Why CiplaQCIL IPO may be the best 2018 investment decision
You should not miss out on the CiplaQCIL IPO closing this week.CIPLA-Quality chemicals limited Initial Public Offer (IPO) was officially opened on 14th August 2018 and closes at 5:00pm on Friday 24th August 2018.CiplaQCL is selling 18% of its shares which is 657,179,319 shares.
Affordablity.The price per share is only UGX 256.5/= Less than social media tax you pay in two days. The good news is that the minimum number of shares one can buy is 1000 and any additional ones in multiples of 100.You could be a shareholder for as low as UGX 300,000/= Go ahead and talk to a licensed stock broker for details on this deal.
CiplaQCIL has a stable business base. Truth is share prices may go up and down but investors are simply buying in 13years of a private Ugandan brand healthcare success story. CiplaQCIL doesnt have threatening debts that an investor could be scared of as per their prospectus. As a leading pharmaceutical manufacturing company in Sub Saharan Africa, it makes a range of drugs including antiretroviral, anti-malaria and Hepatitis B and C drugs. World Health Organization (WHO) has approved its drugs besides other regulatory authorities in 19 countries, including: Uganda, Kenya, Rwanda, Tanzania, , Ivory Coast, Zambia, Zimbabwe, Malawi, Namibia, Mozambique, Ghana, Ethiopia, Angola and South Sudan.
CiplaQCIL stability is further seen in the long-term supply contracts in sub Saharan Africa with governments. For instance the Government of Uganda contract has been extended periodically until 2029.
There is an expansion plan to construct the second plant, this will result in more country coverage in Africa. Did you know that all CiplaQCIL sales contracts are priced in USDs? This makes a lot of business sense. CiplaQCIL is still a monopoly manufacturer and the only fear would be a new competitor coming in Sub Saharan Africa.
Huge market to serve.According to the World Bank, Sub Sahara Africa has the lowest healthcare spending in the world. This means that demand of drugs is still unmet. According to the UNAIDS database, Global Health Data Exchange 2016, World Malaria Report 2016 Communicable diseases in Uganda, including malaria, tuberculosis (TB) and HIV/AIDS, account for 54 % of the total burden of disease.
Fruitful and tightly regulated Ugandan Stock market. A strong regulatory authority known as Capital markets Authority (Uganda) has always safeguarded investor interests in listed companies. Shares are in Ugandan shilling and are not cross listed company. A listed company has excellent corporate governance. The business focus on providing drugs for diseases, such as malaria, HIV/AIDS and hepatitis B is viable for CiplaQCIL business…
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