Nephrocare Health Services IPO closes with 14x subscription on Day 3: Check latest GMP

Nephrocare Health Services IPO

The initial public offering of Nephrocare Health Services closed today, on its third and final day of public bidding (December 12). The maiden issue of the company has been subscribed nearly 14 times its offer size on Day 3

The IPO received bids for nearly 18.69 crore shares, as against an offer size of 1.34 crore shares, according to data on NSE. Retail investors booked their reserved portion more than 2 times. Non Institutional Investors (NII) have subscribed the portion kept for them more than 24 times. Qualified Institutional Buyers (QIB) have booked their allotted quota around 27.5 times.

Nephrocare Health Services IPO GMP:

Ahead of listing, the unlisted shares of the company were trading with 4.35 percent grey market premium (GMP) over the IPO price, according to data on Investorgain. According to IPO Watch, the unlisted shares of the company were trading with 4.35 percent GMP over the IPO price.

It is worthy to be noted that grey market is an unofficial platform, and the real listing may differ from grey market estimates.

About Nephrocare Health Services IPO:

Nephrocare Health Services, which is Asia's largest dialysis service provider under the Nephroplus brand, launched its IPO to raise Rs 871 crore through a combination of fresh issue of shares worth Rs 353.4 crore and an offer for sale (OFS) of 1.12 crore shares by existing shareholders including promoters Investcorp, Healthcare Parent, Edoras Investment Holdings, International Finance Corporation, and 360 ONE.

The price band for the IPO was set at Rs 438-460 per share. The IPO was open for public bidding between December 10 and December 12. The allotments will likely be finalized by December 15, and the shares are scheduled to be listed on stock exchanges BSE and NSE on December 17.

Should you apply?

At the upper price band, the IPO values the company at P/E of 60.2x with EV/EBITDA of 26x to its FY25 earnings and market cap of Rs 461.53 crore post issue of equity shares, said Anand Rathi. "We believe that the IPO is fully priced and recommend a 'Subscribe Long Term' rating to the IPO," it added.

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