Ami Organics shares made a strong debut on BSE and NSE on Tuesday, 14 September 2021, listing at a 49.18% premium to the IPO price. Ami Organics shares got listed at Rs 910 vs the IPO of Rs 610 apiece on NSE. The initial public offering of Ami Organics was subscribed 64.54 times. On the listing, the market capitalisation of the company stood at Rs 3,286.62 crore. Post listing, Ami Organics has joined the listed industry peers such as Aarti Industries, Hikal, Valiant Organics, Vinati Organics, Neuland Organics and Atul Ltd.
Ahead of listing, Ami Organics shares were trading strong in the primary market. The shares were seen quoting at a premium of Rs 178, over the IPO price, in the grey market. Ami Organics manufacture and market advanced pharmaceutical intermediates used for manufacturing of APIs and NCEs in select therapeutic areas such as anti-retroviral, anti-inflammatory, antipsychotic, anti-cancer, anti-Parkinson, antidepressant and anti-coagulant.
Ami Organics is the major manufacturer of pharma intermediates for certain key APIs, including Dolutegravir, Trazodone, Entacapone, Nintedanib and Rivaroxaban. Some of its domestic customers include Laurus Labs Limited, Cadila Healthcare Limited and Cipla Limited and some of its key export customers include Organike s.r.l.a Socio Unico, Fermion Oy, Fabbrica Italiana Sintetici S.p.A, Chori Co. Ltd., Medichem S.A. and Midas Pharma GmbH. Analysts say the P/E multiple at the upper band of issue price is around 35.58 times FY21 earnings which is lower than the industry average of 48.91 times. “Therefore, investors who are allotted the shares in the IPO may hold it for long term. Investors who missed the bus can consider buying them on the listing day with a medium to long term time frame,” Likhita Chepa, Senior Research Analyst at CapitalVia Global Research, told Financial Express Online.