Mumbai, 3rd November, 2016 (GPN) : GreenSignal Bio Pharma Ltd. (GSBPL), a vaccine manufacturing company, is entering the capital market with its initial public offering of 1,45,79,560 Equity Shares of Face Value of Rs.10 each through an Offer for Sale by P. Sundaraparipooranan and Dr. P. Murali (collectively referred to as Promoter Selling Shareholders); Mallika Murali (Promoters Group Selling Shareholder); and R. Srinivasan and Avon Cycles Ltd. (collectively referred to as Public Selling Shareholders). The Offer will constitute 38% of the Fully Diluted Post Offer Paid-Up Equity Share Capital of the Company.
Dr. P. Murali, Managing Director, GSBPL, addressing the press conference in Mumbai today 3rd Nov 16
The Equity Shares are being offered in the Price Band of Rs.76 to Rs.80 per Equity Share of Face Value of Rs.10 each.
The 100% Book Building Issue will open on Wednesday, 9th November, 2016 and close on Friday, 11th November, 2016.
The Equity Shares are being offered to QIBs, HNIs and retail investors in India as well as FIIs, FPIs and NRIs eligible to invest in these securities.
The Equity Shares are proposed to be listed on BSE and NSE.
Indian Overseas Bank is the global coordinator and Book Running Lead Manager to the Issue.
GSBPL has been promoted by Mr. P. Sundaraparipooranan and Dr. P. Murali.
BCG vaccine manufactured by GSBPL is given for protection against tuberculosis, mainly severe forms of childhood tuberculosis. 24 million children below the age of one year were administered BCG vaccine during 2015. BCG vaccine demand through UNICEF has increased from 123 million doses in 2014 to 152.2 million doses in 2015.
The global demand for BCG vaccines is estimated at approximately 280 million doses annually, with the highest requirement coming from India. The total shortfall for BCG vaccination is estimated at nearly 30 million doses annually.
GSBPL is one of the four companies worldwide who have been WHO-prequalified to supply the BCG vaccine to UNICEF. As on date the Company produces two products:
1. BCG Vaccine for immunization against Tuberculosis
2. BCG-ONCO for Immunotherapy (Freeze Dried) BP for the treatment of Urinary Bladder Carcinoma and our brand name for the same is Urovac.
The major domestic client of the Company is Ministry of Health & Family Welfare, Government of India and overseas client is UNICEF.
The company has a firm order of 84 lakhs vials to be executed in the next two years. GSBPL also exports products to 17 countries either directly through UNICEF or indirectly, through supply, distribution and other arrangements.
GSBPL has commercial arrangement to distribute BCG-ONCO for Immunotherapy drug throughout India as also limited supplies to various countries like Lebanon, Saudi Arabia, Turkey and Switzerland.
The Companys manufacturing facility is located at No.49, Pappankuppam Village, Gummidipoondi, Tiruvalluvar Dist – 601 201. The Company has acquired land admeasuring about 34.01 acres for a fresh facility at Tiruvallur, Chennai, Tamil Nadu.
GSBPL’s consolidated net revenues from operations grew at a CAGR of 210.70% in the period from fiscal year 2015 to fiscal year 2016. Revenue from operations have increased by 210.36 % to ₹2049.25 Lacs for the year ended March 31, 2016 from ₹660.29 Lacs for the year ended March 31, 2015. For fiscal year 2016, the domestic and international operations accounted for 53.79% and 46.20%, respectively, of Company’s net revenues from operations.
The vaccine market, which was once considered as a commodity market, is now among the fastest developing markets for the global pharma industry. The global vaccine industry has witnessed impressive growth in recent times and has surpassed many of the traditional businesses in the global pharmaceutical market. It has now captured almost 3% of the overall global pharmaceutical industry.
India is one of the largest manufacturers and exporters of vaccines worldwide, with 12 major vaccine manufacturing facilities. These vaccines are used for the national and international markets (150 countries), which makes India a major vaccine supplier across the globe. India is the largest vaccine supplier to the UNICEF, supplying nearly 37% of the vaccines procured by UNICEF annually.
Disclaimer: GreenSignal Bio Pharma Limited is proposing, subject to applicable statutory and regulatory requirements, receipt of requisite approvals, market conditions and other considerations, to make an initial public offer through Offer for Sale of its Equity Shares and has filed the Red Herring Prospectus with SEBI. The Red Herring Prospectus is available on the websites of SEBI, BSE, NSE at www.sebi.gov.in, www.bseindia.com and www.nseindia.com, respectively, and on the website of the Global Co-ordinator and BRLM at www.iob.in. Any potential investors should note that investment in Equity Shares involves a high degree of risks and for details relating to the same, see Risk Factors beginning on page 13 of the Red Herring Prospectus. Potential investors should not rely on the DRHP filed with SEBI.
