NEW DELHI — Symbiotec Pharmalab is facing multiple legal proceedings involving claims totaling Rs 1.51 billion, according to the company’s Draft Red Herring Prospectus filed ahead of its initial public offering.
The pharmaceutical and biotechnology company’s Rs 1,757 crore IPO opened for subscription Monday and will remain open through Aug. 27. The company has set a price band of Rs 938 to Rs 988 per share.
According to the DRHP, Symbiotec faces six tax proceedings and one material civil litigation, with the aggregate amount involved in proceedings against the company totaling Rs 1,507.92 million. The filing also lists one criminal proceeding initiated by the company.
Symbiotec said the outstanding cases are pending before various courts and authorities and warned that unfavorable outcomes could affect its reputation, business operations, financial condition and cash flows.
The filing also details legal proceedings involving the company’s directors, subsidiaries and promoters.
Directors other than promoters face two criminal proceedings and 11 tax proceedings involving an aggregate amount of Rs 4.12 million.
Symbiotec’s subsidiaries face one criminal proceeding involving Rs 3.67 million, as well as one material civil case. The company’s promoters are also involved in one criminal proceeding, one tax proceeding and one material civil litigation.
One subsidiary, Knovea Pharmaceutical Private Limited, is involved in litigation before the Madhya Pradesh High Court over land acquired for a research and development center and manufacturing facility.
Knovea filed a petition challenging the validity of the Draft Pitampura Master Plan 2035 and related notifications. The High Court stayed the operation of the relevant notification in orders issued in April and August 2023, and the case remains pending, according to the filing.
Symbiotec said the proceedings were classified under its materiality policy and that disclosed amounts were included where they could be reasonably determined and quantified. (Source: IANS)
