Amanta Healthcare specializes in developing, manufacturing, and marketing a wide range of sterile liquid products, primarily parenterals medications delivered through injection or infusion, bypassing the digestive system.

Sterile liquid products are critical in healthcare because they are administered directly into the body. These are packaged using advanced technologies such as Aseptic Blow-Fill-Seal (ABFS), which forms, fills, and seals plastic containers in a sterile, single-step process, and Injection Stretch Blow Moulding (ISBM), used to produce durable, high-quality plastic packaging.

The product portfolio includes both Large Volume Parenterals (LVPs) and Small Volume Parenterals (SVPs), manufactured across six therapeutic areas including fluid therapy (IV fluids), formulations, diluents, ophthalmics, respiratory care, and irrigation solutions.

In the medical device segment, offerings include products like irrigation and first aid solutions, as well as eye lubricants. Additionally, a wide variety of container closure systems are offered such as nipple head, twist-off, leur-lock, and screw types with fill volumes ranging from 2 ml to 1000 ml.

Products are marketed through three strategic business units: (a) national sales, (b) international sales, and (c) product collaborating with Indian and global pharmaceutical companies.

National Sales business consists of branded and generic products. Branded products are marketed, distributed and promoted in India under the name ‘SteriPort’. While generics business consists of the development, manufacture and distribution of generic formulation products, which are marketed and distributed in India and for export internationally.

Over 45 products are marketed under Amanta’s own brands across India through a network of more than 320 distributors and stockists. Plans to grow National Sales business with the help of SteriPort Brand for Large Volume Products.

Internationally, products are sold in regions including Africa, Latin America, the UK, and other global markets, covering both advanced and emerging economies. The international portfolio includes 47 products, with regulatory approvals across approximately 120 jurisdictions. These approvals are spread across 19 countries, reflecting compliance with a broad range of international regulatory regimes. In Fiscal 2025 alone, branded products were exported to 21 countries.

In FY25, domestic sales accounted for 66.94% of revenue, while exports contributed 33.06%.

Under product partnering model, it has developed relationships across the Indian pharmaceutical industry.

Operates a manufacturing facility in Gujarat, India, dedicated to the production of injections and oral liquids. As of March 31, 2025, the facility had a cumulative annual manufacturing capacity of 33.19 crore units across Large Volume Parenterals (LVPs), Small Volume Parenterals (SVPs), and STERIPOT. During FY25, the capacity utilization stood at 96%.

Plans to expand its manufacturing capacity for both large and small volume parenteral products to address current supply shortages and broaden product range.

Plans to expand the wallet share with existing customers and develop partnership with new customers.

Offer and its objects

The IPO comprises a complete fresh issue of equity shares, aggregating up to Rs 126 crore.

Price band for the IPO is Rs 120 to Rs 126 per equity share of face value Rs 10 each.

The objectives of the fresh issue include Rs 70 crore for funding capital expenditure for setting up a new SteriPort manufacturing line at Hariyala, Kheda, Gujarat, Rs 30.13 crore for establishing a new manufacturing line for SVP at the same location, and the remaining amount for general corporate purposes.

The promoters are Bhavesh Patel, Vishal Patel, Jayshreeben Patel, Jitendrakumar Patel, and Milcent Appliance. The promoters and promoter group hold an aggregate of 2,46,79,074 equity shares, aggregating to 85.6% of the pre-offer issued and paid-up equity share capital. Their post IPO shareholding is expected to be around 63.56%.

The issue, through the book-building process, will open on 1 Sept 2025 and will close on 3 Sept 2025.

Strengths

Well-diversified product portfolio with a strong presence in both domestic and international markets.

EBITDA margin improved from 20.35% in FY23 to 21.72% in FY25, reflecting enhanced operational efficiency and profitability.

Strong formulation and development capabilities enable it to create new and improved products for both its own brand and partner clients.

Well positioned to benefit from growing domestic demand driven by an aging population, rising healthcare spending, and increased health insurance penetration.

Strong compliance record, as the manufacturing facility has received approvals including WHO-GMP certification from FDCA Gujarat, GMP certifications from Cambodia, Sudan, Philippines, and Zimbabwe, and DNV certification for medical device exports.

Extensive experience of promoters and senior management personnel.

Weaknesses

High finance costs have consistently consumed a large portion of EBITDA, with 45.78% in FY25, impacting profitability and financial stability.

Growth in revenue has been minimal, increasing from Rs 259.13 crore in FY23 to Rs 274.71 crore in FY25, suggesting restrained business expansion.

Involved along with a promoter in certain criminal legal proceedings, where an adverse outcome may negatively affect financial condition and reputation.

Previous suspension of the manufacturing license highlights operational risks, and any future suspensions could disrupt business activities.

In FY25, about one-third of raw materials were imported from limited number of suppliers, and one-third of revenue came from exports, exposing the business to risks from import regulations, commodity price volatility, and foreign exchange fluctuations.

Subject to extensive regulation and failures to comply with the existing and future regulatory requirements in any pharmaceutical market could affect business.

As of March 31, 2025, contingent liabilities amounted to Rs 11.58 crore, nearly equal to 110% of the FY25 net profit, representing a significant potential financial risk.

A promoter, Bhavesh Patel, has pledged a total of 16.03% of the post-issue equity share capital through the pledge of 61,36,328 and 88,265 equity shares on September 13, 2024, and December 16, 2024, respectively.

Valuation

Net sales decreased 2% to Rs 274.71 crore in FY2025 as compared with FY2024. The OPM improved 121 bps to 21.72%, leading to 4% increase in OP to Rs 59.67 crore. OI increased 9% to Rs 1.39 crore. Interest cost fell 17% to Rs 27.95 crore. Depreciation cost fell 7% to Rs 18.4 crore. PBT surged 173% to Rs 14.71 crore. Tax expenses were Rs 4.21 crore as compared with Rs 1.76 crore. Net profit increased 189% to Rs 10.5 crore.

The FY25 EPS on post-issue equity works out to Rs 2.7. At the upper price band of Rs 126, P/E is 47.

Listed peers such as Denis Chem Lab traded at TTM P/E of 15, and Gufic Biosciences at TTM P/E of 62 as on 26 Aug 2025. The OPM and ROE stood at 21.72% and 12.91% respectively, in FY 2025. These were 9.3% and 9.91% for Denis Chem Lab, and 16.43% and 12.29% for Gufic Biosciences, respectively.