Plethico IPO News

Herbal company Plethico Pharma is planning to raise Rs 110 crore through initial public offering which will open for bidding on April 10.
 
 Of the proceeds, the company plans to use Rs 25.7 crore for upgrading the Kalaria plant, Rs 30 crore for organic farming and Rs 28 crore for brand buyouts. The price band for the issue has been fixed at Rs 280-300.
 
 Currently, the company caters to unregulated markets and is planning to expand its presence to the US through herbal medicines.
 
 "The demand for herbal products would touch $1.5 trillion by 2050. We are aiming at producing products which are of standard quality in the US, for which we have undertaken organic farming in India. It is believed that different fields produce different qualities of herbs," said ShashikantPatel, chairman & managing director, Plethico Pharmaceuticals.
 
 Plethico is a multi-product company, with a large global presence and has awide product range including herbal and allopathic formulations, consumer health care products and nutraceuticals, food supplements, disposables andhospital consumables.
 
 It has a portfolio of more than 400 formulations in more than 39 therapeutic segments and exports to more than 45 countries.
 
 The company also employs approximately 250 sales personnel across these markets, of which, 150 are employed in markets outside India.
 
 It has two fully integrated state of the art manufacturing units locatednear Indore, which serve as the backbone of the entire operations.
 
 These facilities are being upgraded as per the norms of UK MHRA, thecompany officials said.
 
 So far, Plethico has adopted the "branded generics" model for marketingallopathic formulations in India. "Branded Generics give a premium overother generics as their bio-availability is high as compared to othergenerics," said. The company proposes to extend this model to other semi-regulated  markets.