Indegene Ltd IPO: Review, Valuation, Opening Date & GMP

Indegene Limited IPO  - Complete Overview

Established in 1998, Indegene Limited provides digital-led commercialization services for the life sciences industry, serving biopharmaceutical, emerging biotech, and medical devices companies. 

It assists them with drug development, clinical trials, regulatory submissions, pharmacovigilance, complaints management, and sales and marketing. The company's solutions empower life sciences companies to develop and launch products more effectively, efficiently, and modernly, driving sales throughout their lifecycle.

Indegene offers services in four categories: Enterprise Commercial Solutions, Omnichannel Activation, Enterprise Medical Solutions, and Enterprise Clinical Solutions, alongside consultancy services. 

Through its subsidiary, DT Associates Limited, operating under the "DT Consulting" brand, it aids life sciences companies in managing their digital transformation efforts for enhanced customer experience.

In 2023, Indegene Limited was honored with the Platinum Level award at the Healthy Workplace Conference and Awards, recognizing its outstanding contributions. This distinction was conferred by Arogya World India Trust in collaboration with the Public Health Foundation of India.

As of December 31, 2023, the company served 65 active clients generating revenues of US$0.25 million or more. It boasted a workforce of 5,181 full-time employees across 10 countries, with 4,510 dedicated to delivery roles.

 

Indegene Limited IPO Overview

Indegene Limited IPO date is slated to be open for subscription from May 6, 2024, to May 8, 2024. This NSE, BSE IPO follows a Book Built Issue IPO.

Indegene Limited IPO price is fixed in the range of at Rs.430 to Rs.452 per share. 

The total issue size of this IPO amounts to Rs.1,841.76 Cr. The company has allocated shares 35% to retail investors, 50% to institutional and 15% to non instituional investors.

 

 

Company Financial

Compared to the financial year ending March 31, 2023, and March 31, 2022, Indegene Limited has seen growth in total assets, net worth, and total revenue. The profit after tax and total borrowing has increased.

Amount in Lakhs

Period	31 Dec 2023	31 Mar 2023	31 Mar 2022
Total Assets	2,518.15	2,203.87	1,353.47
Total Revenue	1,969.75	2,364.10	1,690.50
PAT	241.90	266.10	162.82
Net worth	1,327.00	1,063.72	763.90
Reserve & Surplus	1,282.65	1,019.43	763.55
Total Borrowings	399.33	394.34	18.24

 

Operation-wise Revenue Break up

(Amount in millions)

 

Country-wise Revenue Breakup

(Amount in millions)

Particulars	31 December, 2023	FY 23	FY 22
North America	12,737.97	15,745.77	11,027.45
Europe	5,762.78	6,308.83	4,538.49
India	155.31	355.60	332.90
Rest of the World	510.05	651.13	747.25
Total Revenue from Operations	19,166.11	23,061.33	16,646.09

 

The Objective of the Issue

The company plans to utilize the Net Proceeds for the following purpose:

1. Repayment or prepayment of indebtedness of one of our Material Subsidiaries, ILSL Holdings, Inc.

2. Funding the capital expenditure requirements of our Company and one of our Material Subsidiaries, Indegene, Inc.

3. General corporate purposes and inorganic growth.

 

Peers of Indegene Limited IPO

No companies, either in India or globally, of comparable size, belonging to the same industry, and possessing a similar business model as the Company, are listed.

 

 

Evaluation

The IPO is priced within the range of Rs.430 to Rs.452 per share.

Evaluation of P/E Ratio

• Considering the FY23 EPS of Rs 11.97 from the last year, the resulting P/E ratio is 37.76x.

• Taking into account the weighted EPS of Rs 9.64 for the last three years, the P/E ratio amounts to 46.88x.

Comparative Analysis with Listed Peers

• No companies are listed in India or globally.

 

IPO's Strengths

• Domain expertise in healthcare.

• Robust digital capabilities and an in-house developed technology portfolio.

