Hamps Bio Limited IPO
The Hamps Bio Limited IPO presents a new opportunity for investors interested in the pharmaceutical sector. This article provides essential details about the IPO, including key dates, financial performance, risks, and opportunities, to help you make an informed decision.
Overview of Hamps Bio Limited
Hamps Bio Limited is a dynamic pharmaceutical company established in 2007, specializing in pharmaceutical formulations and freeze-dried ingredients. The company has a strong presence in both B2B and B2C markets, distributing products through a network of over 50 distributors and e-commerce platforms, including Amazon (US, Canada, EU), Flipkart, and Jio Mart.
Purpose of the IPO:
The funds raised through the IPO will be utilized for:
- Expanding manufacturing capacity.
- Repayment of existing debts.
- Working capital requirements.
- General corporate purposes.
Key Details of the Hamps Bio Limited IPO
- IPO Opening Date: December 13, 2024
- IPO Closing Date: December 17, 2024
- Price Band: ₹51 per share (Fixed Price Issue)
- Lot Size: 2,000 shares
- Minimum Investment: ₹1,02,000
- Issue Size: ₹6.22 crore
- Listing Platform: BSE SME
Financial Performance of Hamps Bio Limited
Hamps Bio Limited has demonstrated consistent financial growth over the past few years. Below is a summary of their financial performance:
| Particulars | FY 2021-22 | FY 2022-23 | FY 2023-24 |
|---|---|---|---|
| Net Sales (₹ crore) | 5.34 | 5.58 | 6.48 |
| Operating Profit (₹ crore) | 0.62 | 0.87 | 1.18 |
| Profit Before Tax (₹ crore) | 0.10 | 0.36 | 0.65 |
| Net Profit (₹ crore) | 0.12 | 0.36 | 0.50 |
| Adjusted EPS (₹) | 0.51 | 1.50 | 1.60 |
Competitive Landscape
Hamps Bio Limited operates in a competitive pharmaceutical market alongside established players. The company differentiates itself through its focus on innovation, quality products, and a strong distribution network, both domestically and internationally.
Risks and Opportunities
Risks:
- Regulatory changes in the pharmaceutical industry.
- Intense competition from established pharmaceutical companies.
- Fluctuations in raw material prices impacting profit margins.
Opportunities:
- Expanding product portfolio to cater to diverse market needs.
- Leveraging e-commerce platforms for broader market reach.
- Growing demand for pharmaceutical products globally.
How to Apply for the Hamps Bio Limited IPO
Investors can apply for the IPO through the following methods:
- UPI: Use your UPI ID on platforms like Zerodha, Groww, or Paytm Money.
- ASBA (Applications Supported by Blocked Amount): Apply via your bank’s net banking portal.
- Brokers: Submit a physical application form through your broker.
IPO Subscription Status
As of December 13, 2024, the IPO was subscribed 10.61 times on the first day:
- Non-Institutional Buyers: 2.35 times
- Retail Investors: 18.87 times
Grey Market Premium (GMP)
The Grey Market Premium (GMP) for Hamps Bio Limited IPO was ₹35 as of December 13, 2024, indicating a potential listing gain of approximately 68.63%, with the debut price projected at ₹86 per share.
Should You Invest in the Hamps Bio Limited IPO?
Investing in the Hamps Bio Limited IPO offers exposure to a growing pharmaceutical company with a robust business model and expanding market presence. However, potential investors should consider the risks involved and consult with financial advisors before making a decision.
Pros:
- Established market presence with a diversified product portfolio.
- Consistent financial growth over the past three years.
- Strong distribution network, including e-commerce platforms.
Cons:
- Exposure to regulatory risks in the pharmaceutical industry.
- Dependency on raw material prices affecting profit margins.
- Competitive market conditions with established players.