Chennai: The Rs 58.50-crore initial public offering of Zota Health Care at the NSE-Emerge (the SME platform of the NSE) has received overwhelming response from retail investors and high net worth individuals. The issue was subscribed 15.9 times, with the company receiving bids worth Rs 902 crore.

Against the offer size of 46.80 lakh shares, the issue received bids for 7.46 crore shares. While retail investors bid for 5.6 crore shares, HNIs pitched for 1.286 crore shares. However, qualified institutional buyers bid for only 1.75 lakh shares. The issue closed for subscription on May 2nd.

The company announced a price band of Rs 121-125. The offer consists of a fresh issue of 31.80 lakh equity shares and an offer-for-sale of 15 lakh equity shares.

Zota Health Care’s product-line comprises a wide range of pharmaceutical formulations, besides nutraceuticals and ayurvedic products. Besides India, its products are available in countries across Asia, Africa, CIS and Latin America.

Awaits patent

Zota Health Care holds patents for six products and is awaiting patent approval for 13 more. The company is actively expanding its presence in the digital space with the launch of a mobile application for its Nutravedic division. Additionally, it has acquired marketing rights of Astra-IDL for three years to strengthen its position in the generics market segment.

The company decided to go public to enhance its visibility in the domestic and international markets, and to raise funds to finance its expansion plans.

Source: The Hindu Business Line