Virupaksha Organics gets SEBI nod for ₹740 crore IPO

Virupaksha Organics Limited Receives SEBI Approval for ₹740 Crore IPO

Key Highlights:

• SEBI approves ₹740 crore IPO for Virupaksha Organics Limited
• Company to raise funds through fresh issue of equity shares
• Proposed IPO to utilize ₹360 crore for capacity expansion and ₹195 crore for prepayment of borrowings

Hyderabad, India: Virupaksha Organics Limited, a leading pharmaceutical company, has received the green light from the Securities and Exchange Board of India (SEBI) to raise ₹740 crore through an initial public offering (IPO). The proposed IPO comprises a fresh issue of equity shares, according to the draft red herring prospectus (DRHP) submitted by the company.

About Virupaksha Organics Limited:

The Hyderabad-based company is engaged in the manufacture of active pharmaceutical ingredients (APIs) and intermediates across diverse therapeutic areas, including anti-histamines, analgesics, anti-fungals, and more. The company has six manufacturing units, with four located in Hyderabad, Telangana, and two in Humnabad, Karnataka. Additionally, it operates a contract development and manufacturing (CDMO) business for third-party manufacturers.

Financial Performance:

In the financial year 2024-25, the company reported revenue from operations of ₹811 crore and a profit after tax (PAT) of ₹78 crore.

Future Plans:

The company proposes to utilize the net proceeds from the IPO for several purposes, including ₹360 crore for funding capacity expansion and ₹195 crore for prepayment of all or a portion of outstanding borrowings.

With the SEBI approval in place, Virupaksha Organics Limited is set to take its next step towards growth and expansion in the pharmaceutical industry.