The Initial Public Offering (IPO) of MedPlus Health Services Ltd, one of the country’s leading healthcare companies, will open on 13 December
MedPlus Health IPO opens on 13 December; all you need to know about price band; lot size and other details
The Initial Public Offering (IPO) of MedPlus Health Services Ltd, one of the country’s leading healthcare companies, will open on 13 December. The IPO will remain open till 15 December.
The MedPlus shares will have a price band of Rs 780-796 per equity share. The company plans to use the proceeds of the issue for its subsidiary healthcare company, Optival, as well as for general corporate purposes.
MedPlus, which is India’s second-largest pharmacy retailer company aims to raise Rs 1,398.29 crores from the public offer. The IPO will include a fresh issue worth Rs 600 crore of equity shares as well as an offer for sale (OFS) of up to Rs 798 crore worth of shares by promoters and existing shareholders.
The MedPlus IPO will have 50 percent of the net issue reserved for qualified institutional buyers (QIBs) while 35 percent and 15 percent of the shares have been set out for retail investors and non-institutional investors, respectively. Shares worth Rs 5 crore have been reserved for the employees of the pharmacy retail chain. A discount of Rs 78 will be given to eligible employees on the final issue price.
The grey market premium of the MedPlus shares is Rs 300, as per news reports.
Investors can bid for a minimum of 18 equity shares, and in multiples thereof. The minimum investment allowed in the IPO is Rs 14,328, at the upper end of the price band, while the maximum investment can be of Rs 1,86,264 for 13 lots. The shares expected to be listed on the Bombay Stock Exchange and National Stock Exchange on 23 December.
The Hyderabad-based pharmacy retail company has also received Rs 418 crore from 36 anchor investors and has allotted Rs 52.5 lakh equity shares to them, at a price of Rs 796 per share.
The anchor investors of MedPlus include HDFC Life Insurance Company, Abu Dhabi Investment Authority, ICICI Prudential Life Insurance Company, Fidelity Investment Fund, Nomura, BlackRock Global Funds, Morgan Stanley, SBI Life Insurance, SBI Mutual Fund (MF), Goldman Sachs and Aditya Birla Sun Life MF.
The book running lead managers for the issue are Edelweiss Financial Services, Axis Capital, Credit Suisse Securities and Nomura Financial Advisory and Securities.
MedPlus is one of India’s largest pharmaceutical companies and provides a range of products such as medicines, medical devices, personal care products across more than 2,000 stores in West Bengal, Maharashtra Odisha, Karnataka, Andhra Pradesh, Tamil Nadu and Telangana.
Founded by Gangadi Madhukar Reddy in 2006, MedPlus made a profit of Rs 63.11 crore in the Financial Year 2021, a sharp jump from its profit of Rs 1.79 crore in the Financial year 2020.