Shareholders of Torrent Pharmaceuticals Ltd. plan to offer 83 lakh shares to raise up to $297 million or approximately Rs 2,496.9 crore via a block deal.
The shares offered via block deal will be priced at Rs 3,022.71 each at a discount of 6%, according to the term sheet that was viewed by Bloomberg.
Torrent Pharmaceuticals Q2 Performance
Torrent Pharma reported a consolidated net profit of Rs 453 crore, indicating a 17% rise for the three months ended Sept. 30 of the current fiscal. This compares to Rs 386 crore net profit for the same period last year.
The company posted a revenue of Rs 2,889 crore up 8.6% for the July- September period as compared to Rs 2,660 crore for the same quarter of the previous fiscal.
The pharmaceutical company's earnings before interest, tax, depreciation and aromatisation surged 14% to Rs 939 crore in comparison to Rs 825 crore for the year-ago period. Its margin expanded to 32.5% as against 31% for the same quarter last year.
The company's revenue from India rose 13% to Rs 1,632 crore. This was fuelled by outperformance in focus therapies. It also reported a healthy sales growth across markets like Brazil, Germany and the US in the September quarter.
In the second quarter, the drugmaker's insulin revenues were affected due to the shutdown that took place for maintenance activities.
Shares of Torrent Pharma closed 3.05% lower at Rs 3,215.65 apiece on the National Stock Exchange, compared to a 0.52% advance in the benchmark Nifty 50. The stock has risen 66.58% in the last 12 months and 39.47% on a year-to-date basis.
Out of the 33 analysts tracking the company, 20 have a 'buy' rating on the stock, eight recommend 'hold' and five suggest 'sell', according to Bloomberg data. The average of 12-month analysts' consensus price target implies a potential upside of 10.5%.
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