Gland Pharma gets listed; Anil Singhvi decodes the investment strategy for investors

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Gland Pharma has been listed today and the stock was trading around Rs 1806.95 on NSE at 10:10 pm, up by over 5.6 per cent. Zee Business Managing Editor Anil Singhvi explains what investors can look forward to.   

The Market Guru said that the Gland Pharma stock is an investment which should not be looked at as a 1-day stock. He said that the valuations are quite reasonable in comparison to other pharma stocks.

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The company has a tie-up with Pfizer and BioNTech which are in the process of making coronavirus vaccine. The business is quite good. 

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However, the parent is a Chinese company Fosun. The company had Indian Parents two years ago, he revealed. The Chinese parentage poses some risks for the investors as the investments or business may suffer if the relations between the two countries sour. There is a geo-political risk attached to this company.  

Zee Business had earlier advised the investors to not invest in the share solely with the purpose of listing gains.   

The shares were subscribed 2.06 time. The issue price was Rs 1,500 per share. He said that this stock is institutional. This is for the institutional investors as they know when to enter and exit. This investment is more suitable for high risk investors, the Market Guru said. 

It will be interesting to see if big investors come and there are chances that there will be interest in this stock. 

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The response has not been that great from the retail investors, he said.