Reports say that Mankind Pharma will also issue listed and rated commercial paper.
New Delhi: India’s leading multinational pharmaceutical and healthcare product company Mankind Pharma will issue 5 lakh rupee-denominated, secured, rated, and listed Non-Convertible Debentures (NCDs) with a nominal value of Rs 1 lakh each. This will aggregate to not more than Rs 5,000 crore in 3-4 distinct series with maturities of up to 48 months.
Reports indicate that Mankind Pharma plans to issue listed and rated commercial paper, with a face value to be determined as per applicable laws, for an aggregate financing amount not exceeding Rs 5,000 crore, in one or multiple tranches or series. The company intends to list the Non-Convertible Debentures (NCDs) on the Bombay Stock Exchange (BSE). The dates of allotment and maturity, as well as the coupon rate for these NCDs, will be specified at the time of allotment.
Likewise, the company plans to list its commercial papers on the BSE in various tranches, ranging from three to twelve months. The specifics concerning maturity and coupon rates will be decided at a later date.
Mankind Pharma has become a hot topic following its announcement of acquiring Bharat Serums and Vaccines from Advent International, with the enterprise valued at Rs 13,630 crore. Rajeev Juneja, the Vice Chairman and Managing Director of Mankind, stated on CNBC-TV18 that the funding for the BSV deal would consist of Rs 4,000 crore from the company’s reserves, approximately Rs 3,000 crore from a qualified institutional placement (QIP), and Rs 7,000 crore via a loan.
Brokerage firm Investec gave a “buy” rating to the stock with a price target of Rs 3,300 per share, factoring in a strong growth due to the BSV acquisition.
Mankind Pharma’s shares are trading at a 1% decrease at Rs 2,567.5 currently. The stock has experienced a 30% increase in 2024 to date.
Mankind Pharma has products in therapeutic areas ranging from antibiotics, to gastrointestinal, cardiovascular, dermal, and erectile dysfunction medications.
As of 2023, Mankind Pharma had 25 factories and 6 R&D centres in India.