The IPO of Multispecialty Hospital Chain, Jupiter Life Line Hospitals Limited is among the key multi-specialty tertiary and quaternary healthcare providers in the Mumbai Metropolitan Area (MMR) and western region of India with a total bed capacity of 1,194 hospital beds across three hospitals as of March 31, 2023 was subscribed 87% on the first day of bidding.
The issue received bids of 73,86,440 shares against the offered 84,97,169 equity shares, at a price band of ₹695-735, according to the data available on the stock exchanges.
Non-Institutional Investors Portion was subscribed 1.43 times. Retail Portion was subscribed 1.10 times, whereas, Qualified Institutional Buyer Portion was subscribed 0.01 times. The issue kicked off for subscription on Wednesday, September 6, 2023 and will close on Friday, September 8, 2023.
A day prior to the opening of the issue, Jupiter Life Line Hospitals Ltd had raised Rs 261 crore from anchor investors. Foreign Investors and Domestic Institutions who participated in the anchor were Singapore Government, Abu Dhabi Investment Authority, Goldman Sachs, Fidelity Funds, Nomura, HDFC Mutual Fund (MF), Nippon India MF, Axis MF, Kotak Mahindra MF, Aditya Birla Sun Life MF, SBI Life Insurance Company and HDFC Life Insurance.
Broking houses like SBI Securities, Nirmal Bang, Reliance Securities, Hensex Securities, Sushil Finance, Ventura Securities, Dalal & Broacha, BP Wealth and SMIFS Ltd have given a "SUBSCRIBE" rating to the issue.
The brokerage citing that its well-known presence in multi-specialty tertiary and quaternary healthcare, increasing footprint in the Western region, diversified revenue mix and exceptional financial performance. It is also positive regarding its all-hub-no-spoke model, where each hospital is independent, individually well-equipped with skilled healthcare professionals as well as advanced infrastructure to serve the healthcare needs of the patients.
However, the broking houses noted that the company's high dependency on Thane hospital as a critical concern to monitor going forward.
ICICI Securities Limited, Nuvama Wealth Management Limited and JM Financial Limited are the book running lead managers and KFin Technologies Limited is the Registrar to the Offer. The Equity Shares are proposed to be listed on BSE and NSE.