Corona Remedies Limited is an India-focused branded pharmaceutical formulation company engaged in developing, manufacturing and marketing products in women’s healthcare, cardio-diabeto, pain management, urology and other therapeutic areas. They are the fastest growing company among the top 30 companies in the Indian Pharmaceutical Market ('IPM') in terms of domestic sales in the IPM, between MAT June 2024 and MAT June2025. During this period, their domestic sales grew at a CAGR of 13.58% compared to the IPM which grew at aCAGR of 7.90% (as per CRISIL Intelligence Report), they are the second fastest growing company among the top 30 companies in the IPM in terms of domestic sales between MAT June 2022 and MAT June 2025. During this period, their domestic sales grew at a CAGR of 16.77%, compared to the IPM which grew at a CAGR of 9.21%, displaying a growth of more than 1.82 times the IPM’s growth (as per CRISIL Intelligence Report). The diversified product portfolio comprises 71 brands catering to a range of therapeutic areas such as women's healthcare, cardio-diabeto, pain management, urology and others/multispecialty pharmaceuticals (comprising vitamins/minerals/nutrition ('VMN'), gastrointestinal and respiratory), as of June 30, 2025. They have core portfolio of 27 'engine' brands, which contributed to 72.34% of the domestic sales during MAT June 2025. The 'engine' brands include market-leading brands such as Cor, Trazer, Cor9, B-29 and Myoril during MAT June 2025, through which they have been able to establish the market presence and drive further growth across each of their focused therapeutic areas. Company operates two manufacturing facilities, located in the states of Gujarat (the 'Bhayla Manufacturing Facility') and Himachal Pradesh (the 'Solan Manufacturing Facility') and are in the process of commissioning a hormone manufacturing facility in the state of Gujarat, which is expected to commence manufacturing operations during the first quarter of Financial Year 2027. As of June 30, 2025, their manufacturing facilities were spread over an aggregate of 2.83 hectares and had an aggregate installed capacity for formulations of 1,285.44 million units per annum, with a total of 11 production lines. Further, they have also made strides towards backward integration in the manufacturing and research and development ('R&D') processes, through the investment in La Chandra Pharmalab Private Limited ('La Chandra'), which operates an EU GMP and WHO GMP - certified hormone active pharmaceutical ingredient ('API') manufacturing facility in Banaskantha, Gujarat. Following this investment, La Chandra develops specified APIs and supplies hormone APIs to the Company under a right of first refusal. Company operates two R&D facilities in India, housed within the manufacturing facilities, each of which have been registered with the Department of Scientific and Industrial Research, Ministry of Science and Technology. As of June 30, 2025, they employed 103 employees in the R&D department. The R&D efforts are presently being deployed across several projects, focused on (i) new formulation development, (ii) achievement of efficiencies in the manufacturing processes, (iii) packaging development, and (iv) process engineering among others. Company is also focused on executing strategic brand acquisitions and establishing in-licensing arrangements to address therapy gaps in the portfolio and to establish complementary capabilities, such as backward integration, marketing arrangements, and diversified product offerings. For instance, during Financial Year 2024, they acquired the Myoril brand from Sanofi Healthcare India Private Limited ('Sanofi'), which has strengthened their pain management portfolio. Additionally, they have entered into in-licensing arrangements with global pharmaceutical manufacturers such as Ferring Pharmaceuticals Private Limited, granting them the right to market certain products across women's health and urology therapeutic areas, on a semi-exclusive or exclusive basis in India. In the past, they have also undertaken acquisitions, including the purchase of Vitneurin, Stelbid, Dilo DX and Dilo BM from GlaxoSmithKline Pharmaceuticals Limited, which consolidated their position in the VMN, respiratory, and gastroenterology therapeutic areas. Similarly, the acquisition of the Obimet and Thyrocab range of brands from Abbott India Limited has strengthened their presence in the diabetes and thyroid management therapeutic areas. As per financial performance, Corona Remedies Limited has posted total income / net profits of Rs 891.10 Cr / Rs 84.92 Cr (FY23), Rs 1,020.93 Cr / Rs 90.50 Cr (FY24), Rs 1,202.35 Cr / 149.43 Cr (FY25) and Rs 348.55 Cr / 46.19 Cr (upto Q1 FY26). So as per previous financials data, company has shown good growth. Company has an average EPS of Rs 19.58 and average RoNW of 22.07% for last three fiscals. Issue is priced at a P/BV of 10.70 as per NAV of Rs 99.25/- as on 30.06.25. If we attribute latest earnings of FY24, FY25 and annualised FY26 on equity post issue, then asking price is at a P/E of around 71.77, 43.47 and 35.15 respectively. As per RHP, comparison between listed peers is shown in above table. On BRLM's front, JM Financial Limited, IIFL Capital Services Limited, Kotak Mahindra Capital Company Limited IPO are associated with this IPO, and has handled 152 IPOs in last three fiscal years. ( As on 03.12.25 ) As per financials, Corona Remedies Limited has shown good growth, RoNW is 24.65% and P/E is 71.77, 43.47 and 35.15 respectively as per FY24, FY25 and annualised FY26 earnings. So issue looks fully priced, but company has shown high sales growth compared to industry average. Company is an India-focused branded pharmaceutical formulation company, which is highly competitive business segment. So, we give SUBSCRIBE rating for this IPO. Readers must consult a qualified financial advisor prior to making any actual investment decisions.
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