and technology-driven CRDMO offering end-to-end solutions across the drug discovery, development, and manufacturing value chain.

The company has fixed the price band in the range of Rs 540 to Rs 570 per share.

The Rs 3,395 crore IPO, comprises entirely of an offer-for-sale component of 5.96 crore shares.

Investors can place bids starting from a minimum of 26 shares and in multiples thereafter.

JM Financial Ltd., Citigroup Global Markets India Pvt Ltd, J.P. Morgan India Pvt Ltd, Nomura Financial Advisory and Securities (India) Pvt Ltd. are the book-running lead managers for the public issue.

Purpose of IPO

The issue consists of an offer-for-sale of Rs 3,395 crore. The object of the offer is to achieve the benefits of listing the equity shares on the stock exchanges.

At the upper price band of Rs 570, Anthem Biosciences is valued at a P/E of 71x (FY25), which is fair compared to industry peers. The company is well positioned to benefit from the growth of the Indian CRDMO industry, cost advantages, and global supply chain shifts.

Its focus on emerging biotech clients, expanding manufacturing capacity, and long-standing customer relationships further support its growth prospects.

Hence, we recommend a ‘Subscribe’ rating on a long-term basis.

Key Risks

1. Revenue depends on success of molecules; clinical failures can impact earnings.

2. High export dependence, with ~83% of revenue derived in FY25, expected to moderate in the long term.

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