About the Company:
Sudarshan Pharma Industries is engaged in Contract Manufacturing, outsource & Supply of Generic Pharma formulation and medicines to healthcare institution, Government, NGO and Hospitals.
Company also does outsourcing their manufacturing facility, deal in Import and Exports, indenting and Supply in Specialty chemicals, API & its intermediate.
Company has developed expertise in innovation in specialty chemical, bulk drugs, API and pharmaceutical formulation to provide the products having wide application in pharma, paint, food and adhesive industry.
Sudarshan Pharma has launched wide products range in pharma formulation such as Jivan Kit, Setdown, Pulmo relief, Fix Pollen, Flupimac and many more as well as have established goodwill for quality products and have regular clients for the same.
Sudarshan Pharma also supplies generic pharmaceutical formulation as – Make to order – for bulk supply to the hospital, Health Centre of Corporate, Municipality and exports.
Contract Manufacturing Business:
Company has a Contract Manufacturing Agreement with four pharmaceutical companies and has also joined hands with regular suppliers having FDA and WHO approved plant to supply pharma formulation and more than 100 generic pharma products.
These units manufacture tablets, capsules, dry powder, dry injections powder, liquids, Injections & dry injections for company’s own brands.
Company’s Top Clients:
Company’s top clients include Cipla, Larsen & Toubro (Aeronautical division), Berger, Gujarat Insecticides, Huntsman, Navin Flourine Industries, Insecticides India Ltd, Isia (Asia) Agrochemicals Pvt Ltd SRF Ltd, Clean Science and Technology Pvt Ltd, Songwon Speciality Chemicals-India Pvt. Ltd to name a few.
For the fiscal year 2018, revenues from top 10(ten) customers constituted 78% of their total income during the said period. The percentage of income derived from our top customers in the last three financial years are given below:
Company’s Exports Business:
Sudarshan Pharma Industries Ltd operate both in domestic and international markets. Company has exported to countries like Uzbekistan, Bangladesh, Taiwan, Sultanate of Oman,(Muscat) Dubai, (UAE) & UK.
Further company has a product pipeline ready for exports in countries like South East Asia, Middle East & North Africa (MENA Region).
To develop the export business, company is in the process of applying for 16 formulation registrations in countries like Ghana, Georgia, Cambodia, Myanmar, Nigeria, Kenya, Malaysia & MINA region.
The product registrations will boost company’s exports and Pharma business operations.Company plans to expand the business by continuing to file product
registrations in international markets for business growth.
Some of the major clients for company’s pharmaceuticals and specialty chemicals include domestic as well as international customers like- Suan Hong Trading Ltd- Taiwan, Muscat Pharmaceuticals Mfg. Co- Oman, Nikapharma- Uzbekistan, Remex- Bangladesh, Rose Chemicals Ltd- UK to name a few.
Company’s Business Expansion Plans:
Management is planning for business expansion by having its own state of the art manufacturing facility at Wada, near Mumbai, Maharashtra.
It shall comply with the FDA, WHO and international standards to manufacture the pharmaceutical formulation and F & D facility.
Company also plans to develop distributor network & logistic facility in Mumbai, Delhi, Hyderabad and Ahmedabad. This shall also support E-commerce and Online marketing of the company‘s products.
Management Team:
- Mr. Hemal V. Mehta (Designation: Managing Director)
- Mr. Sachin V. Mehta (Designation: Joint Managing Director)
Objectives of the Issue:
- To set up a dedicated manufacturing facility for Pharmaceutical Business.
- Distribution and Warehousing Centre‘s & Purchase of Corporate Office.
- Additional Working Capital.
- General Corporate Expenses.
- To meet the expenses of the Issue.
Financials of the Company:
| (in Crores) | FY 16 | FY 17 | FY 18 | 30th Sept 18 |
|---|---|---|---|---|
| Revenue | 37.94 | 55.51 | 89.76 | 60.69 |
| Net Profit | 0.09 | 0.15 | 0.74 | 1.45 |
Valuation of Peer Group Companies:
| Company Name | Face Value | EPS | PE Ratio | RoNW | NAV |
|---|---|---|---|---|---|
| Sudarshan Pharma Industries Ltd | 10 | 2.90 | 25.86 | 8.66% | 18.10 |
| Alembic Limited | 2 | 1.5 | 24.10 | 11.40% | 13.20 |
| Shilpa Medicare Ltd | 1 | 11.70 | 29.90 | 9.20% | 142.40 |
| TTK Healthcare Ltd | 10 | 12.90 | 36.90 | 9.50% | 166.20 |
| Biocon Limited | 5 | 5.60 | 57.60 | 6.70% | 95.10 |
| Torrent Pharmaceuticals | 5 | 37.80 | 38.10 | 14.30% | 279.80 |
IPO Details:
| Details | Info |
|---|---|
| Issue Opens on | 12th June 2019 |
| Issue Closes on:. | 17th June 2019 |
| Issue Price | Rs.75 |
| Face Value | Rs.10 |
| Minimum Lot | 1600 |
| Minimum Investment | Rs.1,20,000 |
| Issue Constitutes | 26.48% |
| Issue Size | Rs.25.8 cr |
| Market Cap | Rs.97.4 cr |
| Listing at | NSE SME |
| Equity Shares Offered (Fresh) | 34,40,000 |
| Equity Shares Prior to the Issue | 95,46,998 |
| Equity Shares after the Issue | 1,29,86,998 |
Important Dates:
| Finalization of Basis of Allotment | on or Before 20th June 2019 |
| Initiation of Refunds | on or Before 21st June 2019 |
| Credit of Equity Shares: | on or Before 24th June 2019 |
| Listing Date: | on or Before 25th June 2019 |
IPO Valuation Parameters:
| Earnings Per Share (EPS) | Price To Earnings ratio (PE) | Return on Net Worth (RoNW) | Net Asset Value (NAV) |
|---|---|---|---|
| 2.90 | 25.86 | 8.66% | 18.10 |
| Check IPO Allotment Status: |
|---|
Karvy Website (Click on the below Link)http://kosmic.karvy.com:81/ipotrack/ |
| Company Contact Info: |
|---|
| Sudarshan Pharma Industries Ltd 301, 3rd Floor, Aura Biplex, Above Kalyan Jewellers, S V Road, Borivali (West), Mumbai – 400 092, Maharashtra, India Tel No. : +91 22 242221111 Email Id : compliance.spil@gmail.com Website : www.sudarshanpharma.com |
| IPO Registrar Info: |
|---|
| Karvy Fintech Private Limited Karvy Selenium Tower B, Plot 31-32, Gachibowli, Financial District, Nanakramguda, Hyderabad 500 032 India Tel. No.: 1-800-3454001/ +91 40 6716 2222 Investor Grievance Email: spil.ipo@karvy.com Website: www.karisma.karvy.com |
| Lead Manager to the Issue: |
|---|
| FIRST OVERSEAS CAPITAL LIMITED 1-2 Bhupen Chambers, Ground Floor, Dalal Street, Mumbai-400 001 Tel. No.: +91 22 40509999 Investor Grievance Email: investorcomplaints@focl.in Website: www.focl.in |
