Retail Portion of GPT Healthcare IPO subscribed 66% on Day 1
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The Retail Portion of GPT Healthcare Limited IPO is subscribed 66% on the first day of bidding.
The issue received bids of 72,62,400 shares against the offered 1,97,63,327 equity shares, at a price band of ?177-186, according to the data available on the stock exchanges. Overall, the issue was subscribed 0.37 times.
Non-Institutional Investors Portion was subscribed 0.18 times, whereas Qualified Institutional Buyer Portion is yet to see bids. The issue kicked off for subscription on Thursday, February 22, 2024 and will close on Monday, February 26, 2024.
A day prior to the opening of the issue, GPT Healthcare Ltd had raised Rs 157.54 crores from anchor investors. Foreign and Domestic Institutions who participated in the anchor were Kotak Mutal Fund, Axis Mutual Fund, Bandhan Mutual Fund, Aditya Birla Life Insurance, Societe Generale, Duro One Investments Limited, India Capital Growth Fund, Copthall Mauritius, LC Pharos Multi Strategy Fund, Subhkam Ventures and DE Shaw.
Leading brokerage firms like Reliance Securities, Nirmal Bang, AnandRathi and SMIFS have given a “Subscribe” rating to GPT Healthcare Ltd, given its strong positioning in underserved and populous healthcare delivery markets. Company’s ‘Right-sized’, full service and strategically located hospitals have led to high return on capital. Its well diversified specialty mix, location mix and ability to attract, train and retain quality medical professionals are other key positives as per the brokerage firms.
GPT is also planning to grow its presence in adjacent markets by setting up two new hospitals in Raipur and Ranchi through a flexible and asset-light strategy for quick break-even.
Revenue concentration from its West Bengal hospitals, any delay in commencement of future projects and unfavourable government policies and regulations are pointed out as key risks of the company by the brokers.
JM Financial Limited is the sole book running lead manager and Link Intime India Private Limited is the registrar of the offer. The equity shares are proposed to be listed on the BSE and NSE.
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