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Below is quote on Glenmark Life Science IPO by Mr. Yash Gupta, Equity Research Associate, Angel Broking Ltd   

Should investors apply for the Glenmark Life Science IPO after the crackdown in Pharma stocks in the last 2 days.

We have seen a correction in pharma stocks after the Q1FY2022 results and some company specific issues like that of Dr.Reddy laboratories. Overall large cap pharma cracked down by 5%-10% in the last 2 trading sessions and midcaps pharma companies holding on to slight gains. Glenmark Life Science has a product portfolio related to API’s and that too on the speciality side, company is a leading manufacturer of specialized APIs for chronic therapeutic areas like CVS, CNS. So we don’t expect any major impact on Glenmark Life Science IPO due to this melt down in the pharma sector.

Glenmark Life has a better return ratio than its peers and IPO has been priced at PE 22.38x and EV/EBITDA of 12.9x which is better than listed peers of the company. We suggest short term investors as well as long term investors to apply for the Glenmark Life Science Limited IPO.

As of now IPO is getting very good response from retail as well as NII investors categories, IPO oversubscribed by 4 times as of now.

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