BLUE JET HEALTHCARE LIMITED

BLUE JET HEALTHCARE LIMITED - IPO DETAILS 

Company Overview 

Blue Jet Healthcare, established in 1968, is a pharmaceutical and healthcare ingredient and intermediate manufacturing company. It has a rich history as the first manufacturer of saccharin and its salts, which are artificial sweeteners, in India. Over the years, the company has diversified into producing contrast media intermediates, essential components used in CT scans and MRIs. Blue Jet Healthcare operates primarily in three key product categories: 1) Contrast Media Intermediates: These are crucial ingredients used in contrast media, which enhance the visibility of certain body parts during medical imaging, such as CT scans and MRIs. 2) High-Intensity Sweeteners: The company continues to be involved in the production of high-intensity sweeteners, such as saccharin and its derivatives, serving the food and beverage industry. 3) Pharma Intermediates and Active Pharmaceutical Ingredients (API): Blue Jet Healthcare manufactures various pharmaceutical intermediates and active pharmaceutical ingredients, contributing to the pharmaceutical industry. 

 Blue Jet Healthcare is a global pharmaceutical company known for its scientific expertise. They offer services including process development and production capabilities, global regulatory support, and collaboration in the development and manufacturing of advanced pharmaceutical intermediates and APIs. The company operates three manufacturing facilities located in Shahad (Unit I), Ambernath (Unit II), and Mahad (Unit III) within the state of Maharashtra, India. These facilities collectively have an annual installed capacity of 200.60 KL, 607.30 KL, and 213.00 KL, respectively, as of June 30, 2023. Blue Jet Healthcare's focus on pharmaceuticals and healthcare ingredients underscores its commitment to providing essential products for various industries and advancing healthcare solutions. 

Objective of the IPO 

Here are a few quick reasons why Blue Jet Healthcare Limited going public:  

1. The company won't gain any funds from the Offer; instead, all the proceeds from the Offer will be distributed to the Selling Shareholders based on the number of Offered Shares they sell during the Offer. 

Company Financials 

Key Performance Indicator 

Pros 

1. Blue Jet Healthcare's core strength lies in its integrated production process, which not only ensures quality but also cost-effectiveness. The company specializes in manufacturing essential intermediates for contrast media and counts renowned industry leaders like GE Healthcare AS, Guerbet Group, and Bracco Imaging among its top clients. 

2. The company operates in specialized market segments characterized by high entry barriers and intricate chemistry requirements. Its primary focus is on producing contrast media intermediates and high-intensity sweeteners, where it has established a strong market presence and garnered extensive expertise. 

3. Blue Jet Healthcare has cultivated long-term and stable relationships with multinational customers, including prominent players in the contrast media and tabletop sweetener industries. Some of these associations have spanned from four to 24 years, underscoring the company's competitive advantage and the loyalty of its customers. Notable clients include Colgate and Hindustan Unilever. 

4. The company excels in product development and process optimization, with a strong emphasis on sustainability. It frequently engages in collaborations and enters into annual and multi-year supply contracts. This strategic approach provides the company with a high level of visibility and predictability concerning its order book revenue, enhancing its overall business stability. 

Cons 

1. The company heavily relies on the specialty pharmaceutical and healthcare sectors, and a significant proportion of its business is concentrated within a small number of key customers. To be precise, 81% of its revenue is derived from its top ten customers. This places the company in a vulnerable position where any loss or reduction in demand from these major customers could have adverse effects on its business. 

2. Additionally, a substantial 80% of the company's revenue is generated through exports to Europe and the United States. If there is a slowdown in the growth of these markets or an influx of new competitors in these regions, it could potentially impact the company's revenue adversely. 

3. The company is reliant on third-party suppliers for its raw materials, with its three largest suppliers located in China, Norway, and India. Any increase in the costs of raw materials could have implications for the company's operations, potentially affecting its cost structure and profitability. 

How to Apply for this IPO 

1. Go to https://ipo.adityatrading.in/ 

2. Enter your Client ID 

3. Enter the OTP received in your registered mobile number. 

4. Choose the IPO and click on apply button. 

5. Enter the UPI ID, Quantity, and Cut off the price. 

6. Click on submit button 

7. Confirm the mandate request received on your phone by entering the UPI Pin. 

You can also watch our youtube video on “How to Apply on IPO” by clicking on the link “https://www.youtube.com/watch?v=1qOI8dCpl1I&ab_channel=ATS”