Sai Life Sciences IPO Anchor Allocation at 30%

Sai Life Sciences IPO saw a significant anchor allocation response, with 30% of the total IPO size subscribed by anchor investors. Out of the 55,421,121 shares on offer, anchors picked up 16,626,336 shares, demonstrating strong market confidence. The anchor allocation details were reported to the stock exchanges on December 10, 2024, just ahead of the IPO opening on December 11, 2024.

The book-built issue of ₹3,042.62 crores comprises a fresh issue of 17,304,189 shares aggregating to ₹950.00 crores and an offer for sale of 38,116,934 shares aggregating to ₹2,092.62 crores. The price band is set at ₹522 to ₹549 per share, with a face value of ₹1 per share. This includes a share premium of ₹548 per share at the upper end of the price band.

The anchor allocation process, which took place on December 10, 2024, saw strong participation from institutional investors. The entire anchor allocation was made at the upper end of the price band, ₹549 per share, indicating robust demand and confidence in the company's prospects.

After the anchor allocation, the overall allocation of the IPO looks as follows:

Notably, the 16,626,336 shares allocated to anchor investors were reduced from the original Qualified Institutional Buyers (QIB) quota. The QIB quota has been adjusted to ensure that the overall allocation to QIBs, including the anchor portion, remains within regulatory limits.

The lock-in period for anchor investors is an important aspect of the allocation. For Sai Life Sciences IPO, the lock-in details are as follows:

• Lock-in Period (50% Shares): January 15, 2025.
• Lock-in Period (Remaining Shares): March 16, 2025.

This lock-in period ensures that anchor investors maintain their investments for a specified duration, stabilizing the stock price after listing.

Anchor Investors in Sai Life Sciences IPO

Anchor investors are typically large institutional investors allotted shares in an IPO before it opens to the public. The anchor allocation process is a crucial part of the IPO, as it helps in price discovery and builds confidence among retail investors. The strong response from anchor investors often sets a positive tone for the public issue and can influence the overall subscription levels.

On December 10, 2024, Sai Life Sciences IPO completed the bidding for its anchor allocation. There was a robust response as the anchor investors participated in the book-building process. A total of 16,626,336 shares were allotted to anchor investors. The allocation was done at the upper IPO price band of ₹549 per share, resulting in an overall anchor allocation of ₹912.79 crore. The anchors have already absorbed 30% of the total issue size of ₹3,042.62 crore, indicating strong institutional demand.

Out of the total allocation of 16,626,336 equity shares to the anchor investors, 6,134,840 equity shares (i.e., 36.90% of the total allocation) were allocated to 14 domestic mutual funds through 33 schemes.

Sai Life Sciences IPO Key Details:

• IPO Size: ₹3,042.62 crores.
• Shares Allocated to Anchors: 16,626,336.
• Anchor Subscription Percentage: 30%.
• Listing Date: December 18, 2024.
• IPO Opening Date: December 11, 2024.

About Sai Life Sciences Limited and How to Apply for Sai Life Sciences IPO

Incorporated in January 1999, Sai Life Sciences Limited is a contract research, development, and manufacturing organization (CRDMO) specializing in small-molecule new chemical entities. The company offers a comprehensive suite of services to pharmaceutical innovators, including chemistry, manufacturing, and control (CMC) services, as well as contract development and manufacturing (CDMO) services.

As of September 30, 2024, Sai Life Sciences had 2,353 scientific staff, including 302 PhDs, with advanced capabilities in drug development and manufacturing. The company has serviced 280 pharmaceutical innovators globally, including 18 of the top 25 companies based on revenue in 2023.

The company operates across the US, the UK, Europe, and Japan, with a team of 16 business development professionals located globally.