Medi Assist Healthcare IPO: Issue subscribed 16.25 times, QIB portion booked 40.14x on final day

Medi Assist Healthcare IPO: The Rs 1,171.58 crore issue is entirely an offer-for-sale of 2.8 crore shares

Medi Assist Healthcare Services IPO has been subscribed 16.25 times so far on January 17, the final day of bidding, receiving bids for 31.87 crore shares against the issue size of 1.96 crore shares.

The retail portion has been booked 3.19 times, qualified institutional buyers (QIB) picked 14.85 times and high net worth individuals (HNI) bought 40.14 times of the allotted quota.

The price band for the issue, which opened on January 15 has been fixed at Rs 397-418 per share. The Rs 1,171.58 crore issue is entirely an offer-for-sale of 2.8 crore shares.

The Bengaluru-based health insurance third-party administrator (TPA), ahead of the IPO, raised Rs 351.5 crore through its anchor book issue. Marquee names in the list of anchor investors included Nomura Trust, Goldman Sachs, Ashoka Whiteoak, Pinebridge Global Funds, Troo Capital, and HSBC.

The main objective of Medi Assist IPO is to complete the OFS and to achieve the benefits of listing the equity shares on the bourses. Meanwhile, all proceeds from the offer will go to the selling shareholders and the company won’t receive any money.

Medi Assist has registered an 18.7 percent on-year growth in consolidated net profit at Rs 75.31 crore on strong topline and operating margin performance for the year ended March 2023. Subsidiaries Medi Assist TPA, Medvantage TPA and Raksha TPA contributed 92.98 percent to the company's revenue from contracts with customers in the first half of FY24.

The basis of allotment of IPO shares will be finalised by January 18 and the successful investors will get shares in their demat accounts by January 19. The stock is expected to be listed on bourses on January 22.

Medi Assist Healthcare Services provides TPA services to insurance companies through its three wholly owned subsidiaries, Medi Assist TPA, Medvantage TPA and Raksha TPA.

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