Company Overview
Founded in December 2017, Senores Pharmaceuticals has quickly made its mark in the pharmaceutical sector, primarily focusing on regulated markets while expanding into emerging economies. By September 30, 2024, the company had successfully launched 55 products across key therapeutic categories such as antibiotics and antifungal treatments.
The company operates three research and development (R&D) centers in both India and the United States, establishing a solid foundation for innovation. Senores also collaborates with a network of distributors and hospitals in various states across India. Its manufacturing capabilities encompass critical care injectables and active pharmaceutical ingredients (APIs), further reinforcing its position in the industry.
Product Portfolio
Senores Pharmaceuticals offers a wide range of products designed for regulated markets. Notable products in its portfolio include:
- Amphetamine Sulfate Tablets
- Hydroxychloroquine Sulfate Tablets
- Morphine Sulfate Tablets
- Cyclobenzaprine Hydrochloride Tablets
IPO Objectives
The capital raised from the IPO will be directed towards the following key objectives:
- Establishing a new facility through an investment in Havix.
- Repaying existing loans, including those associated with Havix.
- Meeting the working capital requirements for its subsidiaries SPI and Ratnatris.
Key Strengths and Growth Strategy
Senores Pharmaceuticals’ growth is driven by its strong focus on expanding its sterile injection production capabilities, reducing operational debt, and strategically investing in its subsidiaries. The company’s expansion strategy also includes pursuing acquisitions to increase its market reach and strengthen its industry presence.
Risks to Consider
While Senores Pharmaceuticals shows considerable promise, potential investors should be mindful of the following risks:
- Significant reliance on borrowed funds to support its operations.
- Regulatory challenges that could impact the manufacturing process.
- Market volatility that may affect the company's growth projections.
Summary of Financial Information:
| Period Ended | 30 Sep 2024 | 31 Mar 2024 | 31 Mar 2023 | 31 Mar 2022 |
|---|---|---|---|---|
| Assets | 678.08 | 621.88 | 131.05 | 59.15 |
| Revenue | 183.35 | 217.34 | 39.02 | 14.63 |
| Profit After Tax | 23.94 | 32.71 | 8.43 | 0.99 |
| Net Worth | 319.06 | 231.71 | 45.5 | 36.59 |
| Reserves and Surplus | 263.36 | 175.94 | 35.25 | 25.37 |
| Total Borrowing | 242.03 | 248.38 | 60.76 | 14.21 |
Comparison with Listed Peers:
| Company Name | EPS (Basic) | EPS (Diluted) | NAV (per share) (Rs) | P/E (x) | RoNW (%) | P/BV Ratio |
|---|---|---|---|---|---|---|
| Senores Pharmaceuticals Limited | 13.67 | 13.67 | 66.96 | - | 23.6 | - |
| Ajanta Pharma Ltd. | 64.82 | 64.77 | 281.6 | 43.34 | 23.47 | 7.96 |
| Alembic Ltd. | 31.33 | 31.33 | 245.12 | 33.9 | 13.4 | 0.34 |
| Caplin Point Laboratories Ltd. | 60.79 | 59.9 | 309.03 | 40.84 | 21.69 | 4.26 |
| Gland Pharma Limited | 46.9 | 46.9 | 529.65 | 37.27 | 9.26 | 3.49 |
| Strides Pharma Science Ltd | -7.76 | -7.76 | 225.43 | - | -4.44 | 5.64 |
Key IPO Details:
- IPO Dates: 20 to 24 December, 2024
- Price Band: Rs. 372 to Rs. 391 per share
- Lot Size: 38 shares
- Issue Size: Rs. 582.11 Crores (Fresh Issue: 500 Cr.)
- Retail Quota: 10%
- Listing Date: 30th Dec, 2024
- GMP: 30%+ (for informational purposes only)
Note: For additional information & risk factors please refer to the Red Herring Prospectus
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Disclaimer: We are not SEBI registered. All the views are personal and only for educational purposes. Do your due diligence before making any trading or investing decisions. The data provided in this blog post is for illustrative purposes only and does not constitute financial advice. Always consult with a qualified financial advisor before making investment decisions.