• A track record of establishing long-standing client relationships.

• A global delivery model.

• An experienced management team and motivated talent pool supported by marquee investors.

• A track record of creating value through acquisitions.

 

IPO's Weaknesses 

• The company's exclusive focus on the life sciences industry leaves it vulnerable to adverse effects from industry-related factors.

• The majority of its revenue comes from its subsidiaries.

• The highly competitive nature of the life sciences operations industry makes future prospects hard to anticipate.

• Compliance with data protection and other laws is necessary due to restrictions on the collection, use, and disclosure of sensitive information, including health data.

 

IPO GMP Today 

The Latest GMP of Indegene Limited is Rs. 275.

 

 

Indegene Limited IPO timetable (Tentative)

Indegene Limited IPO is scheduled from May 6 to May 8, 2024, with allotment on May 9, refund initiation on May 10, and listing on May 13, 2024.

Events	Date
IPO Opening Date	May 6, 2024
IPO Closing Date	May 8, 2024
IPO Allotment Date	May 9, 2024
Refund initiation	May 10, 2024
IPO Listing Date	May 13, 2024

 

Indegene Limited IPO Details 

Indegene Limited IPO, with a face value of Rs.10 per share, opens on May 6 and closes on May 8, 2024, offering 40,746,891 shares at Rs.430 to Rs. 452 per share, with a lot size of 33 shares, aiming to raise Rs.1,841.76 Cr, and will be listed on BSE, NSE.

IPO Opening & Closing Date	May 6, 2024 to May 8, 2024
Face Value	Rs. 2 per share
Issue Price	Rs. 430 to Rs. 452 per share
Lot Size	33 Shares
Price of 1 lot	Rs. 14,916
Issue Size	40,746,891 Shares (aggregating up to Rs.1,841.76 Cr)
Offer for sale	23,932,732 Shares of Rs.2 (aggregating up to Rs.1,081.76 Cr)
Fresh issue	16,814,159 Shares (aggregating up to Rs.760.00 Cr)
Employee Discount	Rs 30 per share
Listing at	BSE, NSE
Issue Type	Book Built Issue IPO
Registrar	Link Intime India Pvt. Ltd.

 

Indegene Limited IPO Lot Details 

For Indegene Limited IPO, the retail investor invest in minimum 1 lot (33 shares) at Rs.14,916 and maximum 13 lot (429 shares) at Rs.193,908 while for HNI investors, the minimum investment is 14 lots (462 shares) at Rs.208,824.

Minimum Lot Investment (Retail)	1 lot
Maximum Lot Investment (Retail)	13 lot
Minimum Lot Investment (HNI)	14 lot
Maximum Lot Investment (HNI)	67 lot

 

Indegene Limited IPO Reservation 

Institutional share Portion	50%
Non-institutional share Portion	15%
Retail share Portion	35%

 

Promoters and Management of Indegene Limited

BCP Topco VII Pte. Ltd

Pre-issue Promoter shareholding	30.71%
Post-issue Promoter shareholding

 

Indegene Limited IPO Lead Managers

• Kotak Mahindra Capital Company Limited

• Citigroup Global Markets India Private Limited

• J.P. Morgan India Private Limited 

• Nomura Financial Advisory 

• Securities (India) Pvt Ltd 

 

 

Dividend Policy

The Company has not declared any dividends in the three Financial years.

 

Conclusion

The company holds a monopoly in the sector and has consistently generated substantial revenue. It derives over 98% global revenue. The upcoming IPO represents a promising opportunity for investors. Experienced investors can apply for the IPO after carefully evaluating all factors to maximize their gains.

 

Finowings IPO Analysis

Hope you enjoyed the Finowings IPO Analysis. We tried our best to give every required detail about the company that you should know before applying to the IPO. 

You must consult your financial advisor before making any financial decisions. 

To Apply for the IPO, Click Here.

 

To Read the Prospectus of the Company Click Here to Download the DRHP.

 

 

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