Sai Life Sciences IPO subscribed 84%, QIB portion booked 2.62 times on Day 1; Check GMP, other details | Stock Market News

Sai Life Sciences Limited’s initial public offering (IPO), through a book-built issue, offers a combination of a fresh issue of equity shares amounting to ₹950 crore and an offer-for-sale (OFS) component of up to 3.81 crore equity shares. The ₹3,043 crore IPO opened for public subscription on Wednesday, December 11 and will close on Friday, December 13. 

The public issue was subscribed 84 per cent on the first day. Among the three segments, the Qualified Institutional Buyers (QIBs) subscribed to the IPO the most, at 2.62 times the shares offered. The retail investors followed the QIB lead by subscribing 18 per cent of their available shares. The Non-Institutional Investors (NIIs) subscribed to the Sai Life Sciences IPO 15 per cent of their available share, according to the Bombay Stock Exchange (BSE) IPO data.

The contract research, development and manufacturing organisation raised ₹912.78 crore from investors in its anchor round held on Tuesday, December 10. The company has set the public offer’s price band in the range of ₹522 to ₹549 per share, with a lot size of 27 shares per lot. 

Sai Life Sciences IPO GMP today

As of December 11, Sai Life Sciences’ initial public offer (IPO) has a grey market premium (GMP) of ₹36. The GMP has increased by ₹5 to its level of ₹36 after the first day of bidding. The IPO has a GMP of ₹31 on Tuesday, December 10.

Grey market premium is the investors’ willingness to pay more for a public issue. With the upper price band at ₹549, the shares are expected to hit Dalal Street at ₹585, a premium of 6.56 per cent, according to data collected from Investorgain.com. 

Sai Life Sciences IPO Details 

Sai Life Sciences is a global player in the contract research, development and manufacturing organisation (CRDMO) segment. The company earned a net profit of ₹82.81 crore in the financial year 2023-24, compared to ₹10 crore in the financial year 2022-23.

Sai Life Sciences plans to use the funds raised from the public issue to repay or prepay certain outstanding borrowings, as well as for general corporate purposes.

Kotak Mahindra Capital Company Limited, Jefferies India Private Limited, Morgan Stanley India Company Pvt Ltd, and IIFL Securities Ltd are the book-runners for the public issue, while Kfin Technologies Limited is the registrar to the offer.