Mumbai-based Concept Pharmaceuticals Ltd is planning to go public with an Initial Public Offering to raise Rs. 50 crore, said company's managing director AB Gupta. The funds raised from the issue will be utilized in the overall expansion activities of the company including R&D.

"We will be soon appointing consultants for the IPO. We hope to enter the capital markets during late 2004 or early 2005," said Gupta. The timing for a public issue is perfect with the recent spate of successful IPOs from companies like Biocon and Dishman Pharma and government PSUs like ONGC and GAIL, he added.

Concept Pharmaceuticals already has three manufacturing facilities for bulk drugs and formulations at Chikalthana and Chittegaon (Aurangabad), and Birganj (Nepal).

"We are planning to put our fourth manufacturing facility in Aurangabad with an investment of Rs. 12 crore. There are plans to expand the capacities within our Nepal plant," said Gupta. "The company is also looking towards substantially investing in NDDS research," he added.

Additionally, Concept is planning to raise funds through debt. Exim Bank has already sanctioned a loan of $ 2 million to the company.

Concept has a strong presence in anti-TB, gastrointestinal, NSAIDS, herbal medicine, anti-bacterials, anti-fungals, CVS, anti-inflammatory products and animal health. It is also a major manufacturer of beta lactum antibiotics like ampicillin, Amoxycillin, cloxacillin, cephalexin, 7-adca, and 6-apa, vitamins and bulk actives.

The company is exporting to countries in Africa, South America, South East Asia and Russia.

Concept Pharmaceuticals has four subsidiary concerns like Globe Trotus, Concept Labs, Concept International and Concept Nepal.

For the year ended March 31, 2004 the group achieved sales of Rs. 120 crore and a bottomline of Rs. 9 crore. "For the current year, with increased exports to Russia, South America and Africa, the group is aiming to increase its net sales to Rs 190 crore," said Gupta.