Overview of Amanta Healthcare IPO
Amanta Healthcare, an Ahmedabad-based pharmaceutical company, is on the brink of launching its Initial Public Offering (IPO). The company has officially submitted a draft red herring prospectus to the Securities and Exchange Board of India (SEBI) as a precursor to the IPO. In this offering, Amanta Healthcare plans to issue 1.25 crore new equity shares without any offer for sale, ensuring that all capital raised will directly benefit the company.
Business Model and Product Line
Founded in 1994, Amanta Healthcare specializes in the production of sterile liquid products, particularly parenteral solutions. These products are crucial for patients who are unable to take medications orally or require treatments that are unsuitable for oral administration. Additionally, the company manufactures various medical devices that cater to different healthcare needs.
Product Categories
- Pharmaceuticals: Includes IV fluids, formulations, dilutions, ophthalmic solutions, respiratory care products, and irrigation solutions.
- Medical Devices: Offers first aid supplies, eye lubricants, and irrigation instruments.
Financial Goals and Utilization of IPO Proceeds
Amanta Healthcare has laid out a strategic plan for the utilization of funds raised through the IPO. According to the prospectus filed on September 26, the company aims to allocate the proceeds as follows:
| Purpose | Amount (in Crores) |
|---|---|
| Setting up a new manufacturing line for Steriport in Kheda, Gujarat | 70 |
| Purchasing equipment and machinery for small volume parenterals | 30 |
| General corporate purposes | Remaining funds |
Financial Performance
The financial health of Amanta Healthcare has shown significant improvement. In FY 2024, the company reported a net profit of ₹3.62 crore, a recovery from a loss of ₹2.11 crore recorded in the previous fiscal year. The company’s revenue reached ₹280.3 crore, reflecting an 8.2 percent growth compared to ₹259.1 crore in the prior financial year. This upward trend indicates a robust recovery and potential for growth in the pharmaceutical sector.
About the Management
The driving force behind Amanta Healthcare is its promoter, Bhavesh Patel. His leadership has been pivotal in steering the company toward a profitable trajectory while maintaining a commitment to quality and innovation in the healthcare domain.
Conclusion
With the launch of its IPO, Amanta Healthcare is poised to expand its operations further, particularly in the sterile liquid product segment. This move not only reflects the company’s operational strategies but also its ambition to solidify its place in the competitive pharmaceutical landscape.
