Nephrocare Health Services IPO subscribed 7% on Day 1 so far, GMP remains flat

The initial public offering of Nephrocare Health Services opened for public bidding today, December 10. The maiden issue of the company has been subscribed 7 percent so far on Day 1.

The IPO received bids for over 10 lakh shares, as against an offer size of 1.34 crore shares, according to data on NSE at 1 pm. Retail investors have booked 13 percent of their reserved portion. Non Institutional Investors (NII) have subscribed 4 percent of the portion kept for them. Qualified Institutional Buyers (QIB) are yet to make any substantial bid for the IPO.

Nephrocare Health Services IPO GMP:

Ahead of listing, the unlisted shares of the company were trading flat at the IPO price of Rs 460 per share with zero grey market premium (GMP), according to data on Investorgain and IPO Watch.

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 today 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 has been set at Rs 438-460 per share. The IPO will remain 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.

Follow all IPO news here.

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