- The stock closed at ₹1,075 on debut day, as compared to its IPO price of ₹735.
- The ₹869 crore IPO was subscribed 63.72 times the shares on offer.
- QIBs bid aggressively for the issue, which also received good interest from non-institutional and retail investors.
The stock closed at listed at ₹1,075 as compared to its IPO price of ₹735. Its market cap is at ₹6,294 crore as per BSE.
The ₹869 crore IPO was subscribed 63.72 times the shares on offer, with aggressive bidding from qualified institutional buyers or QIBs who subscribed 187 times.
The company had undertaken a private placement of 1.67 million shares at ₹735 per equity share aggregating to ₹123 crore in a pre-IPO placement. Consequently, the fresh issue size was reduced from ₹665 crore to ₹542 crore.
It has set a price band at ₹695-735 per equity share and the issue consists of a fresh issue of equity shares worth up to ₹542 crore and an offer-for-sale (OFS) of up to 4.45 million equity shares.
The company intends to use net proceeds from the fresh issue towards repayment or pre-payment, in full or part, of borrowings availed from banks and general corporate purposes.
Here are the listing gains of the market debuts in the last few months.
About the company
The company has three hospitals with a total capacity of 1,194 hospital beds as of March 2023. It has been operating for over 15 years as a corporate quaternary care healthcare service provider with hospitals in Thane, Pune and Indore under the ‘Jupiter’ brand.
It’s also in the process of developing a multispecialty hospital in Dombivli, Maharashtra, with over 500 beds.
Its revenue from operations grew by 21.6% in FY23 and by 50.8% in FY22, as compared to the year before. Its net profit grew 43% in FY23 as compared to FY22, while it posted losses in FY21.
Its bed occupancy rate is lower than the majority of listed peers and it might have to offer services at discounted and competitive rates to increase them. Its inability to pass on high expenses of medical equipment, manpower cost and mre can impact its business.
Medical errors, malpractice, negligence, or misconduct by its staff or by third parties that provide products or services such as diagnostic tests, drugs, devices or equipment – can affect its operations. Its patients may contract serious communicable infections or diseases at its hospitals.