⚡ Flash Summary
Liven Pharma Limited is issuing 20,000,000 new ordinary shares at PKR 10/- each, totaling PKR 200,000,000, representing 21.496% of the existing paid-up capital. The right issue is offered to existing shareholders in a ratio of 21.496 rights shares for every 100 shares held. The proceeds will be used to establish a Dry Powder Injectables (DPI) manufacturing facility, procure vehicles, cover DRAP registration costs, expand the sales team, and meet additional working capital requirements. The offer document is valid until February 22nd, 2026, and the trading dates for letter of rights are from December 1st, 2025, to December 15th, 2025.
📌 Key Takeaways
- 💰 Liven Pharma is offering a right issue of 20,000,000 new ordinary shares.
- 📈 The issue represents 21.496% of the existing paid-up capital.
- 💸 The offer price is PKR 10/- per share, totaling PKR 200,000,000.
- 🤝 The ratio is 21.496 rights shares for every 100 shares held.
- 🏭 Proceeds will fund a Dry Powder Injectables (DPI) manufacturing facility.
- 🚗 Part of the funds will be allocated to procuring vehicles for sales expansion.
- 📜 DRAP registration and licensing expenses are included in the funding.
- 🧑💼 Expansion of the sales team is also a priority for fund utilization.
- 🔄 Additional working capital requirements will be met through the issue.
- 🗓️ The offer document is valid until February 22nd, 2026.
- 📅 Trading dates for letter of rights: December 1st to December 15th, 2025.
- 🏦 Meezan Bank Limited is the Banker to the Issue.
- 📑 Final Offer Letter Date: November 18th, 2025
- 🛑 Book Closure Date: November 27th, 2025
🎯 Investment Thesis
The investment thesis for Liven Pharma is a HOLD, considering the risks associated with its current financial performance and operational inefficiencies. While the right issue intends to fund growth initiatives like the DPI facility, the high discount price of PKR 10/- and negative earnings in FY25 need to be monitored. A price target cannot be provided due to the lack of concrete financial projections and the uncertain timeline for the DPI facility to become operational. The time horizon is MEDIUM_TERM, as it will take time to assess the impact of the new facility and strategic initiatives.
Disclaimer: AI-generated analysis. Not financial advice.