Mankind Pharma block deal: three PE groups received 8.7% equity, valued at Rs 6,395 crore, as a possible seller

 Mankind Pharma block deal: three PE groups received 8.7% equity, valued at Rs 6,395 crore, as a possible seller

Mankind Pharma block deal: three PE groups received 8.7% equity, valued at Rs 6,395 crore, as a possible seller

Three private equity companies, Cris Capital, Capital Group, and Everbridge Partners, were reportedly seeking to sell at least a $592 million share in MannKind Pharma via a block sale, according to a report by Moneycontrol that cited sources.

On December 12, the Mankind Pharma major block transaction for Rs 6,395 crore was released to the market. In the block trade, almost 8.7% of the drugmaker's stock, or 3.5 crore shares, changed hands.

Mankind Pharma shares were down 4.1% on the NSE at 09.21 am, trading at Rs 1,841.

Multiple sources informed Moneycontrol on December 11 that three private equity funds—Chris Capital, Capital Group, and Everbridge Partners—purchased a stake worth at least $592 million in the pharmaceutical, even though the buyers and sellers of the deal were not immediately disclosed. wished to cut down. Stop the transaction.

According to one of the individuals, "These three investors are looking to sell stakes worth approximately $592 million based on the base deal size." If the greater option is taken into account, the transaction amount may reach $677 million."

Mankind Pharma's free float before to the acquisition was 10%, according to Nuvama Alternative and Quantitative Research. The business anticipates a large rise in free float after the big share sale.

"Mankind Pharma would be eligible for inclusion in the MSCI benchmark indices during the February 2024 review if the modified shareholding for the December quarter is reported on the exchanges by January 17, 2024, and the stock price rises by more than 18% to Rs 2,250 level by January 17, 2024," Nuwama Alternative stated in its report.

Nuvama Alternatives projects a possible inflow of $112 million for Mannkind Pharma with a 20-day volume effect, or 48 lakh shares, in terms of possible MSCI inclusion.

Since Gland Pharma's Rs 6,480 crore IPO in 2020, Mankind Pharma's Rs 4,326 crore IPO was one of the biggest by a domestic pharmaceutical company. In May of this year, the stock debuted on the stock exchange with great success, listing at a 20% premium. for the price of its IPO.

Because of Mankind Pharma's sustained success in the local pharmaceutical industry, the company's shares have increased by about thirty percent over the last six months.