Mumbai, Aug 3, 2026: Encube Ethicals Limited, a Mumbai-based specialty pharmaceutical company, has filed its Draft Red Herring Prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) for an initial public offering (IPO) valued at Rs 3,000 crore.
The proposed IPO is a complete offer for sale by promoters Mehul Madhusudan Shah and investor selling shareholder Frontier Investment Holdings Pte. Ltd. The shares, with a face value of Re 1, will be offered through the book-building process in accordance with SEBI ICDR Regulations, with not more than 50% reserved for Qualified Institutional Buyers, at least 15% for Non-Institutional Investors, and at least 35% for Retail Individual Investors.
Company operations and global reach
Established in 1995, Encube Ethicals operates as a global specialty pharmaceutical formulations platform with expertise in topical and transdermal dosage forms. As of March 31, 2026, the company serves 50 countries, including regulated markets such as the United States, UK, Europe, and India.
The company functions through three business verticals: Global Generics, Global Contract Development and Manufacturing Organization (CDMO), and India Branded Formulations. Its unified platform includes R&D, manufacturing, quality management, and supply chain capabilities.
Manufacturing capacity and regulatory accreditations
Encube Ethicals reported an installed filling and packaging capacity of 807 million units as of March 31, 2026, which is approximately 2.8 times the total US topical market demand for fiscal 2026, according to the F&S Report. The company’s manufacturing facilities hold accreditations from 11 regulatory authorities, including the USFDA, EU GMP, EAEU, Japan PMDA, Health Canada, Brazil ANVISA, and TGA Australia.
The company employs 1,684 people as of March 31, 2026, and operates the Encube Advanced Research Centre in Palava, Mumbai, spanning 117,252 square feet and approved by the USFDA. The R&D team includes 228 employees, of whom 12 are PhDs.
Financial performance and client base
Revenue from operations reached Rs 1,848.7 crore in FY26, up from Rs 1,085.9 crore in FY24. Net profit stood at Rs 436.7 crore in FY26, compared to Rs 156.1 crore in FY24. In Fiscals 2026, 2025, and 2024, regulated markets contributed Rs 477.7 crore, Rs 331.1 crore, and Rs 394.8 crore, respectively, accounting for 61.02%, 51.49%, and 66.89% of Global CDMO revenue in those years.
As of March 31, 2026, Encube Ethicals provided services to over 160 pharmaceutical companies across 50 countries, with a portfolio of more than 550 stock keeping units (SKUs), primarily focused on regulated markets.
IPO management and listing plans
JM Financial Limited, Axis Capital Limited, and Kotak Mahindra Capital Company Limited are acting as book running lead managers for the issue, while MUFG Intime India Private Limited is the registrar. The company plans to list its shares on the BSE and NSE.
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