EQT-backed Indira IVF makes confidential filing for Rs 3,500 crore IPO

Swedish investment giant EQT-backed top fertility clinic chain Indira IVF has made a confidential filing for Rs 3,500 crore pure OFS IPO, learns Moneycontrol.

Nearly 18 months after EQT acquired a controlling stake in Indira IVF from TA Associates and its company's founders, the Sweden-headquartered investment behemoth has filed the top fertility firm's draft papers with Sebi via the confidential pre-filing route for an initial public offer (IPO), multiple industry sources in the know told Moneycontrol.

"The issue size is Rs 3,500 crore and will entirely consist of an OFS or offer for sale. As of now, the plan is for the EQT component to be for Rs 2,900 crore and the balance portion of Rs 600 crore by the founders/ promoters group," said one of the persons above.

Two other persons confirmed the above and one of them added that Kotak Mahindra Capital, Nomura, IIFL Capital, JP Morgan and UBS are the investment banks acting on the issue.

All the three persons above spoke to Moneycontrol on the condition of anonymity.

In response to an email query on the confidential pre-filing, EQT declined to comment. Moneycontrol could not elicit an immediate comment from Indira IVF and the banks at the time of publishing this article. This article will be updated as soon as we hear from them.

The move makes Indira IVF the sixth major Indian firm opting for the confidential pre-filing route after Tata Play, Oyo, Swiggy, Vishal Mega Mart and Credila Financial Services.

What is Confidential Filing?

Introduced by Sebi as an alternate for main board issuers in November 2022, pre-filing allows companies to keep sensitive business details or financial metrics and risks under wrap, especially from rivals. On the other hand, in the standard format, the DRHP (draft red herring prospectus) becomes a public document post filing.

This gives issuers the comfort of confidentiality till they arrive at a final decision on the listing, and if required, they can even pull out later depending on market conditions, without disclosing key information.

Indira IVF is not the only EQT portfolio firm eyeing a listing.

On September 21, Moneycontrol had reported that India's top education loans financier, HDFC Credila Financial Services, has shortlisted five investment banks as advisors, in the run up to a big-bang initial public offer (IPO) in 2025.

On December 28, Credila filed draft papers for a Rs 5,000 crore IPO, also using the pre-filing route.

Last year in July, EQT announced that BPEA Private Equity Fund VIII agreed to acquire a controlling stake in Indira IVF from TA Associates and the company's founders, Dr Ajay Murdia, Dr Kshitiz Murdia, and Dr Nitiz Murdia. The founders will retain a significant minority stake and continue to lead the company, the announcement added, with the deal value is estimated to be around $1 billion.

In December 2024, during a visit to India, Jean Salata, chairperson EQT Asia and Head of Private Capital Asia said that the investment major which has invested more than $6 billion in India over the last 18 months, is keen on pricing its forthcoming public issues with an eye on creating value for all investors.

More on Indira IVF

Starting as a standalone clinic in Udaipur, Rajasthan, by Dr Ajay Murdia in 1988, Indira IVF was incorporated in FY15 to provide medical treatment for infertility issues for men and women, performing IVF, intra-uterine insemination (IUI) and other related treatments.

According to its website, Indira IVF is a fertility chain with over 150 centres & 330 IVF specialists across India. The organisation has assisted over 1,60,000 couples in addressing infertility challenges and achieving pregnancies through IVF procedures, the website adds.

The fertility centres are equipped with advanced technologies to cater to infertility treatments like IVF, laser assisted hatching, cryopreservation, intracytoplasmic sperm injection (ICSI), IUI, blastocyst culture and transfer, laparoscopy, hysteroscopy, including donor programmes.

According to a report dated September 27, 2024 by ratings agency ICRA, "Indira IVF’s business profile is characterised by its established brand position in the Indian IVF industry with a pan-India presence and market dominance in northern and western India. The company benefits from the vast experience of its promoters, with Dr. Ajay Murdia spearheading the enterprise. Indira IVF has shown significant growth momentum in the past years, driven by a significant increase in footprint and a rise in the number of IVF cycles. As the company continues its expansion through opening new centres in India and its entry into hospital segment, revenue growth is expected to remain healthy."

For FY24, the firm posted revenue (provisional) of Rs 1,476.4 crore and PAT (provisional) of Rs 266.2 crore, as per the ICRA report.