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THE DYNAMICS OF INITIAL PUBLIC OFFERINGS (IPOS) IN THE INDIAN PHARMACEUTICAL SECTOR

Volume
2
Issue
2
Pages
Published
Jan 2024
DOI
0
0
1
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Abstract

The pharmaceutical sector in India has witnessed a surge in Initial Public Offerings (IPOs), underscoring their significance in driving industry growth and innovation. IPOs provide pharmaceutical companies with essential capital, allowing them to enhance research and development efforts, expand manufacturing capabilities, and increase their global market presence. In 2024 alone, two major pharmaceutical companies, Akums Drugs and Pharmaceuticals Ltd. and Emcure Pharmaceuticals Ltd., went public, demonstrating strong investor interest and delivering substantial returns. Beyond fundraising, IPOs also improve governance, transparency, and compliance with regulatory standards, essential for maintaining credibility in this highly regulated sector. These offerings have attracted retail and institutional investors alike, with the pharmaceutical sector seen as resilient due to rising global healthcare demands. Regulatory bodies like the Securities and Exchange Board of India (SEBI) ensure a robust and transparent process for IPOs, aligning Indian market practices with international standards. The capital raised from these offerings supports the industry's capacity to meet global demand for innovative and generic medicines, contributing to overall economic growth. This article examines the performance of recent pharmaceutical IPOs and their broader impact on the capital market and industry development.

Authors
DB
Damini Biswas
SS
Sahib Singh Sohal
Keywords
Pharmaceutical sectorIPOcapital marketSEBIgovernancehealthcare industryinvestorsglobal marketsinnovation
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