For investors, it can be quite challenging to decide if the Rubicon Research IPO is a good investment. If you are unsure and still thinking about whether to apply or skip this IPO, don’t worry. In this article, we present the top key factors and a detailed review of the Rubicon Research IPO. This will help you analyze the strengths, risks, and financial details of the company, improving your investment decision.
About Company
Founded in 1999, Rubicon Research is one of the leading pharmaceutical formulation companies, focusing on innovation through dedicated research and development. Their portfolio comprises specialty products and drug-device combination products, aimed mainly at regulated markets, including the United States, Europe, Japan, and Canada, instead of focusing on the unregulated or semi-regulated market.
Furthermore, they believe their multi-disciplinary, data-driven, and return on investment (“ROI”) centric product selection framework is geared towards identifying sustainable opportunities for new product development. Moreover, they find and go after opportunities that give us an edge by using our skills in development, manufacturing, and sales to grow market share.
The company consists of 72 active ANDAs, 9 NDAs, and 1 OTC monograph approved by the US FDA as of June 30, 2025. Its portfolio includes 66 commercialized products in the US market, 17 products awaiting FDA approval, and 63 in various development stages.
Strengths
- Among the peers, Rubicon Research is one of the fastest-growing pharmaceutical companies who fully focused on the US market.
- Strengths like Research and development, and continuing investments, allow them to establish complex products that will drive high revenue.
- The Debtor days have been reduced to 85.7 from 141 days.
- Strong sales and distribution in the US through its subsidiary AdvaGen Pharma.
- An experienced management team with deep industry knowledge manages Rubicon Research.
Weaknesses
- In FY25, the company generated most of its revenue from the United States market. Meaning any negative development that happens in the US market, such as new tariffs, can adversely affect the business.
- In the past, the company has experienced net losses and negative returns, and to become profitable, it needs to manage its expenses and earn more revenue. If it fails to do so can negatively impact the business and financial health.
- The company plans to invest heavily in research and development, meaning that if they fail to develop new products or successful products can negatively affect the business and financial condition.
- In FY25, the company reported most of its revenue from the top five and top ten products. Meaning any drop in the sales of these major products can adversely impact the business and financial performance.
Rubicon Research IPO Review
| Reviewer | Recommendation |
| IPO Watch | May Apply |
| Capital Market | May Apply |
| Canara Bank | |
| DRChoksey FinServ | |
| Emkay Global | |
| Hem Securities | |
| IDBI Capital | |
| Marwadi Shares | |
| Nirmal Bang | |
| SBICAP Securities | |
| Sharekhan | |
| SMC Global | |
| Sushil Finance | |
| Swastika Investmart | |
| Ventura Securities | |
| Geojit | |
| Reliance Securities | |
| BP Wealth | |
| ICICIdirect | |
| Choice Broking |
Rubicon Research IPO Details
| IPO Open Date: | October 9, 2025 |
| IPO Close Date: | October 13, 2025 |
| Face Value: | ₹1 Per Equity Share |
| IPO Price Band: | ₹461 to ₹485 Per Share |
| Issue Size: | Approx ₹1,377.50 Crores |
| Fresh Issue: | Approx ₹500 Crores |
| Registrar | MUFG Intime India Pvt.Ltd. |
| IPO Lead Managers | Axis Capital Ltd. IIFL Capital Services Ltd. JM Financial Ltd. SBI Capital Markets Ltd. |
| Basis of Allotment | October 14, 2025 |
| IPO Listing Date: | October 16, 2025 |
| Listing | BSE, NSE |
Financial Performance Trend Details
| Particulars | 30 Jun 2025 | 31 Mar 2025 | 31 Mar 2024 |
| Revenue from Operations | ₹356.95 Crores | ₹1,296.22 Crores | ₹872.39 Crores |
| EBITDA | ₹79.74 Crores | ₹267.89 Crores | ₹173.09 Crores |
| EBITDA Margin (%) | 22.34% | 18.83% | 20.67% |
| Profit After Tax (PAT) | ₹43.30 Crores | ₹134.36 Crores | ₹91.01 Crores |
| PAT Margin (%) | 12.13% | 7.94% | 10.37% |
| ROCE (%) | 6.80% | 7.27% | 26.45% |
| Total Borrowings | ₹495.78 Crores | ₹393.17 Crores | ₹396.41 Crores |
Key Indicators
| KPI | Values |
| ROE | 29.02% |
| RoCE | 26.45% |
| Debt/Equity | 0.73 |
| RoNW | 29.02% |
| EBITDA Margin | 20.67% |
| PAT Margin | 10.37% |
Promoters & Track Records, if any
- Parag Suganchand Sancheti, born on October 16, 1983, aged 41 years, is one of the Promoters and the Executive Director and Chief Executive Officer of the Company. He holds 30,000 equity shares, representing 0.02% of the paid-up Equity Share capital in the company.
