ZIM Laboratories Limited to list on NSE on 25th November, 2022

A pharmaceutical company, focused on providing innovative drug delivery solutions that provide patient convenience and adherence of drug treatment, ZIM Laboratories Ltd "ZIM Labs" is planning to get listed on the National Stock Exchange on November 25th, 2022.

ZIM Laboratories Limited, already listed on the BSE since June 2018, will now extend its listing to the NSE. As on date, has provided over 85% return to its investors from the listing price.

According to September 2022 shareholding pattern available on BSE, the company's promoters own 33.26% stake in the company of which, Dr. Anwar Daud, Chairman and Managing Director owns 27.37% stake and Mr. Mathew Cyriac, Executive Chairman of Florintree Advisors as an investor owns 21.86% stake.

The company has multiple innovative process technologies like Micro Emulsion Coating Technology (MECT) (Liquid In Pellets), Pellet Cold Forming Technology(PCFT), Rapid Gelation Drug Release Technology(RGDCT), Matrix Pore Forming Tablet Technology(MAPOTAB) etc., which it leverages to develop innovative generic pharmaceutical products including Oral Thin Films (OTF) using its patented Thinoral® technology. With a clear focus on growing its R&D capabilities, the company has been regularly investing in R&D and in H1FY23 has invested 7.3% of its total operating income into research initiatives.

Leveraging on its R&D strength, ZIM uses its proprietary technology platforms for developing, manufacturing and supplying of differentiated generic pharmaceutical and nutraceutical products in Finished Formulations (FF) as well as Pre-Formulation Intermediates (PFI) in various therapeutic categories which include Anti-Infective, Cardiovascular System, Gastrointestinal, Analgesic / NSAID, Urology, Vitamins and Dietary Supplements etc.

The Company also provides comprehensive support for Product Conceptualisation, Product Development, Dossier Development, Marketing Authorisations, Manufacturing and Supply. Its business model is to partner with various pharmaceutical, marketing and distribution companies which seek solutions for development, sourcing and marketing of differentiated generic products.

Over the last 2 years (FY20 to FY22), Operating Income, EBITDA and PAT for the company has grown at a CAGR of 9.6%, 29% and 110% respectively. For the half year ending September 2022 (H1FY23), Operating Income grew 35.6% to Rs. 192 crores against Rs. 141 crores for the same period last year (H1FY22). EBITDA for H1FY23 grew to Rs 26.8 crores Vs Rs 17.6 crores in H1 FY22 and Net Profit was at Rs. 10.6 crores in H1 FY23 Vs Rs 3.45 crores in H1 FY22. Borrowings has also reduced from Rs 86.4 crores in H1 FY22 to Rs 63.3 crores in H1 FY23. On 12th November 2022, the Company also announced bonus issue of 2 shares for every 1 share held, subject to shareholder and other statutory approvals.

Dr. Anwar S. Daud, an M. Pharm and Ph.D in pharmaceutical chemistry and pharmaceutics respectively, with a dream of becoming an entrepreneur established ZIM Laboratories Limited in 1989. It is an EU-GMP,NSF/ANSI 455-2, WHO-GMP Certified and ISO 9001:2008 accredited company supported by an excellent team of professionals and a state-of-the-art facility at Nagpur.

India is a crucial supplier of generic drugs, supplying to address almost 40% of the total U.S. generic drug (formulation) demand and approximately 25% of the total drug demand in the United Kingdom. India's domestic healthcare market is growing rapidly and is projected to grow at a CAGR of 8% to 10% from 2022 to 2026. In addition to improving private insurance coverage and greater willingness to spend on healthcare, government policies provide catalytic stimuli.

Shares of Zim Laboratories Ltd was last trading in BSE at Rs. 335.25 as compared to the previous close of Rs. 348.75. The total number of shares traded during the day was 8717 in over 248 trades.

The stock hit an intraday high of Rs. 360.00 and intraday low of 331.35. The net turnover during the day was Rs. 2916120.00.

Source : Equity Bulls

Keywords

ZimLaboratories INE518E01015 NSEListing