TPG-backed Sai Life Sciences IPO to open on December 11; sets price band at Rs 522-549 per share

New Delhi: Private equity major TPG Capital-backed Sai Life Sciences on Friday said it has fixed a price band of Rs 522-549 per equity share for its Rs 3,043 crore Initial Public Offering (IPO) that opens for public subscription on December 11.

The intial share sale will conclude on December 13, and the bidding for the anchor portion will open for a day on December 10, the company announced.

The IPO is a combination of a fresh issue of equity shares worth up to Rs 950 crore and an Offer For Sale (OFS) of up to 3.81 crore equity shares by a promoter, investor shareholders and other shareholders, according to the Red Herring Prospectus (RHP).

Under the OFS, one of the promoter entities -- Sai Quest Syn Pvt Ltd -- and investor shareholders -- TPG Asia VII SF Pte Ltd, HBM Private Equity India -- will offload their respective stakes.

Bharathi Srivari, Anita Rudraraju Nandyala, Raju Penmasta, Dirk Walter Sartor, Jagdish Viswanath Dore, Rajagopal Srirama Tatta and K Pandu Ranga Raju were the other selling shareholders who will also divest their stakes in the company.

At the upper end of the price band, the company is going to fetch around Rs 3,042.62 crore from the IPO.

Earlier, the Hyderabad-based Sai Life Sciences had filed its IPO papers with the Securities and Exchange Board of India (Sebi) in July 2024 and obtained the markets regulator's approval in November, to float the initial share sale.

Of the IPO proceeds, funds to the tune of Rs 720 crore will be used for debt payment and a portion will be used for corporate general purposes.

Investors can bid for a minimum of 27 equity shares and in multiples thereafter.

Sai Life Sciences provides end-to-end services across the drug discovery, development, and manufacturing value chain, for small molecule New Chemical Entities (NCE), to global pharmaceutical innovator companies and biotechnology firms.

During the six-month ended September 2024, Sai Life Sciences reported a total income of Rs 693.35 crore against Rs 656.8 crore a year ago. It posted a net profit for the six months at Rs 28.01 crore as compared to a loss of Rs 12.92 crore last year.

Kotak Mahindra Capital Company Ltd, IIFL Capital Services Ltd (formerly IIFL Securities Ltd), Jefferies India and Morgan Stanley India Company are the book running lead managers, while KFin Technologies is the registrar for the IPO.

The company's shares are proposed to be listed on the BSE and National Stock Exchange (NSE).