- Surabhi Parag Sancheti, born on January 24, 1982, aged 43 years, is one of the Promoters and the Executive Vice President – Business Development and Project Management of the Company. She holds 13,095,000 equity shares in the company, representing 8.45% of the paid-up Equity Share capital in the company.
- Sumant Sudhir Pilgaonkar, born on May 19, 1990, aged 35 years, is one of the Promoters and the Senior Vice President- Operations of the Company. He holds 13,065,000 equity shares in the company, representing 8.43% of the shareholding.
- Pratibha Pilgaonkar, born on June 12, 1954, aged 71 years, is one of the Promoters and the Managing Director of the Company. She holds 6,435,000 equity shares in the company, representing 4.15% of the shareholding in the company.
- Sudhir Dhirendra Pilgaonkar, born on May 5, 1952, aged 73 years, is one of our Promoters and the Senior Vice President of our Company. He holds 6,435,000 equity shares in the company, representing 4.15% of the paid-up Equity Share capital in the company.
Peer Comparison With the Company
| Name of the Company | Basic EPS (₹) | Diluted EPS(₹) | RONW (%) | P/E Ratio | NAV(₹) |
| Rubicon Research Limited | 8.82 | 8.68 | 29.02 | [●] | 35.53 |
| Sun Pharmaceutical Industries Limited | 45.60 | 45.60 | 16.16 | 34.98 | 300.99 |
| Aurobindo Pharma Limited | 59.81 | 59.81 | 11.15 | 18.12 | 560.22 |
| Zydus Lifesciences Limited | 44.97 | 44.97 | 21.34 | 21.83 | 238.05 |
| Strides Pharma Science Limited | 44.05 | 44.05 | 17.51 | 18.72 | 277.34 |
| Dr. Reddy’s Laboratories Limited | 67.89 | 67.79 | 18.53 | 18.05 | 402.78 |
| Alembic Pharmaceuticals Limited | 29.68 | 29.68 | 11.63 | 30.33 | 264.09 |
| Lupin Limited | 71.95 | 71.69 | 21.00 | 26.64 | 377.18 |
Industry Peer Group P / E ratio
The pharmaceutical industry peers have a P/E ratio ranging from a low of 18.05 to a high of 34.98, with an average of 24.10.
Expansion
- The proceeds raised from the fresh issue will be utilized for the repayment/prepayment of certain borrowings taken by the company.
- Lastly, the remaining funds will be used for growth through future acquisitions, strategic plans, and general business needs.
Rubicon Research IPO – Should You Apply or Not?
Rubicon Research IPO features a diverse pharmaceutical portfolio, a strong focus on Regulated Markets, experienced management, and R&D-Driven Innovation that promote the future growth and revenue. But, dependence on key products, negative cash flow, Regulatory Risk, and premium valuations are all major concerns of the company.
As of October 7, the GMP of the Rubicon Research is ₹80, showcasing a potential listing of around 15%-20%. Short-term investors may consider applying for the listing gains due to the attractive GMP. And cautious investors must carefully analyze the company’s financial background, risks, strengths, and market sentiment before subscribing.
Please note:
Investors are advised to make their own decisions and apply entirely at their own risk. This article is written using information from the company’s RHP (Red Herring Prospectus) data and online sources. If you have any queries, kindly contact the IPO Watch Team.
