Manforce Condom manufacturer Mankind’s IPO set to be one of the biggest in the pharma sector

From an Ayurvedic ant-acid to a medicine for acne and the highest selling condoms across India, Mankind’s product portfolio makes it one of the most visible pharma companies for consumers in the country. Launched in 1995, the company behind Manforce condoms and Prega-News is now planning to go public, with an estimated valuation of $7-$8 billion, which can be revised depending on changing market conditions. This will also be one of the biggest IPOs to be launched by a pharma company at more than $700 million.

It had hired bankers to lay the groundwork for its IPO in April this year, and has now filed its Draft Red Herring Prospectus with SEBI. While ChrysCapital and Capital International are major investors expected to sell a part of their holdings, the promoter family behind Mankind may also dilute their stake.

Ambitions backed by strong market presence

Mankind’s top-selling condom brand Manforce currently controls 32% of the market share in India, while Gas-o-Fast is the leading product among ant-acids.

The record for the largest IPO in the pharma space is currently held by Gland Pharma with its $869 million public offering back in 2020. The cash rich Mankind has completed the e-filing of its draft on the back of a strong consumer angle for its over the counter segment. The firm has also increased its digital presence via influencer marketing to scale up its reach among consumers.

Expansion plans afoot

Mankind has also ventured into therapeutic areas with its acquisition of the formulations business of Panacea Biotec in India and Nepal. The company with 23 manufacturing facilities across the country, has also invested $16 million in an active pharmaceutical ingredients plant in India. Earlier this year, it also announced a $25 million investment for its detour into the emerging agri-tech space.