Indegene Ltd, a technology-led healthcare solutions provider to biopharmaceutical, biotech and medical devices companies, made a strong stock market debut on Monday with its shares gaining 26.25% on the first day of trade.
Shares of Indegene, backed by private equity firm Carlyle, listed on BSE Ltd at Rs 659.70 apiece, up 46% from its initial public offering price of Rs 452. The shares fell to a low of Rs 527.80 apiece before closing at Rs 570.65, stock-exchange data show. At the closing level, the company commands a market capitalisation of Rs 13,653.88 crore ($1.64 billion).
The strong listing comes after Indegene’s IPO recorded subscription of 69.66 times the shares on offer. It received bids for more than 2 billion shares against the 28.8 million shares on offer.
Institutional investors bid for 197.55 times the portion reserved for them while non-institutional investors placed bids for 54.67 times their quota. The retail investors’ portion was covered 7.61 times.
Indegene’s Rs 1,841.76-crore public offering comprised a fresh issuance of shares worth Rs 760 crore and an offer for sale of 23.9 million shares worth Rs 1,081.76 crore. The company garnered Rs 549 crore from anchor investors such as Abu Dhabi Investment Authority and a bunch of mutual funds ahead of the IPO.
Carlyle and Brighton Park Capital, a private investment firm that specializes in software, information services, technology-enabled services and healthcare sectors, sold part of their stake in the IPO, albeit after modifying their original plan. The two investment firms had jointly bet $200 million (around Rs 1,500 crore then) on Indegene in March 2021, via a secondary sale from existing shareholders and a primary investment into the company.
Both had trimmed their stake a year ago by selling a small chunk of their holding to Avendus Future Leaders Fund.
Bengaluru-based Indegene was founded in 1998 by first-generation entrepreneurs Manish Gupta, Sanjay Parikh, Rajesh Nair, Gaurav Kapoor and Anand Kiran. It provides product commercialization, enterprise marketing, data analytics, medical transformation, and learning and development services.