Sai Parenteral's files DRHP for IPO, aims to raise ₹285-cr via fresh issue

Sai Parenteral's has filed its DRHP to raise ₹285 crore through a fresh issue and an offer for sale (OFS) of up to 3.5 million shares

Sai Parenteral's IPO: Sai Parenteral's, a Telangana-based pharmaceutical formulations company, has filed its Draft Red Herring Prospectus (DRHP) with market regulator Securities and Exchange Board of India (Sebi).

 

The maiden public issue comprises a fresh issue worth ₹285 crore and an offer for sale (OFS) of up to 3.5 million shares. Vikasa India EIF I Fund, Tilokchand Punamchand Ostwal, Devendra Chawla, Bhanwar Lal Chandak, Sreelekha Ganta, Padma Guntupalli, Vijay Gondi, Ideas And Journeys Private Limited, Bhautik Mukund Shah and Nilesh Pravinchandra Doshi are the investors selling shareholders.

 

According to the DRHP, the issue is being made through the book-building process, with up to 50 per cent reserved for Qualified Institutional Buyers (QIBs), not less than 15 per cent for Non-Institutional Investors (NIIs), and at least 35 per cent for retail investors. 

 

 

Bigshares Services is the registrar of the issue. Arihant Capital Markets is the sole book-running lead manager. 

 

According to the DRHP, the company proposes to utilise ₹110.7 crore from the fresh issue proceeds for capacity expansion and upgradation of manufacturing facilities, ₹18 crore for establishing a new R&D centre, and ₹20 crore for repayment or prepayment of debt. Additionally, ₹33 crore will be used for working capital requirements and ₹36 crore investment in wholly owned subsidiary, Sai Parenteral’s Pte Limited (Singapore), for the proposed acquisition of Noumed Pharmaceuticals Pty Limited (Australia). The remaining funds will be used for general corporate purposes. 

About Sai Parenteral's

Incorporated in 2013, Sai Parenteral's is a diversified pharmaceutical formulations company with capabilities in research, development and manufacturing. The company is involved in the business of branded generic formulations, contract development and manufacturing organisation (CDMO) products and services for the domestic and international markets. 

 

Sai Parenteral's product portfolio includes formulation products across various therapeutic segments like cardiovascular, neuropsychiatry, anti-diabetic, respiratory health, antibiotics, gastroenterology, vitamins, minerals and supplements (VMS), analgesics, and dermatology with offerings across dosage forms such as injectables, tablets, capsules, liquid orals and ointments. In the injectables segment, the company has the capability in sterile manufacturing for critical care and penicillin-based therapies. It also manufactures and sells Branded Generic Formulations to a diverse customer base.

 

The company exports its products to regulated and semi-regulated markets of Australia, New Zealand, Southeast Asia, the Middle East and Africa through distributors. It owns and operates five manufacturing facilities in India, out of which four manufacturing facilities are based in Hyderabad, Telangana.

Sai Parenteral's financial snapshot

In the financial year ended March 31, 2025 (FY25), Sai Parenteral's reported revenue from operations of ₹163.1 crore compared to ₹153.7 crore in the previous fiscal. The company's earnings before interest, tax, depreciation and amortisation (Ebitda) rose 24 per cent to ₹39.4 crore from ₹31.7 crore in FY24. The company posted a profit after tax of ₹14.45 crore in FY25, up nearly 72 per cent from ₹8.4 crore in FY24.