The board of Mankind Pharma Ltd. has approved raising up to ₹10,000 crore through the issue of Non-Convertible Debentures and Commercial Papers, it stated in an exchange filing on Monday, September 30.

Mankind Pharma will issue 5 lakh rupee-denominated, secured, rated and listed NCDs with a nominal value of ₹1 lakh each, aggregating to not more than ₹5,000 crore in 3-4 distinct series with maturities of up to 48 months.

The company will also issue listed and rated commercial paper, whose face value will be decided in accordance with the applicable law for aggregate financing amount of not more than ₹5,000 crore in one or more tranches or series.

Mankind Pharma will list the NCDs on the Bombay Stock Exchange. The date of allotment and the final date of maturity will be updated at the time of the allotment. Coupon rate on these NCDs will also be determined later.

Mankind Pharma has been in focus since the company announced the acquisition of Bharat Serums and Vaccines from Advent International for an enterprise value of ₹13,630 crore told that the the BSV deal will be funded with ₹4,000 crore from the company's reserves, around ₹3,000 crore from a qualified institutional placement (QIP), and ₹7,000 crore through a loan.

Brokerage firm Investec gave a 'buy' rating to the stock with a price target of ₹3,300 per share, factoring in a strong growth due to the BSV acquisition.

Shares of Mankind Pharma are currently trading 1% lower at ₹2,567.5. The stock has risen 30% so far in 2024.

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Published-September 30, 2024, 1:26:46 PM IST