New Delhi/Mumbai, Oct 15: Paras Healthcare Ltd, which operates hospitals under the Paras Health brand, will launch its Rs 1,450-crore initial public offering (IPO) on October 21, with a price band of Rs 660-693 per share.
The public issue will close on October 23, while the bidding for anchor investors will take place on October 19.
The proposed IPO comprises a fresh issue of equity shares worth Rs 500 crore and an Offer for Sale (OFS) of shares worth Rs 950 crore by the selling shareholders, according to a public announcement on Thursday.
At the top end of the price band, the company's post-issue market capitalisation is estimated at Rs 7,500 crore.
IPO size and shareholder details
The Gurugram-based firm has reduced the issue size from the Rs 1,800 crore planned earlier.
As part of the OFS, promoter Dharminder Kumar Nagar and investor Commelina Ltd will offload shares.
Paras Healthcare proposes to utilise the proceeds from the fresh issue to repay debt.
Hospital network and geographical presence
The company operates a network of eight hospitals under the Paras Health brand, with a presence across five states and one Union Territory. Its hospitals are located in Gurugram and Panchkula in Haryana, Patna and Darbhanga in Bihar, Kanpur in Uttar Pradesh, Udaipur in Rajasthan, Ranchi in Jharkhand and Srinagar in Jammu and Kashmir.
IPO allocation and listing schedule
The IPO has reserved 75 per cent of the net offer for qualified institutional buyers (QIBs), 15 per cent for non-institutional investors (NIIs) and 10 per cent for retail individual investors.
The equity shares are expected to list on the bourses on October 28.
JM Financial, BofA Securities India and Nuvama Wealth Management are the book-running lead managers for the issue, while MUFG Intime India is the registrar.
Paras Healthcare outlines expansion plans
Speaking to reporters in Mumbai on Thursday, Paras Healthcare MD Dharminder Kumar Nagar said: "North and East of India are expanding dramatically and Paras Health is taking part in it. We will continue to focus on super specialty, cutting-edge work and high-end specialities in the region to tap into the opportunity."
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There is roughly a requirement of 4,20,000 beds in these regions, and, along with others, Paras Health will also tap into the opportunity, he added.
Following the IPO, Nagar's holding will be down from 72.8 per cent to approximately 64 per cent at the upper end of the price band.
Paras Healthcare, launched in 2006 with 200 beds, now has over 2,200 beds. It is planning to add two hospitals having a capacity of 800 beds in Gurugram and Ludhiana.
(Except for the headline, this article has not been edited by FPJ's editorial team and is auto-generated from an agency feed.)
