The Corona Remedies IPO bidding is in its final day, with subscription demand hitting 9.96 times by the end of Day 2. Market participants are keen to see if institutional interest will drive the total subscription into double digits by the end of the day.
The public issue, valued at Rs 655.37 crore and priced between Rs 1,008 to Rs 1,062 per share, gained momentum after a cautious start, driven by increased retail and institutional involvement.
The grey market premium (GMP) for the IPO is around Rs 265 per share, indicating a potential listing price close to Rs 1,327 if current trends continue, representing a 25% upside from the upper price band. Analysts advise that these premiums are informal and the actual listing-day performance will rely on broader market conditions and final subscription figures.
Corona Remedies, established in 2004 and headquartered in Ahmedabad, functions as an India-centric branded pharmaceutical formulations company. With the backing of ChrysCapital’s affiliate Sepia Investment Limited, the company handles a range of brands across various healthcare segments. Notably, its revenue is significantly driven by chronic and sub-chronic therapies, known for their higher margins.
One key advantage for Corona Remedies is its minimal exposure to price-controlled medicines, standing at under 10% of sales as of June 30, 2025, which is below the industry average. This provides the company with more pricing flexibility and aids profitability. From FY23 to FY25, Corona Remedies witnessed substantial growth in revenue, EBITDA, and profit after tax.
Geojit Investments highlighted the growth potential in the Indian pharmaceutical market, projecting an increase from Rs 2.3 trillion in FY25 to Rs 3.3 to 3.5 trillion by FY30. They rated Corona Remedies as the second fastest-growing company among the top 30 pharmaceutical players, with strong domestic sales growth. Choice Broking also recommended subscribing to the IPO for long-term benefits.
Anand Rathi mentioned that the issue is priced at around 35 times earnings based on annualized FY26 earnings and has assigned a subscribe-for-long-term-only rating. The finalization of allotments, refunds, and share credits will follow the bidding closure, with the stock expected to list next week, pending regulatory approvals. The listing outlook will be influenced by institutional demand and overall market sentiment.