(i) The Company was incorporated as “Chandra Bhagat Pharma Private Limited” at Mumbai on March 10, 2003, under the provisions of the Companies Act, 1956 vide Certificate of Incorporation issued by Assistant Registrar of Companies, Maharashtra, Mumbai. On April 1, 2003, the company acquired the going concern business of M/s. Chandra Bhagat Corporation (“partnership firm”) along with all its assets and liabilities. However, on March 20, 2019, it has converted from Private Limited Company to Public Limited Company.
(ii) They are engaged in the business of marketing pharmaceutical critical care & health care products. For which they have obtained necessary approvals from FDA for getting the manufacture of the formulation from contract manufacturers on loan license or on principle to principle basis. Presently they have Contract Manufacturing Agreement with 4 pharmaceutical companies/entitiesThey also, take the necessary Trademark approvals & registrations wherever required.
(iii) At present, they have a wide range of products portfolio of a pharmaceutical formulation including IV & IM range Injections, few tablets to cater to the Domestic & Export Market. They have established a presence in major therapeutic categories for formulations such as Anti-cancer (Oncology), Antibiotics, Anesthesia, Hormones, Orthopedic, Cardiac, Cardiovascular, 77 Anti-fungal, Antiviral, Pediatrics, Cardiology, Nephrology, Neurology, etc. They are also engaged in promoting and marketing of Active Pharmaceuticals Ingredients (API’s) in India.
Objects of the Chandra Bhagat Pharma Ltd IPO:
The Issue Proceeds from the Fresh Issue will be utilized towards the following objects:
1. To Meet Incremental Working Capital Requirements.
2. Setting up Distribution and Warehousing Centre’s.
3. General Corporate Purpose.
4. To meet Public Issue Expenses.
1. Mr. Hemant Chandravadan Bhagat, Chairman cum Managing Director
2. Mr. Pranav Hemant Bhagat, Whole-Time Director
3. Mrs. Prachi Pranav Bhagat, Executive Director & CFO
4. Mrs. Abha Praveen Doshi, Independent Director
5. Mr. Ravindra Gajanan Awati, Independent Director
Financials of Chandra Bhagat Pharma Ltd IPO:
( Fig. in Lakhs )
Comparison With Peers:
( Fig. in Lakhs )
Name of the Company
Chandra Bhagat Pharma Limited
Earum Pharmaceuticals Limited
Vaishali Pharma Limited
Note: The above figures are based on FY19 results.
Recommendation on Chandra Bhagat Pharma Ltd IPO:
Review and Recommendation of InvestorZone is:2/10
[ The asking P/E is 61 based on FY19 financials, which is very high. The company has inconsistent financial performance. The company has poor RONW. The company has D/E more than 1, which is risky.]