Corrected: Ugandan unit of Indian drugs firm Cipla raises $43.8 million in IPO - Renaissance Capital

The Ugandan unit of India`s pharmaceutical giant Cipla raised 167 billion Ugandan shillings ($43.8 million) from its oversubscribed initial public offering (IPO), an investment bank that helped advise on the transaction said on Monday.
Cipla Quality Chemical Industries Ltd (CQCIL), majority owned by India`s third-largest drugmaker, sold 657 million shares equivalent to 18 percent of the firm`s total equity. Each share in the IPO was priced at 256.5 shillings and closed the first day of trading up 2.1 percent at 262 Ugandan shillings.
John Porter, chief business officer at investment bank Renaissance Capital, told Reuters interest came from local and international investors.
"The offering has been oversubscribed with the major part of the demand coming from blue-chip sub-Saharan Africa investors," Porter said, speaking during a function to launch the firm`s debut on the Uganda Securities Exchange (USE).
He did not say by how much the IPO was oversubscribed.
Cipla Quality Chemical Industries Ltd, established in 2005, has a factory in Uganda`s capital Kampala and makes a range of drugs including antiretrovirals, anti-malaria and drugs to treat Hepatitis B and C. Most of the drugs are sold in Sub-Saharan Africa.
The IPO is the first on the Ugandan bourse, a small exchange of about 17 equities, since 2012 when the country`s sole power distributor Umeme Ltd went public.
($1 = 3,809.1900 Ugandan shillings)
(This article has not been edited by Zeebiz editorial team and is auto-generated from an agency feed.)
Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.
RECOMMENDED STORIES

Revised New Tax Slabs: How much tax one needs to pay on salaries of Rs 13.75 lakh, Rs 16.50 lakh, Rs 19.25 lakh and Rs 26.75 lakh; see calculations

Top 7 SBI Mutual Funds With Highest SIP Returns in 20 Years: Rs 6,666 monthly SIP investment in No. 1 fund has sprung to Rs 1,40,40,685

Senior Citizen Guaranteed Return Schemes: SBI, BoB, PNB and other banks are providing these interest rates on 1-year, 3-year, and 5-year FDs

Home Loan Interest Saving: How you can save Rs 16.40 lakh on Rs 50 lakh home loan by increasing EMI amount by 5.41%?

Rs 25 lakh Income, Rs 50 lakh Home Loan: Starting April 1, how you can save Rs 1.38 lakh/year in tax and loan interest; see expert calculations

SIP vs PPF: Rs 1,40,000/year investment for 30 years; which scheme can generate a higher retirement corpus

Retirement Planning: How one-time investment of Rs 9,00,000 can create Rs 2,70,00,000 retirement corpus
12:00 AM IST