Sai Parenteral IPO: Key Details, Financials, and What Investors Should Know
The ₹408.79 crore IPO opens March 24, with a price band of ₹372–₹392, a 72x P/E, and a CDMO export story that either justifies the premium or doesn't.
Team Sahi
About Sai Parenteral's Business Model
Incorporated in 2001, Sai Parenteral's is a diversified pharmaceutical formulations company operating across two segments: Branded Generic Formulations and Contract Development and Manufacturing Organisation (CDMO) products and services for domestic and international markets.
Its product portfolio spans cardiovascular, anti-diabetic, neuropsychiatry, respiratory, antibiotics, gastroenterology, vitamins, minerals and supplements, analgesics, and dermatology. Dosage forms include injectables, tablets, capsules, liquid orals, and ointments.
The company operates five manufacturing facilities, four in Hyderabad, Telangana, and one in Ongole, Andhra Pradesh through its subsidiary Revat Laboratories. Its facilities hold WHO-GMP, TGA-Australia, and PIC/S accreditations, enabling it to enter export markets from FY2023 onward. It currently supplies to Australia, New Zealand, Southeast Asia, the Middle East, and Africa. As of December 31, 2025, it employed 298 full-time staff.
Source: Sai Parenteral's RHP; Chittorgarh.com
IPO Timetable of Sai Parenteral's
| Event | Date |
|---|---|
| IPO Opens | Tuesday, March 24, 2026 |
| IPO Closes | Friday, March 27, 2026 |
| Allotment | Monday, March 30, 2026 |
| Refund Initiation | Wednesday, April 1, 2026 |
| Credit of Shares | Wednesday, April 1, 2026 |
| Listing on BSE and NSE | Thursday, April 2, 2026 |
Source: Sai Parenteral's IPO prospectus via Chittorgarh.com
The Offer Structure
The IPO is a book-built issue of ₹408.79 crore, combining a fresh issue of shares worth ₹285 crore and an offer for sale (OFS) of ₹123.79 crore. The price band has been fixed at ₹372 to ₹392 per share, with a lot size of 38 shares. A retail investor needs a minimum of ₹14,896 to apply at the upper end of the band.
The OFS involves selling shareholders, including Vikasa India EIF I Fund, Tilokchand Punamchand Ostwal, Bhanwar Lal Chandak, and several others divesting a portion of their existing holdings. Promoters Anil Kumar Karusala, Vijitha Gorrepati, and Karusala Aruna hold 61.23% pre-issue, which will dilute to 51.2% post-issue.
Arihant Capital Markets is the book-running lead manager, and Bigshare Services is the registrar.
Source: Sai Parenteral's Red Herring Prospectus (RHP); Mint
Tracking other IPOs opening soon? See our full upcoming IPO list for 2026 for dates, price bands, and key details across all mainboard and SME issues.
How the Proceeds Will Be Used
The fresh issue of ₹285 crore, after deducting issue expenses, yields net proceeds of approximately ₹211.76 crore available for deployment as follows:
| Purpose | Amount (₹ Crore) |
|---|---|
| Capacity expansion and manufacturing upgrades | 110.80 |
| Investment in subsidiary for Noumed Pharmaceuticals acquisition (Australia) | 35.64 |
| Working capital requirements | 33.00 |
| Establishment of new R&D centre | 18.02 |
| Debt repayment | 14.30 |
| General corporate purposes | Balance |
| Total Net Proceeds | 211.76 |
Source: Sai Parenteral's RHP as cited in Chittorgarh.com
Financial Performance
All figures below are restated consolidated numbers sourced directly from Sai Parenteral's RHP as reported by Chittorgarh.com and Mint.
| Metric | FY2023 | FY2024 | FY2025 | H1 FY2026* |
|---|---|---|---|---|
| Total Revenue (₹ Cr) | 97.03 | 155.18 | 163.74 | 89.43 |
| EBITDA (₹ Cr) | 17.64 | 31.70 | 39.44 | 16.24 |
| EBITDA Margin | 18.2% | 20.4% | 24.2% | 18.7% |
| Net Profit / PAT (₹ Cr) | 4.38 | 8.42 | 14.43 | 7.76 |
| PAT Margin | 4.5% | 5.4% | 8.9% | 8.9% |
| Total Borrowings (₹ Cr) | 68.55 | 118.79 | 93.95 | 76.07 |
| Net Worth (₹ Cr) | 31.49 | 76.40 | 95.78 | 209.37 |
*H1 FY2026 covers the six months ended September 30, 2025
Revenue grew 6% in FY2025 to ₹163.74 crore. Net profit grew 71.8% year-on-year to ₹14.43 crore. EBITDA margins expanded consistently from 18.2% in FY2023 to 24.2% in FY2025, indicating improving operational efficiency. Total borrowings declined from ₹118.79 crore in FY2024 to ₹93.95 crore in FY2025, a positive trend ahead of the issue.
