Get a whopping Rs. 184 crores.
By Dileep Thekkethil
The Bengaluru-based Healthcare services firm Narayana Health (formerly known as Narayana Hrudyalaya) Initial Public Offering has oversubscribed at least around eight times on the bourses by the final day of bidding.
According to the data flashed in NSE as of 5 PM Monday, the Rs. 613-crore IPO got bids for 14,44,27,680 shares against the total issue size of 17 million shares.
The healthcare firm received anchor investment at the upper price band from 15 investors, including the Singapore government, and has raised a whopping Rs. 184 crore.
The Bengaluru-based Narayana Health has set a ceiling price bar of Rs. 245-250 for sale. The promoters of the firm will get a 65% of the stake post-IPO. The IPO includes an offer of sale of up to 2.45 crore equity share from promoters and other existing stakeholders, representing 14.4% stake in the company.
“We got one of the best anchor books for the issue, with several long-term investors supporting it. Investors are bullish on the healthcare space, especially hospitals, and Narayana Hrudayalaya has a unique business model and the backing of good quality management,†said Dharmesh Mehta, managing director and chief executive officer, Axis Capital, according to reports.
The lead managers to the offer are Axis Capital, IDFC Securities and Jefferies India. Narayana Health has become the third company in the healthcare sector to launch an IPO this month. Earlier, diagnostic chain Dr Lal PathLabs and pharmaceutical firm Alkem Laboratories had launched their IPO.
The majority of the issue is an offer for sale from the company’s existing promoters, including founder-chairman Devi Shetty and institutional shareholders Ashoka Investment and Ambadevi Mauritius.
Devi Shetty had set up Narayana Hrudyalaya in the outskirts of Bengaluru, in 2000. Its first facility was established in Bengaluru with approximately 225 operational beds and has since grown to 56 facilities with 5,442 operational beds through a combination of Greenfield projects and acquisitions.