Source: Sai Parenteral's RHP (Restated Consolidated Financials); Chittorgarh.com; Mint
Valuation and Peer Comparison
At the upper price band of ₹392, the company carries a post-issue market capitalisation of approximately ₹1,731.83 crore. Based on FY2025 earnings, the trailing price-to-earnings ratio works out to approximately 72.19x. The price-to-book value stands at 10.89x post-issue.
To contextualise this valuation, the DRHP identifies the following listed peers:
| Company | Revenue (₹ Cr)† | Basic EPS (₹) | PE (x) | EV/EBITDA (x) | MCap/Sales (x) | RoNW % | NAV (₹) |
|---|---|---|---|---|---|---|---|
| Sai Parenteral's Limited | 163.10 | 5.43 | 72.19* | — | — | 15.09 | 35.98 |
| Sai Life Sciences Limited | 1,694.57 | 8.83 | 107.99 | 40.77 | 10.84 | 7.99 | 102.12 |
| Innova Captab Limited | 1,243.67 | 22.41 | 37.47 | 25.60 | 3.86 | 13.37 | 167.66 |
| Senores Pharmaceuticals Limited | 398.25 | 16.12 | 55.08 | 28.86 | 8.10 | 7.18 | 176.37 |
| Gland Pharma Limited | 5,616.50 | 42.40 | 46.53 | 20.38 | 5.79 | 7.63 | 555.41 |
*Sai Parenteral's P/E at upper price band of ₹392; peer data as per DRHP from FY2025 annual reports
†Revenue figures in the peer comparison table reflect revenue from operations. The ₹163.74 crore figure in the Financial Performance section above reflects Total Income (inclusive of other income) as reported in the RHP restated consolidated financials.
Source: Sai Parenteral's DRHP peer comparison table; all peer financials on consolidated basis from FY2025 annual results submitted to stock exchanges
At 72.19x, Sai Parenteral's is priced at a steeper P/E than Innova Captab (37.47x) and Gland Pharma (46.53x), both of which are significantly larger companies by revenue. Only Sai Life Sciences commands a higher P/E at 107.99x, but it operates at over ten times the revenue scale.
On RoNW, Sai Parenteral's 15.09% compares favourably against all four peers, which range between 7.18% and 13.37%. However, the NAV of ₹35.98 per share against an issue price of ₹392 means investors are paying roughly 10.9 times the book value, the highest multiple in the peer set, which leaves a limited margin of safety on a book value basis.
In summary, the valuation is not cheap relative to peers. It is justified only if the CDMO export business and the Noumed acquisition deliver meaningful revenue and margin expansion over the next two to three years.
Key Performance Indicators
| KPI | FY2025 (Mar 31, 2025) | H1 FY2026 (Sep 30, 2025) |
|---|---|---|
| Return on Equity (ROE) | 16.82% | 5.13% |
| Return on Capital Employed (ROCE) | 28.92% | 9.28% |
| Return on Net Worth (RoNW) | 15.09% | 5.09% |
| PAT Margin | 8.88% | 8.93% |
| EBITDA Margin | 24.18% | 18.68% |
| EPS (₹) | 5.43 | — |
| P/E (x) at ₹392 | 72.19 | — |
Source: Sai Parenteral's RHP as cited in Chittorgarh.com
Key Risks
As disclosed in the RHP, the company derived 44.78%, 47.64%, and 92.03% of net revenues from injectables in FY2025, FY2024, and FY2023 respectively. This concentration in a single product category is the most prominent risk factor. Any reduction in demand, pricing pressure, or regulatory action on injectables could materially affect revenues and profitability.
Other risks include the early stage of its export operations, dependence on regulatory accreditations requiring continuous compliance, and execution risk associated with deploying a large capex programme while simultaneously integrating an overseas acquisition.
Source: Sai Parenteral's RHP risk factors as cited in Mint
Grey Market Signal
Ahead of the subscription opening, Sai Parenteral's IPO GMP stands at ₹0 as per Investogain data reported by Mint. This implies the estimated listing price is in line with the issue price of ₹392, with no premium reflected in the grey market at this stage.
Source: Sai Parenteral's Red Herring Prospectus (RHP) and Draft Red Herring Prospectus (DRHP), Mint, Investogain